Apple Music today announced that it has created a process for properly identifying and compensating all creators of DJ mixes. Apple Music, which acquired Shazam's audio-recognition app in 2018, is working with major labels and independent labels to find a fair way of dividing streaming royalties between DJs, labels and artists who appear on the mixes. This will ensure that DJ mixes have a long-term financial value and that artists get paid for their work, even if other artists do. It is clear that Apple saw the value in this integration of Shazams technology as it was one of its first major ones.
It has been difficult for DJs to stream mix online in the past, as live streaming platforms such as YouTube and Twitch may flag copyright infringement. When a song is played during a live set by a DJ, artists are entitled to royalties. However, dance music complicates the matter as small samples can be taken from different songs and edited together to create something that is not easily identifiable.
Apple Music already hosts thousands upon thousands of mixes, including sets from Tomorrowlands digital festival from 2020 and 2021. However, Apple Music is only now formally announcing the technology that allows it to do so, despite Billboard mentioning it in June. Studio K7!s DJ Kicks mix archive will be available on the service as part of this announcement. This will allow users to access mixes that havent appeared on the market for over 15 years.
Apple Music is the first platform to offer continuous mixes with a fair fee for artists and the artists making them. In a statement by Apple, DJ Charlotte de Witte stated that it is a positive step towards fair treatment. I am beyond thrilled to be able to offer online mixes once again.
The ability to stream DJ mix can be a game changer for dance music lovers. It will allow Apple Music to compete with Spotify. Spotify leads the industry in paid subscribers and surpasses Apple's podcasting hold. Despite Apple Music introducing lossless audio, spatial audio and classical music acquisitions, it has yet to surpass Spotify. However, DJ mixes are a unique music feature.
Apple Musics' dive into the DJ royalty dilemma doesn't address the wider crisis at play among DJs and live musicians who are surviving a pandemic.
Mixcloud allows DJs to stream sets, and make money using pre-licensed music. Apple Musics DJ mixes won't include any user-generated content. MIDiA Research in partnership with Audible Magic found that user-generated music (UGC), online content that uses music, could become a huge music industry resource worth more than $6 billion over the next two years. Apple has not yet invested in UGC as users cannot upload their own mixes to stream on the site like Soundcloud. Apple Music will host mixes only after streamers have identified 70% of the tracks. This is according to a Billboard report.
Apple Music did not respond to questions regarding how royalties would be split, but this is just a first step in reimagining the way musicians can make a living in a digital world.
These innovations can help artists get compensated but streaming royalties only make up a small portion of the way musicians make their money. Apple pays musicians one penny per stream while Spotify and other competitors pay fractions of cents. Union of Musicians and Allied Workers (UMAW), launched a campaign called Justice at Spotify in March. It demands a one cent per stream payout, similar to Apples. Live events are still a major source of income for musicians, particularly considering the paltry streaming payments on platforms. The pandemic has also made it difficult to tour. The Association for Electronic Music estimates that in 2016, dance music producers lost $120 million in royalties due to their work being used in live performances without credit.
