11) The stakeholders: who typically touches rights and royalties
Without naming specific organizations or getting into role-specific procedures, you should understand the broad stakeholder categories:
Creators
- People who originate the underlying musical work (songwriting).
- People who contribute to recordings (performers, producers, etc.).
Creators care about rights because rights define long-term income and control.
Rights administrators
Entities that manage rights on behalf of creators or owners. They help track usage, grant permissions, invoice, collect, and distribute. Administration exists because individual creators cannot efficiently monitor every use globally.
Investors and financiers
Parties who fund creation, marketing, distribution, or catalog acquisition. They care about rights because rights determine recoupment and return on investment.
Distributors and service platforms
Companies that deliver recordings or musical experiences to audiences. They care about rights because they must avoid unauthorized use and because their business models depend on predictable, lawful access to music assets.
Commercial users
Brands, venues, broadcasters, producers, developers, and others who incorporate music into products, spaces, or experiences. They care about rights because permission is required and because misuse creates liability.
Key idea:
The music industry is not just a creative ecosystem; it’s a network of permission and payment relationships. Rights and royalties are the language that lets this network function.