The world’s creators are in luck. They filled their pockets with more than 12.1 billion euros in 2022.
It is a historical maximum that has taken place thanks to a record growth of more than 27%, taking advantage of the pull of the post-pandemic recovery, as can be seen from the latest CISAC report, the International Confederation of Societies of Authors and Composers, the global network of copyright collective management societies, which was released last week.
In fact, revenues have now far exceeded the pre-covid levels of 2019: we are already almost 20% above. The creative arts sector has entered an expansive phase. Authors charge increasingly consistent figures for the commercial exploitation of their creative works in all repertoires (audiovisual, dramatic art, literature, music and visual arts).
This rise, which affects some five million active creators, is largely due to a milestone of symbolic value, which marks a before and after in these creative industries: for the first time, after a decade of growth of two digits, the money collected in copyright by the digital channel (between subscriptions and online broadcasts) already represents the majority of authors’ remuneration: 35%, double that of 2018. Specifically, now one of every three euros comes from the various streaming formats. “This turn is a consequence of covid. The pandemic has transformed this sector,” comments Adrian Strain, communications director at Cisac.
Indeed, on a global scale, these revenues from the digital sector totaled 4,167 million euros. It is double what was earned before the pandemic. They already exceed the rights paid for broadcasts on television and radio, which for decades were among the most popular income channels for creators.
If Europe is where the most payments are made (more than half of the total worldwide) and music is the bulk of income among all the creative arts (almost 83%), it is true that one of the levers of the growth of copyrights have been the live events. In 2022 they shot up almost 70%, thanks to the resumption of festivals, musical tours and the reopening of businesses, although the data is still below pre-covid levels.
This income boom is a reflection of a change in consumer habits. Television usage continues to gradually decline as streaming increases. According to Nielsen, cable and television viewership fell below 50% of total viewership. As for music, digitalization and the rise of platforms have dealt a blow to the piracy that traditionally afflicted the business.
“Music piracy has decreased a lot. Maybe there is a gap in the videos or movies on some platforms,” says Josep Coll, lawyer and businessman, copyright specialist after looking at the CISAC data.
“But I would say that what the report presents is aggregate data that disguises one of the biggest problems that the creative industries suffer, which is inequality. The reality is that a few stars take the cake, thanks to their live shows with massive audiences and numerous listens on digital channels. But the others drag along,” says Coll.
“As for concert halls, medium-sized musicians barely earn enough to pay the rental cost, while their remuneration for digital listening on platforms, which mostly come from a single company, is minimal due to very high traffic.” low,” he explains.
“I believe that these divergences have always existed,” explains Adrian Strain of CISAC. “What’s more: digitalization offers a wide range of opportunities for many artists to make their artistic skills known, much more than before.” Even so, from the same organization they admit that, compared to the weight of the live shows or the recording industries, “digital income remains scarce for the vast majority of creators and even though collections related to streaming have doubled in five years ”.
Looking to the future, one of the biggest challenges and threats lies in the development of Artificial Intelligence (AI). “I think he has the potential to create wonderful works. But it also carries risks and, without strict rules to protect creators, it could also threaten their livelihoods on a large scale,” said Björn Ulvaeus, president of CISAC and former member of the legendary musical group Abba.
The possibility that machines replace the creator or that the use of this tool by artists is not very transparent or that they do not receive fair remuneration are some of the questions that will have to be resolved. Weren’t they just the Abba who sang “Money money money?…”?
