The U.S. Justice Department said on Wednesday it would review two consent decree...
WASHINGTON - The U.S. Justice Department said on Wednesday it would review two consent decrees reached with music licensing groups ASCAP and BMI in 1941, a decision that could upend the business of licensing music to online companies, movie companies, commercials, bars and restaurants.
Companies that license music have worried about a sharp increase in costs if the system is changed because ASCAP and BMI license about 90 percent of music. The consent decrees may remain as they are, or be changed or scrapped altogether, the department said. The MIC Coalition, which represents groups whose members include streaming companies like Spotify and Pandora, argued that the consent decrees were needed, despite their age, because those seeking to license music must pay both BMI and ASCAP for performance rights. The two groups do not compete.
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