Back in 2011 Mood Media purchased background company Muzak.
Muzak isn’t required to pay market value on royalties. The
company was grandfathered into an older standard of
setting royalty rates when the DMCA went into effect in 1998.
In 2012 Mood Media also acquired DMX, a branding agency that
provides music to satellite and cable networks.
* The backup image section of this tag has been generated for use on a
* non-SSL page. If this tag is to be placed on an SSL page, change the
* This noscript section of this tag only shows image banners. There
* is no width or height in these banners, so if you want these tags to
* allocate space for the ad before it shows, you will need to add this
* information to the tag.
* If you do not want to deal with the intricities of the noscript
* section, delete the tag (from … to ). On
* average, the noscript tag is called from less than 1% of internet
Now, SoundExchange is suing Muzak for allegedly cheating
artists by underpaying royalties.
SoundExchange says Mood Media moved DMX’s cable and satellite
contracts over to Muzak, and slashed rates based on Muzak’s
older royalty standard.
Michael Huppe, President and CEO of SoundExchange,
accuses the company of “playing a shell game to cheat
artists and rights holders out of royalties.”
Nina Ulloa covers breaking news, tech, and more: @nine_u
Photo by StockMonkeys.com on Flickr used with the
Creative Commons License