Streaming boosts ASCAP revenues to $1.27bn in 2019

By Emmanuel Legrand



The American Society of Composers, Authors and Publishers (ASCAP), one of the USA's two largest performance rights organisation, reported record-high revenue for the fifth year in a row, with collections of $1.274 billion in 2019, a $47m increase over 2018. Royalty distributions to ASCAP songwriter, composer and publisher members crossed the $1bn mark for a third year in 2019, with $1.184bn in royalties distributed, an increase of $75m compared to the previous year.

  The New York-based society said domestic revenue collected by ASCAP in 2019 reached $945m, up $39m over 2018, with domestic distributions from ASCAP-licensed and administered performances in the US at $869m, up $55m over last year. Foreign revenue increased to $329m and foreign distributions reached $315m, up by nearly $20m over 2018.

  ASCAP said the rise in collections was driven in part by a 16% increase in audio streaming, but did not provide additional details on the various streams of revenues, nor the share of revenue by sources of income.

Operational changes

  “We are pleased to report ASCAP’s strong financial results for 2019, but we know that our members are concerned about the economic impact of the Covid-19 crisis on their royalties in 2020 and beyond,” said ASCAP Chief Executive Officer Elizabeth Matthews. 

  She continued: “Fortunately, ASCAP closed a record number of multi-year licensing deals in 2019 and instituted immediate operational changes and expense cuts in early March 2020. As a result of these efforts, while collection efforts are increasingly challenging, our first quarter 2020 royalty distributions have proven to be among our highest ever. Hopefully, this distribution will provide a cushion to members to help weather the storm of Covid-19.”

  Matthews said that in the past 12 months, ASCAP invested in state-of-the-art technology systems to process trillions of performances annually and also moved ASCAP’s survey and distribution systems into the cloud, "making them more efficient and cost-effective in the distribution of over $1 billion annually to ASCAP rights holders."

'Fighting for our members'

  Matthews did not address the situation ahead for the PRO, but noted, in a message to members, that "while things are tough right now, I remind myself that ASCAP has survived two world wars and several economic crises. I promise you that we will do whatever it takes to fight for ASCAP and fight for you. We will get through this together. Thank you for your loyalty and your ASCAP membership."

  ASCAP Chairman of the Board and President Paul Williams, commented: “We are proud of ASCAP’s strong 2019 financial results, but our focus now is on the future, and fighting for our members. The ASCAP team is working tirelessly on behalf of our members to navigate through this crisis and protect their livelihoods, even in these challenging times. I am grateful to stand together with so many talented and dedicated members of the ASCAP family, at a time when we need each other more than ever.”