Which entity specifically collects mechanical royalties for streams and downloads in the U.S.?

Which entity specifically collects mechanical royalties for streams and downloads in the U.S.?

• A. Public performance organization (PRO)
• B. ASCAP
• C. SoundExchange
• D. The Mechanical Licensing Collective

Answer: (D)

The key idea is who handles the digital mechanical rights for streaming and downloading. The Mechanical Licensing Collective was created to license and collect mechanical royalties for digital uses of songs—streams and downloads—in the United States. These royalties are payments for the use of the musical work (the composition) itself, not for the sound recording or for public performances. Public performance organizations and ASCAP deal with performance royalties for when songs are performed publicly (live venues, radio, TV). SoundExchange collects royalties for the use of the actual sound recording (the master) in digital performances. The Mechanical Licensing Collective specifically handles the mechanical licensing for digital streams and downloads, then distributes those royalties to publishers and songwriters.

The key idea is who handles the digital mechanical rights for streaming and downloading. The Mechanical Licensing Collective was created to license and collect mechanical royalties for digital uses of songs—streams and downloads—in the United States. These royalties are payments for the use of the musical work (the composition) itself, not for the sound recording or for public performances.

Public performance organizations and ASCAP deal with performance royalties for when songs are performed publicly (live venues, radio, TV). SoundExchange collects royalties for the use of the actual sound recording (the master) in digital performances. The Mechanical Licensing Collective specifically handles the mechanical licensing for digital streams and downloads, then distributes those royalties to publishers and songwriters.