Category: Industry Professionals

25 Apr 2018

VNUE Acquires Soundstr

VNUE, Inc. Closes Deal To Acquire Soundstr

Deal Accelerates Company’s Push Into Creating Fair, Transparent Public Performance Licensing For Both Venues And Bands

NEWS PROVIDED BY

VNUE, Inc. 

Apr 25, 2018, 09:00 ET

 

NEW YORKApril 25, 2018 /PRNewswire/ — VNUE, Inc. (OTCQB: VNUE), the global leader in recording live events and releasing experiential content to fans, has officially closed its deal to acquire Soundstr, a technology that aims to help businesses pay fairer music license fees based on actual music usage.

The merger of VNUE’s patent-pending MiC™ (Music Identification Center) system and Soundstr’s own patent-pending music identification technology and hardware aims to fix the current performing rights system. Currently, venues and other businesses are somewhat discouraged from playing music due to high blanket license fees charged by the Performing Rights Organizations (PROs), in which the PROs have no idea what’s actually being played – meaning that in many cases, the correct rights holders are not properly compensated.

Instead of paying these high blanket royalty rates, music licensees utilizing the Soundstr/MiC technology would only pay for music played in their establishments, and the appropriate rights holders would then be properly and transparently compensated. VNUE will also leverage the licensing infrastructure around its “instant live” recording technology to streamline the process for these types of rights clearances.

“While the introduction of the Music Modernization Act is very encouraging in some areas of licensing reform, it does not begin to address the problems of General Licensing, and since it’s another blanket licensing system, it could merely continue to perpetuate the inequities we see in performance licensing into mechanicals. With Soundstr, we have an incredible opportunity to fix this system that’s been broken for more than 50 years, and there’s a potential for $3 billionor more in royalties for general licensing that could be more fairly allocated to artists and songwriters,” said VNUE CEO Zach Bair. “Since we announced our intent to acquire Soundstr in February, it was exciting to see Spotify (SPOT) follow our lead into music rights with their acquisition of Loudr. It is very clear that this is an important move for the future.”

Soundstr was founded by Eron Bucciarelli-Tieger (previously of platinum-selling rock band Hawthorne Heights).

“Our goal with Soundstr is to make real-world music use as transparent as possible so songwriters can receive what they are properly due, while helping licensees pay the fees that are aligned with their music use,” said Bucciarelli-Tieger. “VNUE is the perfect partner to help Soundstr move forward with those goals, and we are excited to be pushing forward.”

For more information on VNUE, please visit http://www.vnue.com/.

About VNUE, Inc.  (www.vnue.com)
VNUE, Inc., (OTC: VNUE) is dedicated to further monetizing the live music experience for artists, labels, writers, and publishers, with products such as its set.fm platform, exclusive license partner and “instant live” pioneer DiscLive, and Soundstr, which helps businesses pay fairer music license fees based on actual music usage. The veteran entrepreneurs, artists and songwriters behind VNUE are passionate about the future of their industry and ensuring that rights holders’ value is not lost amid always-changing technology. VNUE’s team has produced live content and created experiential products for over 15 years for artists and companies including Father John Misty, The Pixies, Blondie, EMI, Capitol Records, and more.

SOURCE VNUE, Inc.

Related Links

http://www.vnue.com

01 Dec 2016

Soundstr Raises $1.1M Seed Round

Music Tech Startup Soundstr Closes $1.1M in Seed Financing

Soundstr’s New Music Identification Technology to Benefit Both Venue Owners & Songwriters

(Cincinnati OH – November 29, 2016)

Soundstr, a music technology startup aiming to bring fairness to real-world music usage, has closed a $1.1 million round of seed financing.  CincyTech led the round with participation from entertainment data and technology company Gracenote, Accelerant and angel investors.

Soundstr’s patent-pending technology offers tracking data to the manner in which venues and businesses pay for the use of music, and songwriters receive royalties.  Music is protected by copyright law, and most businesses and venues that play music are required to pay for a license.  Under the established model, many businesses pay performing rights organizations (PROs) for catalogues of music, even if they use only a fraction.   Soundstr’s technology connects to a venue’s audio system, uses Gracenote’s best-in-class Automatic Content Recognition (ACR) to identify every song played, and creates a record of actual music usage.

“Soundstr’s data can lead to more efficient music licenses,” said Eron Bucciarelli-Tieger, CEO of Soundstr.  “Paying for actual music usage could lower license fees a business pays to some Performing Rights Organizations, leading to more businesses paying for licenses. Both scenarios lead to more songwriters receiving compensation for use of their music, which is at the core of our mission.”

Hundreds of thousands of businesses are subject to the license requirement but some ignore it at the risk of lawsuits and costly fines.

“Disruption is an overused term, but in this case, it truly fits.  We cannot imagine many areas more ready for disruption than this,” said Doug Groh, director at CincyTech.  “We saw that the current methods of determining music licensing fees and royalty payments were both grossly unfair and highly inefficient.  Eron showed a deep understanding of all of the players involved: artists, venues, music publishers, and fans— and their motivations.”

Bucciarelli-Tieger’s knowledge stems from years in the music industry, as a founding member of the platinum-selling band Hawthorne Heights.  He founded Soundstr to help more accurately distribute royalties to songwriters whose music is played in establishments.

Soundstr is currently conducting pilots in several music venues and also with the Canadian Society of Composers, Authors and Music Publishers (SOCAN).

“SOCAN is investing significant resources towards a new world of music consumption and rights management. The identification of the music used in real world businesses, and the related data is crucial to our success,” said Jeff King, COO of SOCAN.  “In our pilot tests, Soundstr’s technology is showing promise and potential.  Between the ease of use and accuracy, we see tremendous opportunity to bring more transparency and clarity to the industry.”

Soundstr is taking pre-orders for an January 2017 launch. Sign-up at the following links:

Soundstr Raises $1.1M Seed Round Soundstr Raises $1.1M Seed Round

Inquiries: info@soundstr.com