USA

Upholding a Strong Music Ecosystem: Music Modernization Act

The Music Modernization Act was once-in-a-generation legislation to modernize and improve the music licensing system for all stakeholders.

DIMA was a vocal supporter of the Music Modernization Act when it was signed into law and remains a staunch proponent of the law today. The Music Modernization Act’s critical reforms to the mechanical licensing system were focused on making the musical works licensing system more workable for all stakeholders, improving efficiency and transparency, and ensuring that rights holders get paid what they are owed. The most foundational element of the Music Modernization Act was the creation of the Mechanical Licensing Collective (MLC) to administer a blanket license and distribute royalties to the rights holders to whom they are owed.

As the Copyright Office kicked off its first proceeding in 2024 to review the designation of the MLC, DIMA played an active role in advocating to ensure that the MLC remains designated but operates as an efficient, neutral, and transparent administrator of mechanical royalties.

Supporting Pro-Innovation Policies in the Age of AI

DIMA believes that a unified federal approach is the most effective way to address any new challenges posed by digital replicas created by AI. DIMA is a strong advocate for implementing robust protections around individuals’ personhood while fostering an environment where both innovation and individual rights can thrive in the age of AI, and all stakeholders are playing their role. It is critical to strike the right balance between encouraging creativity and responsible supply channels, ensuring free speech, and safeguarding individuals’ identities when shaping policy in this space.

In April 2024, DIMA testified before the U.S. Senate Judiciary Committee on the NO FAKES Act – legislation focused on how to combat unauthorized digital replicas online in the age of AI – and has advocated on several AI-related related proposals. We continue to work to ensure that policy in this space balances the need to avoid regulatory overreach that could stifle innovation; while also effectively managing the risks to individuals and protections they require to enhance creativity.

Championing Modernization of Music Licensing: Performing Rights Organizations

DIMA members, like other licensees, including bars, restaurants, hotels, radio stations, and other establishments that play music, must secure licenses for the public performance of musical rights. Performing Rights Organizations play a key role in the ability to efficiently license public performance of musical works. DIMA has participated in numerous governmental proceedings related to PROs, emphasizing the critical importance of PRO transparency and the ability to efficiently and effectively license music. As the number of PROs in the United States climbs, DIMA has also expressed concern with the proliferation of PROs.