Mar 24 2011
Sheer Brilliance
…It breaks down like this: developers signing up to use the Echo Nest platform will have the option to access the IDJ catalog without having to contact the label in advance for permission. Developers simply agree to the terms of service agreement and then are free to create any app they like using the label’s catalog with no upfront cost to license the music.
Under the terms of service, IDJ becomes the publisher of any app created as a result (meaning they still control the distribution) and will split the revenue of any commercialized app with the developer and the EchoNest. IDJ will also market the app and administer payments to music publishers when applicable. At least initially, apps will be limited to U.S. distribution only.
This is a groundbreaking deal for several reasons. First, it addresses the primary complaint music app developers have, which is that securing meetings with labels to obtain licensing right is far too difficult, not to mention expensive. For smaller, independent developers, it’s damn near impossible…