Many songwriters and artists earn most of their revenue from their compositions through streaming. It's important to note that multiple revenue streams must be collected from streaming activity. There are two categories for audio-only streaming: Interactive Streaming (On-demand) and Non-interactive (Internet Radio).
Interactive Streaming services, such as Spotify, Apple Music, YouTube, Tidal, and Rhapsody, allow users to choose their songs, stop, go backward, go forward, create custom playlists, etc., with no restrictions. This type of service generates three different royalty streams: a performance royalty collected by your PRO*, a mechanical streaming royalty collected by UniteSync Publishing Administration, and a sound recording royalty collected by UniteSync for the albums you distribute.
Non-interactive streaming services, such as Pandora, Sirius XM, Slacker, and TuneIn Radio, do not allow users to pick songs, create playlists, go backward, see what song is playing next, etc. It's similar to traditional radio. This type of service generates two royalty streams: a performance royalty for the composition, which is collected by your PRO*, and a performance royalty for the sound recording, which is collected by Sound Exchange and paid directly to artists.
For more information on how your music makes money from streaming, please refer to the relevant resources:
*Performance royalties are divided into two categories: the writer's share and the publisher's share. These royalties are collected by Performing Rights Organizations (PROs) such as ASCAP and BMI. The writer's share is always paid directly to the artist. However, some PROs may not directly pay the publisher's share to songwriters. PROs have reciprocal agreements with many other PROs around the world. When your song generates royalties outside the United States, these agreements allow for exchanging funds between PROs. However, these agreements do not guarantee that all your performance royalties will be collected.
Important:
By signing up with UniteSync, you can directly connect with hundreds of PROs, CMOs, and MROs worldwide. This ensures that you won't miss out on any potential royalties.