SOCAN’s acquisition of SODRAC has closed, both organizations announced today. This deal enables SOCAN to offer an integrated approach to the management of both performing rights and reproduction rights of songwriters, composers, and music publishers.
The combination of SOCAN (the Society of Composers, Authors & Music Publishers of Canada) and SODRAC (the Society for Reproduction Rights of Authors, Composers & Publishers in Canada) is a significant development for music rights in Canada, and broadens the choices available, notably for music publishers and self published writers for the licensing of the reproduction right, according to SOCAN.
For the first time in Canada, a single organization – SOCAN – will be able to license, track, and distribute all royalties for both music performing rights and mechanical rights.
A transition period will result in the full integration of the organizations. SOCAN says efficiencies in overhead expenses and operations will be sought and ultimately passed along for the benefit of members.
“SOCAN is thrilled to complete a made-in-Canada solution for music rights holders in this country and worldwide,” says SOCAN CEO Eric Baptiste. “This transaction fits perfectly with SOCAN’s goal of leading the global transformation of music rights, and SOCAN’s past and ongoing commitment to create alliances within the Canadian music ecosystem. With the full integration of SODRAC’s assets and expansion into mechanical rights, the combination of public performance and reproduction rights increases efficiencies, leverages licensing relationships, and reduces operating costs, resulting in even more music royalties going to those who have earned them.”
“The integration of SODRAC into SOCAN is the result of many years of discussions and negotiations,” says Lise Aubut, chair of SODRAC’s Board of Directors and co-founder of SODRAC in 1985. “Today, this concentration of energy and resources has become essential in a context where markets are globalized, copyright media is dematerialized, and the financial means necessary to defend rights in a digital world are prodigious. Music is borderless, and tracking musical works requires cutting-edge technology that provides services to a large number of music rights-holders and users.”
According to SOCAN, the integration of the management of public performance rights and reproduction rights will provide the following advantages:
– One-stop musical works registrations.
– More timely and accurate distributions and reduced operating costs for all rights holder members.
– Unified licensing for businesses using music.
– An a la carte representation of reproduction rights for all.
– Increased efficiencies through leveraged licensing relationships.
SODRAC’s expertise in the visual arts and crafts sector, which involves more than 40,000 creators and rights holders, will continue within SOCAN.
SOCAN and SODRAC teams are working to bring the companies together harmoniously. SODRAC’s management team and employees will become employees of SOCAN. SODRAC’s current General Manager, Alain Lauzon, will continue his work as a special consultant to SOCAN’s CEO.
SOCAN acquisition of SODRAC follows a three-year period of significant acquisitions and technological developments by the PRO to offer an expanded suite of services to digital service providers, music creators, and music publishers. In 2016, the organization launched its Royalty Guru service and API portal, acquired Seattle-based MediaNet, and New York-based music technology company Audiam.
For more information, contact SOCAN: 800-557-6226, www.socan.ca.