Pepperdine Law Review Volume 48 Issue 3 Article 4 5-15-2021 Songwriters v. Spotify: Is Spotify the Problem or a Symptom of the Problem? Mariana L. Orbay Follow this and additional works at: https://digitalcommons.pepperdine.edu/plr Part of the Entertainment, Arts, and Sports Law Commons, and the Intellectual Property Law Commons Recommended Citation Mariana L. Orbay Songwriters v. Spotify: Is Spotify the Problem or a Symptom of the Problem?, 48 Pepp. L. Rev. 785 (2021) Available at: https://digitalcommons.pepperdine.edu/plr/vol48/iss3/4 This Comment is brought to you for free and open access by the Caruso School of Law at Pepperdine Digital Commons. It has been accepted for inclusion in Pepperdine Law Review by an authorized editor of Pepperdine Digital Commons. For more information, please contact
[email protected]. Songwriters v. Spotify: Is Spotify the Problem or a Symptom of the Problem? Abstract Today, streaming is the prevailing mode of music consumption. Yet, streaming services are struggling to turn a profit, as songwriters also face significant financial challenges in the streaming era. All the while, record labels are collecting the majority of streaming revenue and seeing record profits. The 2018 Music Modernization Act attempted to address songwriters’ and streaming services’ financial problems by altering the factors considered by the Copyright Royalty Board in determining the mechanical royalty rates owed by streaming platforms to songwriters. A proper application of this newly instated factor test necessitates considering both songwriters’ and streaming services’ business operations and finances. However, during the 2018–2022 mechanical rate determinations, the majority court largely disregarded the financial interests of streaming services in determining the new mechanical rate.