Global Music Copyright Revenue Surpasses Cinema Box Office Earnings for the First Time Ever

Global Music Copyright Value Surpasses Movie Revenues

For the first time in history, the global value of music copyrights has surpassed global movie box office receipts.

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Total global financial receipts from the film industry have surpassed the total value of music publishing revenues since records began, but in 2023, a new report showed that the hierarchy had changed.

Music Industry Growth and Trends

Will Page is the former chief economist at Spotify and PRS For Music and he published a report indicating that the total value of recorded music, publishing, and royalties collected by collective management organizations (CMOs) reached $45.5 billion last year (£36 billion), compared with total cinema box office receipts of $33.2 billion (26.4 billion pounds sterling).

This makes music 38 percent more valuable than its movie counterpart, a sharp jump from the recent 2019 year when movie consumption outpaced music consumption by 33 percent.

“If you had suggested when I first did this exercise in 2015 that music could overtake film, you would have been laughed at,” Page said. “At the time, the silver screen was dominated by companies like Spotify and Netflix.”

The report continues that music copyrights have grown by 11 percent a year since 2021, with Page suggesting the figure could double from 2014’s $25 billion (£20 billion) by next year.

“Make no mistake, these are boom times,” Page stated.

Live Performance and Revenue Distribution

He also notes that vinyl sales are growing faster than streaming sales – 13.4 percent compared to streaming’s 10.4 percent – while he believes vinyl will soon surpass CD sales worldwide.

The report also notes that the distribution of music revenue remains constant, with 63 percent going to labels and artists and the remaining 37 percent to songwriters, publishers, and marketing directors.

Page highlights the increasing significance of live music performance over licensing. “The value of live performance to CMOs now exceeds the value of general public performance licensing,” he explained. “Songs performed on stage now fetch more royalties than songs on high streets and hotels.”

He further added that royalty income from broadcast and radio is now less than from digital collections.

A similar report recently found that more songs are now released each day than in the entire 1989 calendar year, with the total number of music creators estimated at 75.9 million. This number is expected to rise to 198.2 million by 2030.