Phonographic Rights and Phonographic Performance Limited (PPL)
Recordings of songs themselves have a copyright and therefore a copyright owner. In most cases this will be the property of the record company. The rights invested in the recording are called phonographic rights. The owner of the phonographic rights is entitled to earn royalties from the use of the recording. For example, when a record or CD is played on the radio the radio station must pay royalties to the owner of both the copyright in the song and the owner of the recording of the song. The 3 main sources of royalty from the use of phonographics rights are;
With respect to the last of these 3 methods of exploiting the use of a recording, public performance (for example being played on the radio), it is Phonographic Performance Limited (PPL) who collect and distribute any royalties due. PPL was started by record companies to monitor and control the use of recordings. Member labels assign copyright in their recordings to PPL and receive royalties collected by them whenever their recordings are used (for example again, being played on the radio). This is very similar in principle to the role PRS plays with respect to the use of copyright works (songs usually).
The point here is that you have a financial interest in your records being played on the radio if you own the recording - so, if you have no record deal or are yourself the label, it is you who the royalties are due to.
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