About Neighboring Rights

Neighboring rights collection is a service that can often be unclear, but is a useful way to collect royalties that might otherwise go unnoticed.

What are Neighboring Rights?

Neighboring Rights is an umbrella term for the rights of sound recording owners (such as record labels and individuals) and performers to earn royalties when their recordings are publicly performed or broadcast. These royalties are generated by uses such as digital streaming services, radio (terrestrial and satellite), TV, cable music channels, and public venues. Neighboring rights may vary from country to country.

In almost all countries worldwide, neighboring rights are fully recognized by law and cover terrestrial radio, TV, digital platforms, and public performance. In the United States, the situation is more limited. U.S. law grants a statutory digital performance right in sound recordings, administered by SoundExchange. This covers non-interactive streaming platforms (like Pandora Radio), satellite radio (SiriusXM), and digital cable/satellite music services. Unlike in most of the world, U.S. terrestrial radio does not pay royalties for sound recordings.

So while the scope differs, SoundExchange royalties are a form of neighboring rights; they simply represent the U.S. version, which is limited to non-interactive, digital performances.

The concept of neighboring rights parallels performance rights in music publishing:

• Performance rights (publishing): royalties for the public performance of the composition (songwriters/publishers).
• Neighboring Rights (recordings): royalties for the public performance of the sound recording (artists/labels).

How Neighboring Rights Royalties are Collected

Neighboring Rights royalties are collected by specialized collection societies or government-designated agencies worldwide. To ensure royalties are paid correctly, recordings must be registered with these societies in each relevant territory.

What Sound Exchange Collects

• Satellite radio (SiriusXM)
• Internet radio and non-interactive webcasters (Pandora, iHeartRadio digital, etc.).
• Digital cable and satellite TV music channels

These royalties are distributed to sound recording owners/holders, performers, and non-featured session musicians & back-up vocalists.

They also provide optional International neighboring rights collections in all major territories worldwide. Symphonic offers U.S. and International royalty collection through SoundExchange.

To deliver your catalog to SoundExchange, please create a request to opt-in and indicate "U.S.-only" or "Worldwide".

If you want to start an account to collect your artist portion, contact SoundExchange here.