For the First Time in History, Global Value of Music Copyright Surpasses Cinema Box Office
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For the first time in history, the global value of music copyright has surpassed the worldwide earnings from the cinema box office. Historically, the film industry has consistently generated higher revenues than the music publishing sector, but a recent report reveals a significant shift in this trend.
Will Page, a former chief economist at Spotify and PRS For Music, shared insights in a report showing that the combined value of recorded music, publishing, and royalties collected by Collective Management Organisations (CMOs) hit $45.5 billion (£36 billion) in 2023. This figure overshadows the $33.2 billion (£26.4 billion) earned by the global box office during the same period.
This marks a remarkable reversal, as music is now 38% more valuable than cinema—a stark contrast to 2019, when cinema revenues exceeded music by 33%.
“If someone had suggested back in 2015 that music would surpass cinema, it would have seemed unthinkable. At that time, cinema overshadowed platforms like Spotify and Netflix.” said Page.
According to the report, music copyright income has grown at an annual rate of 11% since 2021. Page predicts that by next year, this figure could double the $25 billion (£20 billion) recorded in 2014.
One of the standout trends highlighted in the report is the rapid rise of physical media sales, which are outpacing streaming growth. The report also notes that the division of music revenue remains steady, with 63% allocated to labels and artists, while 37% is shared among songwriters, publishers, and CMOs.
“Revenue from live performances now brings in more royalties for CMOs than general licensing for public performance. Songs performed on stage are generating greater returns than those played in public spaces like shops or hotels,” Page explained.
Another noteworthy trend is the declining share of royalties from traditional broadcast and radio, which now lags behind income from digital collections.
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