Wednesday, July 6, 2016

The uncertain future of the SIAE dinosaur – The Republic



The old bandwagon loses pieces



“Matt and voracious”, the legacy of a bad name



hunting for a new look of light and shadow



Fedez: “I I went out to shake “



The old monopoly challenged by the app



Disgruntled the publishers: “This will not do”



indefensible status quo, competition is good



the ancient bandwagon loses pieces
CRISTINA NADOTTI
ROME – the SIAE try to rebuild the look, but after years of guilty opacity the firm is titanic. Just when the new presidency of Philip Sugar relies entirely on three magic words (efficiency, transparency, and control systems), the aggressive action of Soundreef begins to take them away, and associated light the beacons on its flaws. A lid off Pandora’s box was at the end of last April, the rapper Fedez, when it announced that it would be passed to the independent rights management company, followed by more or less known musicians in this way also jumped at the opportunity for a line of print. As varied are the reasons that lead some artists to leave the SIAE, remain the shadows of a public entity with an ambiguous status, and a long history of bad management that still weigh down the car.
the privilege of monopoly. SIAE is an “autonomous public body”, ie an entity which, while covering the pursuit characteristics of public functions, acts in the form of company, in accordance with statutory rules and with entrepreneurial characteristics. In particular, what in the latter period is attributed to the SIAE is to be provided with authoritative powers and privileges of the law, first of all, in fact, the brokerage monopoly of copyright. In other words, in Italy it is only the SIAE that collects the amount due for copyrights, according to a law, the 633 of 1941, which while undergoing various changes over the years has maintained the monopoly of the market structure.

Now, however, it is a European directive, is the opinion of the competition Authority and the market, indicate that this monopoly restricts freedom and should end. In particular, the Antitrust last June 6 with the hope “that the reform of that system monopoly is accompanied by a joint overall rethinking of the sector, in order to ensure adequate protection for authors and intermediate and end users.”

reform. And here it intervenes the legislature. Because in the end the SIAE is what the law allows it to do, more or less well (and we shall see later what is most often blamed). The text of the law, which also includes the reform of SIAE, already fired by the committees of the House and Senate, should have transposed the European directive and the opinion of the Antitrust and short Siae monopoly might end. And here it opens a new scenario in which the change will be managed wisely. Observes the lawyer Paolo Marzano, partner of “Legance Lawyers Associates” and chairman of the Standing Advisory Committee for the copyright: “SIAE is a collecting generalist, with strong journalistic functions. In other words, it handles, as generalist, more repertoires. The strongest economically ‘support’, through a micro internal welfare, weaker ones. A fact not always be found in foreign companies and rightly highlighted by the Minister Franceschini in his testimony to the House. Having said that, we start to see what improvements will bring the Directive in the Italian when implemented. And let’s do it with serenity, without giving birth to a witch hunt or a crisis of self-pity, typical ills of Italy; because then we make more trouble than we would have had to solve at the start. ”

Marzano, like others, believes that it is good that there is a public body to protect authors, as long as this institution is capable of reforming itself, “I think a lot has been done in recent years; do not forget that the SIAE was commissioner, on several occasions, and this demonstrates the fact that for a long time had problems, groped useless to deny it. Now we see, with the implementation of the Directive, the new rules still dictate that what do. Certainly it will be necessary to prepare a state system of supervision collectings Italian, who supervise their work on time, but without affecting their choices. the Directive devotes few rules on supervision. here, here i think the government can do much compared to what happened in the past. Let’s try to help short, even from outside the rightholders to be assisted in the best way possible. “



” Matt and voracious “, the legacy of a bad name
CRISTINA NADOTTI
ROME – a wagon, a black hole that sucks money, an old system where the lack of transparency has become art to better pursue aims not always clear. O light only for a few. Having the SIAE target is too easy, because even now that the Sugar Management seeks to change course, some slips are unforgivable and denote a way of understanding its role based on old privileges. An example: if an author wants to know how it works Soundreef and type the word on Google appears as the first result “Borderò Digital SIAE – Portal Associates, advances, etc. – siae.it”. Obviously not an algorithm error, but a record obtained for a fee. That is, using the money of the members. For goodness sake, the advertising investment is part of the prerogatives of each company, but for Siae there’s that word “public” to define their status, that clashes with certain mezzucci. Venial sin, but here’s the other flaws of the SIAE mechanism, such as illustrating his associates.
Not all are alike: . Inside the SIAE still worth voting for the census. Stuff to pre French Revolution, hard to imagine today, but both publishers that authors are entitled to one vote apiece plus one vote for every euro collected from the mountain of royalties distributed each year by the company. In other words, those who already take more money can usually elect their representatives, who are also those who already have a weight within the association.
Lack of transparency . Concerns in practice all acts of SIAE, the assumptions allocation of internal duties. Nancy, made in compliance with the statutes and the prerogatives of the executive bodies to which is also allowed to nominate who should control them. With the “Plan for the prevention of corruption and transparency of the company” approved on January 31 the SIAE has “appointed as Head of the Prevention of Corruption and Transparency The management advisor, lawyer. Domenico Luca Scordino”. In practice, the controller is also checked and who must be controlled appoint its controller.
Balzelli unfair . It is right that an author receives a fee for his work, less clear is who and how much should be paid. Just surf a bit ‘on the SIAE website to see that. We have to do a private party and want to put the music. If it is a birthday and you invite up to 200 people pay 79 euro, as long as you celebrate within 15 days before or after the birth date of the birthday. If it is a party to any other type you pay 99 € up to 200 people, 149 more than 200. Indispensable to put at the entrance to someone who knows how to count. Same goes for the wedding, which costs 299 euro more than 200 guests and worse for you if the old aunt, the number 201, then do not show up. The new Sugar Management anticipates want to simplify this and other collections with the flat packing list, and did not comment on payments due also in charitable activities, a dispute that has been the subject of several parliamentary questions.
membership fees . The composers over 30 years pay a flat subscription fee of 150 euro, compared to very different situations: just think of an author who has recorded an album with ten songs equated Mogol who has protected 20,000 pieces. Many argue that it would be fairer to pay the renewal in proportion to the protected repertoire. Given equal installments, the authors also complain about low or intangible help and support of child composers.
The difficulties of local managers . Fabrizio Croce, event organizer and manager of a place in Umbria, one of the main problems is not able to know in advance how much will spend on a demonstration. “Difficult or impossible to determine before the costs involved and the criteria by which they are counted. Also missing a public digital archive of protected works whose access to know the protected repertoires, but those in the public domain, which would be of great use for demonstrations who is non-profit or for those who make music as a hobby, as it would do so without having to face penalties. ” And yet, according to Croce’s “unlawful fee piped where the tv and radio (both ether web) already pay annual royalties and discs (CD / Vinyl / Dvd) transmitted listening still have a stamp attesting the effected payment of rights. “Here, too, SIAE argues that the new rate scheme will simplify these payments, although it remains the crux of the package to know how the proceeds will then be distributed among the shareholders.

illegible reports . Among the artists passed recently by SIAE in Soundreef there is also the rapper Kento, which explains his choice: “Despite having a degree in Law, I have a hard time reading the wad of SIAE reporting. I expect to be able to access online to my position and to have quickly and without having to redo the examination of commercial law, the information that I need, that they are basically three: ‘You have done these concerts – radio play; you earned this money; It will be credited within this day ‘. With Siae I not have ever been able to. I studied well Soundreef before entrusting them with my rights and, in a sense, even my credibility and my image. It seems to me that the service they offer is very close to what I’m looking for. I seem to have people on the other side of the phone or email, and not a bloated structure which not interested in the least. “

Kento arrived at this decision with difficulty:” It was not a choice that I took lightly, since I’m not an advocate of the free market, especially with regard to music, a field that should be read and adjusted with a social perspective and not economic “, but complains about how much of the proceeds from the right of ‘author is underlined by many members, frustrated by the inability to know what they are getting in return for a membership fee, that yes, sure of the amount.
the scant protection . in general, it is common opinion of the associated lower, compared to a membership fee services that you receive in return are few. Especially, a copyright society should help to emerge through the channels of information and dissemination that could Siae access preferentially. Here too, the Sugar Management has recently announced an agreement “with the Society of Mutual Aid Cesare Pozzo to offer its members and agents the opportunity to subscribe to supplementary health care plans under particularly favorable conditions.” Also promises, with a press release, to continue “in its process of reform and streamlining in order to be more and more modern instrument for the protection of copyright and at the same time as the one stop shop legal supply of content. ” You will also see the new law, but of course, read terms like “efficiency” and “one stop shop ” does not prepare for optimism.

hunting for a new look of light and shadow
PHILIP SANTELLI
ROME – “Tell him who do not perceive fees as president. ” The new communications consultant of SIAE, an expert in the management of emergency situations, stretching a sheet towards Filippo Sugar. He wants to make sure that you remember before the cameras that its function does not provide salary. Here’s the new message that tries to pass the Italian Society Authors and Publishers: efficiency and transparency. The attempt to break free from the image of sideshow politicized that years of mismanagement and commissioners have painted. Until a few months ago to a journalist would be hard to get this far, the plan “general direction” of this tower block of EUR, among many other companies from the ancient symbols and dusty, INPS Inail. Not now, now Siae opens. Would have happened even without the specter of competition?

“I have always fought to change it,” says Sugar, 44, son of Caterina Caselli, director of the record company of family and, since last July, the young president of SIAE history. His commitment is recorded. Already in 2010 interviewed by Republic launched an ultimatum: just inefficiencies, the company has to adjust the digital era. Appeal today really looks like a last resort. Competitors such as innovative startups Soundreef have ripped Siae stars like Fedez caliber and Gigi D’Alessio, proposing a completely analytical breakdown of rights: a passage of a payment equal to the song. While the European directive Barnier, that Parliament is acknowledging, provides for freedom for artists to choose which collecting societies entrust their rights. According to many, almost all parties and the Antitrust Authority, has to mean liberalization. The end of the monopoly that a law of 1941, the only case in Europe with the Czech Republic, assigns the SIAE.

“Even without non-exclusive change anything, there is no room in this market for competition between individuals “, it is the first Sugar response. To collect royalties it takes a network of agents in the area that costs too much because a private you try. A monopoly “natural”, as defined by economic theory: after all even in France, where the homologous Sacem has not exclusive to the law, it is a fact recognized. In the digital age, however, things change. There are always small bars, private parties and local broadcasters: SIAE receives every year a million and a half of paper packing list. But more and more of the music, from large concerts to national radio, from television to shopping centers, and of course the web, is now online, monitored through the automatic software. E ‘in this market who have come forward competitors SIAE, much more ready to invest in technology. “We have a digital agenda that is worth 16 million euro in two years,” Sugar replication. Specifically, however, the only change is the digital packing list for the concerts, with analytical breakdown. In other cases the division of revenues remains on a statistical basis and according to formulas, denouncing many authors, especially minors, totally dark. There is room for competition then: “We are comparing an Airbus with bicycles”, the liquid Sugar, alluding to the 83 thousand members of the Italian SIAE against the few thousand Soundreef. Bikes that let fear though, as the Company has decided to buy Google keywords of his opponents, “Soundreef” and “Patamu” for piazzarci over advertising.

So if the official position is “we do not immischiamo with the choices of the Parliament”, behind the scenes the company is lobbying to defend the monopoly. And his first ally, weight, is the Culture Minister Dario Franceschini. “Abroad envy us,” he recently told a hearing in the House. Arguing that larger companies, in a market where there are giants like Google and Apple, are defending the best interests of the authors. The bride minister a version of “restrictive” Barnier of the Directive: liberalization is international, individual countries may choose to preserve the monopoly. It satisfied with a SIAE reform that makes it more transparent and competitive. Sugar is working on this, shows the 2015 budget numbers The fixed costs are higher than those of Sacem, but remained constant in the last year, 183 million euro, compared to a collection of rights rose by 16.8 %, 704 million. The site has been renovated, the under30 now do not pay enrollment, head of the music section, there is a 32 year-old. “The intermediation margin that we cash shrank to 15.3 percent average, this is what we cost to members, fully in line with foreign competitors,” says Sugar.

Il But you can also see the glass half empty. The structure of charges, 10 regional offices and 29 branches, continue to weigh down the budget. The 1265 employees are on average 72 thousand euro each, levels by the Bank of Italy. The Director General Gaetano Blandini, the real company’s dominus as Sugar lives and works in Milan, has been in office since 2009, a senior ministry official linked to Gianni Letta and appointed by Sandro Bondi, passed unscathed through surveys, controversy and commissioners. And their technology investments, as mentioned, are still in their infancy. Also why many believe that it is better to leave it to the market, an interpretation of the directive would lead Barnier to limit the monopoly of SIAE to parts of activity really do not contestable, such as offline collection. Or to turn a pure infrastructure, a bit ‘as the power grid or railway, in which individual private collection companies could then lean. Or even in a supervisory authority with the task of supervising and sanctioning private operators. Free all, Anglo-Saxon model. If not with this Directive, for which the “soft line” espoused by Franceschini is bound to go, perhaps with a future intervention in the sector, such as the bill introduced by the Movement 5stars in the House.

One model also good for Italy? The liberalization of related rights, those due to interpreters and performers, introduced in 2012 by the Monti government in haste and without clear rules has brought a great deal of confusion and turned on complaints. More generally, it is not only the Minister Franceschini to think that Italy is better than a similar to the French model, with a single large entity nonprofit organization that negotiates en bloc the whole national repertoire. In the interest of the users, which would have a single interlocutor with which to interface. And by the same authors: “We support also the less rich disciplines such as opera or theater artists and do not discriminate between major and minor artists,” says Sugar. Suggesting that individuals would focus only on the most profitable market, the big music. The fact is that SIAE, apart from mentioning the “60 thousand containers artists”, is struggling to prove to exercise for real this redistributive function. A little ‘for its democracy “in the census” wanted by the Sugar, who delivers one more vote in the assembly for every euro earned law and hand over de facto control to a handful of labels and superstars. With big complaints, for example, by the publishers of books, it is impossible to be felt. And a little ‘because, without analytical breakdown, SIAE is not able to show how the rights are distributed to artists “minor.” “We say senior authors: this is your company, is no longer what it was before, venitela to discover,” says Sugar. SIAE try to open up. Hoping it is not too late.

Fedez: “I went out to shake”
CRISTINA NADOTTI
ROME – the choice of Fedez like a stone in the pond. The rapper insists that in leaving the SIAE had not only or primarily a personal interest. “It always seems that my choice serves to demonize SIAE, but it is not so – is keen to stress the young artist that even next year will be among the judges of the X Factor talent – I think Filippo Sugar is a great expert in the publishing field, being He born in a cradle of publishing, and I hope that my choice will lead to a healthy debate, which is good for everyone. “
But when he announced the move to Soundreef also gave other motivations, which ones?
“After four years of meaningful activities ahead of the curve I realized that something was wrong, as I have realized many other artists. the SIAE is a dusty lot system, which has ancient roots and besides not having undergone a rejuvenation has the logistic distribution problems. As I got to say, I received a two-year SIAE statement ago. They are justified in saying that refers to a type of collecting more difficult to perceive because it concerns the activities on TV, but the fact is that the other side I found a start-up that promises different things. “

what ?
“First Soundreef has a breakdown and a collecting fastest. But I want to reiterate that my choice is not only due to the convenience, it is also an experiment. I know I have a media impact of a certain type and I knew that my choice would have turned a spotlight. I do not care who becomes the new Soundreef SIAE, I do have started a debate that would attract the interest among the public. I wish one were to compare private and public, listen to each other’s arguments. Plus, I do not believe in monopolies and prohibitionist policies do not work. “

This debate and competition will help the SIAE to renew itself or there is no hope?
“In the past Italy he had an energy monopoly and when the doors there was a benefit to consumers are open. The companies leading competition to improve the monopoly leads to

If you could give advice to the SIAE to help his associates, what you suggest?
“Siae should not be profit-seeking, but over the years has accumulated real estate for millions of Euros. It should begin to account and make them available to the members to work harder on the territory. What is missing in Italy are gathering places, I know how important because they gave me a certain type of training and have kept me away from a lot of bad things. Therefore less subterfuge, more transparency and more work on the ground. “



The old monopoly challenged by the app
PHILIP SANTELLI
ROME – Just think about Shazam. The app that millions of people have on your smartphone. An ear can recognize a song, author and title, simply listening to a few notes. Are technologies like this that are changing the music rights management market. Making online, digital, automated the steps of song recording process that until recently was offline, made of paper, ink, and human sweat. And allowing innovative companies, as Soundreef or Patamu in Italy, to propose an analytical breakdown, rather than statistical, of revenues: every use of a song creates its payment for the artist who composed it. All registered, fully transparent.
Stores and shopping centers. Soundreef began from there, the music of widespread backing from the speakers of supermarkets and shopping centers. Since the ’90s the big chains have “in-store radio”, the CCTV channels that transmit the benefit of customers. Each song leaves a “log”, a digital track: “For a collection company you can latch on to these circuits and record everything that is played,” says the founder of Soundreef Davide D’Atri. With absolute precision.
The concerts and discos . For the music from the live key is the digital packing list. Rather than fill out by hand the list of songs played, you do it on an online platform. For several years Patamu offers artists an online system of “marking” of their songs: a paternity certification that the author obtained by loading the track network (instead of sending a parcel as provided by SIAE). A few months later he began to have the rights to live concerts: “The independent artists fill the digital packing list and make sure it gets paid them their due,” says the founder Adriano Bonforti. By creating a unique platform for all event organizers it would be possible to share in an analytical way the rights of all authors. And the discotheques, adds D’Atri, just a small device attached flat wings, able to recognize “with 85% accuracy” the songs, even mixed together

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