Content Agreggator Agreements With Online Music Services

Legitimate online music services have struggled to provide content from the fragmented independent music world. Until recently, independent artists were not very present on the legitimate online music services. There were exceptions, but MusicNet, pressplay, MusicMatch and even iTunes were initially more interested in licensing big catalogs from the major labels than in individual licenses from independent artists. This is partly because the major labels control the best-known recordings, partly because the major labels usually support online distribution with significant marketing budgets and partly because it is not very efficient for an online service to negotiate agreements with thousands of independent artists.

In addition, given the highly litigious state of the online music business and the potential exposure to statutory damages for copyright infringement in the United States, it is unlikely that the legitimate services would take the risk of allowing click-through agreements for artists to post their recordings on these services.