Necessity is the mother of invention, is it not? For quite some time now, music industry onlookers have been grappling with the question, "How do we deal with this Internet and all the problems it promises to cause us?" Well, finally, a company decided to deal with one of those many new problems. Digital Licensing Center (DLC), a division of BMI, has been growing and now claims nearly 500 websites that license through the service.
Richard Conlon, BMI’s Vice President of New Media & Strategic Development, is excited about the service's growth. “The DLC is a digital tool that has met its mandate to simplify music copyright licensing." He is right. DLC has simplified the online licensing process and, when expanded beyond BMI, will help reduce costs associated with this licensing area.
BMI launched the service and site in May of 2000, and a newer version 2.0 debuted in 2004 with additional features. In 2006, nearly 200 additional users acquired their performing rights license through the DLC. DLC is a fully automated end for securing performance licenses online. The website can publicly perform all of BMI’s 6.5 million copyrighted works.
DLC's system, called Klick-thru, allows Internet sites to execute licenses without the need for paper contracts and the bureaucratic sluggishness. It does this by accepting the fee payments by credit card. Users input the music tracking data into Klick-thru, and the royalty payment is calculated. As is traditional, BMI's performance license fees are based on the fees generated, which are then distributed as royalties to BMI's songwriters, composers and music publishers.
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