What is Sound Exchange?

SoundExchange collects performance royalties for the streaming musical content. Whether a commercial FM broadcaster or an online-only digital radio station. Through its Licensee Direct service, it enables broadcasters to calculate, certify, and submit digital performance royalties.

SoundExchange, established in 2003, was appointed by the U.S. government to handle the Section 114 sound recording license. They collect and distribute digital performance royalties for over 600,000 creators.

The annual minimum fee for 2023, and is $1,000 for each station or channel, subject to a $100,000 cap. This minimum fee is recoupable, and services do not submit additional payment for streaming activity in 2023 until this amount has been exhausted.

If you think you might need a license to stream music over the internet you can apply for a Sound Exchange account here:

https://licenseedirect.soundexchange.com/wizard