Registration and trade of Copyrights and Intellectual Property Rights in Sweden.
The parliamentary motion:
- Online copyright registration is performed under regulative supervision by the Swedish authorities similar to existing company equity registration and trading.
- All royalties paid to copyright owners are under Swedish taxation, considered non-fungible equity security.
We are witnessing the rise of a consumer-creator model that has broken down the barriers to the creation and distribution of content.
There are more songs, videos, books, articles and photos being produced today than ever before. Also, we have new and evolving digital media like podcasts and video games, and exciting new creative technologies like 3D printing and virtual reality.
Emerging artists and creators are benefiting from open, instant, and, in many cases, free access to a critical mass of users via online distribution platforms, as well as from dedicated platforms aiding in production, distribution, monetisation, and audience development.
However, the probability to get paid for this creativity is often an illusion.
The Music Industry.
The world’s three leading pop-music nations today.
USA: 318 million people
UK: 60 million people
Sweden: 11 million people
Sweden is one of the world’s biggest exporters of music relative to the size of its economy. However, it’s also pulling the talent away from Sweden. Talent not only in creators but also in the world leading music platforms like Spotify and Soundcloud.
Collecting societies like STIM has a 2 billion SEK turnover, representing some 10% of the music turnover in Sweden. However, music icons like Max Martin had a 172 million SEK turnover in 2017 (7 out of 10 top hits in 2016) gives an estimated value of his work alone to 1,7 billion SEK.
Creators like Max Martin have very tight control over their creations in Copyright and IPR. However, as the Swedish film “Looking for Sugarman” showed there is an enormous market that is totally off any regulative radar in any country. Close to 70 billion in the so-called black box (i.e. royalties that nobody “owns” with a sort of “finders-keepers” attitude.
The entire music industry is expected to grow to SEK 400 Billion by 2030, driven by streaming which is expected to generate SEK 300 billion (80%) of total revenue.
Given the leading role Sweden occupies in the music industry, one can only guess what kind of income and consequently taxes that go to any other country than Sweden.
A regulated and transparent registration process for copyrights and intellectual property rights is the basis for a fairer and more transparent payment of royalties for all content and across all media, especially in the digital environment of the Internet.
Copyright registration places on record a verifiable account of the date and content of the work in question so that in the event of a legal claim, or case of infringement or plagiarism, the copyright owner can produce an accurate copy of the work from a reliable source.
Copyright ownership is very lucrative, especially for the most famous songwriters, artist, photographers, journalists, writers, film producers etc. There is a market for trading in copyright ownership and shares representing parts of this ownership.
The fact that trading in copyrighted content and arts are the last area of money laundering and terrorist funding is an excellent reason to get all registration and trading of copyright, arts and content regulated.
Just as in traditional equity trading where shares in a company entitle the owner to dividend when the company are doing well, shares in a copyrighted content is entitled to royalties when the content is popular.
The equity market uses ledgers to manage stock trades, reconciliation, payments and settlements, clearing, and share registration. Disparate ledger systems drive the entire equity trading at its core. Something that makes the equity market a basis for a reconstructed content equity and trading market.
The best news is that the system capable of handling this is freely available on a non-profit basis.
By being the first in the world to regulate the registration and trading in Copyrighted content, Sweden is not only looking at additional taxation in the billions but contributing actively to create a sustainable income basis for creative people and secure Swedens role on the worlds creative arena.