Roblox settled a lawsuit from music labels. They demanded $200 million for copyright infringement
Roblox has settled a conflict related to the illegal use of music on its platform. She announced a peace agreement with the National Association of Music Publishers (NMPA).
Source: Roblox
Recall that music labels filed a lawsuit against Roblox in June.
They accused the company of copyright infringement. They say that gamers could embed virtual players into their games for money to listen and download music. According to the labels, Roblox has earned “hundreds of millions of dollars” on this. As compensation, NMPA demanded to pay her $200 million.
Now the parties have been able to agree. They did not disclose all the details of the transaction, so it is unclear how this will affect users and whether Roblox will pay compensation. It is only known that the company is now ready to enter into partnership deals with individual labels that are part of the NMPA.
“We are pleased that we have come to an agreement with NMPA and that the music publishing industry sees the creative and commercial potential of Roblox,” said John Vlassopoulos, vice president of Roblox, head of music. “We are committed to partnering with the music industry. We want to open the era of a new music business inside the metaverse. An era that will delight both musicians and their fans.”
Even before the settlement of the scandal, Roblox began to actively fight for its reputation. A week after the NMPA lawsuit, the company began to cooperate with BMG, the fourth largest music label in the world. And two weeks later, she entered into a partnership with Sony Music Entertainment. In addition, the other day Roblox presented Listening Party — a platform where musicians can hold album premieres.
NMPA itself recently entered into a similar agreement with Twitch after many months of conflict. Details of the agreement are also almost not disclosed, but, according to the companies, the deal will allow “to establish productive partnerships between the service and music publishers.” Nevertheless, streamers are still not allowed to include music for which they do not have rights during broadcasts.