Kobalt Acquires AMRA to create first global digital music collection society

Kobalt, the leading independent music publisher and AMF Publishing’s administrator, announced the creation of the first global, direct, digital mechanical and performing rights society following on from Kobalt’s purchase of AMRA (American Music Rights Association) last year. Re-designed to maximize value for music rights owners and creators in the growing digital marketplace, the new society will be based on a global, direct collection structure and advanced technology, setting new industry standards for efficiency and transparency for clients in the process.

Kobalt purchased AMRA in order to further enhance its services to rights owners. AMRA’s innovative approach to music rights administration will leverage Kobalt’s advanced royalty processing platform, KORE (on license to AMRA), to provide fast, efficient royalty distribution with total transparency. Through continued partnerships with major digital service providers (DSPs) around the world, AMRA will broaden the direct-collection capabilities across the globe for all AMRA members.

The music industry as a whole is undergoing a seismic shift in order to support the evolving landscape that comes with digital music consumption. Kobalt saw these changes coming when it was formed in 2001, and has spent the past decade working to solve these issues and structural inefficiencies — first with publishing, and then label services, neighboring rights and digital distribution with AWAL. AMRA is the latest, most exciting step in Kobalt’s industry leading quest for transparency, speed and accuracy.

Willard Ahdritz, founder and CEO of Kobalt said, “With AMRA, we are now able to fully execute our original Kobalt vision of trust and technology for creators and rights owners on a global scale. AMRA allows us to offer service unlike anything ever seen before in royalty collections. The industry can no longer afford to spend $5 collecting $1 – the efficiency and transparency of AMRA is the future.”

James Fitzherbert-Brockholes, COO of Kobalt said, “AMRA’s unique strategy to license directly to the global multi-territorial DSPs [e.g. Apple, Spotify, YouTube, etc.] is the most efficient way to handle the ‘high volume/low transactional value’ of music repertoire in a streaming world. The traditional model of individual licenses across

100 local territories for one major DSP does not promote transparency, efficiency or economies of scale in today’s digital business.”

For more information on the new AMRA please visit www.amra.com

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