Implementing Copyright Collective Management: A Comparison of Malaysia and Thailand Supatchara Distabanjong สุพัชรา ดิษฐบรรจง

Creators/ Right owners Collective Management Organization (CMO) Several right users pool rights license $ royalties $ What is Collective Management? Collective Management CMO is NFP organization: - License works for users (monitor use & collect royalties) - Distribute royalties to members

CMOs in Music Industry CMO for musical works ( or Authors & composers’ Society) CMO for recording companies CMO for singers and musicians

Copyright collective management is important in music industry Collective management Organization (CMO) is essential in representing composers demanding royalties Composers in some Asian countries do not appreciate full benefit of collective managements Few studies of how the collective management is developed in Asia. None compare between success and problematic cases in the same region Why the research is important?

Introduction Macro factors comparison between Malaysia and Thailand –Language –Legal system –Copyright Law –Provision of Collective management

MACP Performance MCT Performance Currency: RM Currency: Baht

Aim & Scope Aim : to provide a guideline of collective management for policy maker so that Thai composers properly receive royalties locally and internationally Scope: focus on collective management of composers

Research Question: How can the collective managements in Thailand be implemented successfully so that Thai composers can receive royalties locally and internationally? - What are indicators for success of collective management? - How can Thailand implement collective management successfully?

Methodology “Convergent Interview” of nine interviewees: - 4 from executives of MACP - 4 from executive of MCT - 1 from international expert from CISAC Methodology: Case Study

Operationalized Framework for Success of Collective Management Business Perspectives: –Revenue –Cost –Opportunity lose –Opportunity gain Law Perspectives: –Protect composers’ right –Lifting the real practice to international standard

Indicators of Collective Management’s Success The success of collective management is indicated by the collective management organization (CMO) that: represents almost all international and local repertoire of a copyright works, can collect the reasonable royalties at reasonable costs, and is able to transparently distribute royalties to creators/owners within its first two years of licensing activities.

The Indicator for Success of CMO in Collecting Royalties in Thailand Compare to Malaysia Government –Build understanding of international practice –Correct interpretation about international practice Thai recording companies – join CMO as music publishers –Need to be internationalize and be competitive in the region –Need to protect right internationally –Build good image and Social responsibility

The Indicator for Success of CMO in Collecting Royalties in Thailand Compare to Malaysia CMO –Need clear legal identity –Reduce conflict of Interest perceived by recording companies –Build good alignment with recording companies, CMO, and composers –Build of awareness campaign

The Indicator for Success of CMO in Collecting Royalties in Thailand Compare to Malaysia Users – Build understanding – Limit selective channel for Thai songs Thai composers: –Build understanding –Build solidarity to increase negotiation power with recording companies

Conclusion The Policy maker should align and balance all stakeholders within the operationalized framework Mutual benefit of composers, recording companies, and CMO should be enhanced Implementation should be at the macro level both locally and internationally

Implications: 1.National Level 1.1 Provide guideline regarding law, regulation and administration for policy maker 1.2 Build national competitiveness by recognizing composers’ right up to international practice 2. Industrial Level 2.1 Internationalized music industry by enhancing CMO 2.2 Good governance of CMO by positioning NFP 3. Individual Level 3.1 Less users’ infringement by obtaining CMO license 3.2 Fair incentive to composers by being member of CMO

To what extent the Government should control/supervise CMO Culture involved?? CMO of performers? Future Research