Livestream performances subject to copyright usage fees: Culture Ministry

BTS holds an online concert in October, 2021. [BIGHIT MUSIC]

Streaming live performances online will result in the same copyright usage fee as that of offline performances, Korea's Ministry of Culture, Sports and Tourism said Tuesday.

Livestreaming events aimed at providing music, such as concerts and orchestras, will pay 3 percent of the revenue multiplied by the musical work management rate.

The musical work management rate is the number of the songs managed by copyright management institutions, namely the Korea Music Copyright Association (Komca), divided by the total number of songs used during the performance. Komca is the biggest copyright manager in Korea, with over 80 percent of the country's music works trusted to the association.

Events that combine music with performative elements, such as musicals or operas, will pay 2 percent of the revenue multiplied by the musical management rate. Events where music is supplementary, such as fashion shows or ice skate shows, will pay 1 percent.

Free events will pay according to the number of online users watching the show. Music concerts will pay 60 won (4.5 cents) per viewer, musicals 40 won and fashion shows 20 won, multiplied by the management rate.

If the show is streamed on over-the-top (OTT) streaming services such as Netflix or Wavve, then it will be subject to the usage fee for those services, not the newly-established standards.

The announcement comes as livestreaming performances became the norm beginning in 2020 when the Covid-19 pandemic was in its early stages.

Since social distancing guidelines were loosened last year, organizers have been holding both on and offline concerts to provide opportunities to a wider range of audiences. A total of 203 online shows were held last year, 250 percent more than the 58 in 2020, according to Interpark.

“We expect to heighten both user experience and creators’ rights with the newly-established fee policy,” the Culture Ministry said in a press release. “We hope this leads to the growth of the performance industry and the music copyright ecosystem.”

BY YOON SO-YEON [yoon.soyeon@joongang.co.kr]