Copyrights 2025
Written By:
Allen Johnston
Music Specialist
Big Joe Turner
The idea that major record labels will be devastated by the wave of artists reclaiming their
copyrights is almost laughable, especially when considering what these labels currently own
and control.
Major record companies have long relied on their back catalog as a built-in revenue stream.
Sales of CDs, digital streams, vinyl, and live performance recordings continue to sustain them
while revenue from new artists remains unpredictable. Over the decades, these corporations
have strategically structured the industry in their favor.
During the 1980s, major labels executed a plan that dismantled independent Black and White
retailers while securing dominance over distribution. They introduced the SoundScan system,
offering free computers to independent store owners and coalitions. This initiative gave labels
direct access to sales data, allowing them to pinpoint which catalog titles were consistent
sellers. With this knowledge, they could optimize manufacturing costs while maximizing profits.
Since they owned the copyrights, they essentially paid themselves through mechanical,
synchronization, and performance publishing rights.Recording contracts from that era—and even before—ensured that major labels retained nearlyall revenue streams from copyrights. Artists were left with only a fraction of publishing revenue, limited performance royalties, and sometimes a cut of merchandising. PA (musical composition) and SR (sound recording) copyrights for nearly every hit song before 1984 remain under the ownership or control of a major label or one of its affiliates. For instance, Sony Music might control the SR copyright of a song, hold at least 50% of the PA copyright through contractual agreements, and place the composition within its wholly owned publishing division. This setup allowed money to circulate internally, with one corporate division paying another. Additionally, many artists had taken advances against royalties, leading to labels claiming ownership over original songwriter shares as well.
Artists affected by these agreements include, but are not limited to: Aretha Franklin, Marvin Gaye, Otis Redding, Ray Charles, Chuck Berry, James Brown, Clyde McPhatter & The Drifters, Big Joe Turner, The Temptations, Little Richard, Wilson Pickett, Fats Domino, The Dominoes, Sly & The Family Stone, Lloyd Price, Martha & The Vandellas, Parliament-Funkadelic, The Four Tops, The Isley Brothers, Jackie Wilson, Smokey Robinson & The Miracles, Kool & The Gang, The Supremes, Frankie Lymon & The Teenagers, Earth, Wind & Fire, and many more.
Even in the worst-case scenario, where some artists reclaim their rights, major labels will simply renegotiate with savvy copyright owners who have financial leverage. For everyone else, it will remain business as usual—offering advances in exchange for new contracts.
These catalogs retain immense value in the digital age, particularly in streaming, film and commercial licensing, and corporate partnerships. With their industry connections, financial muscle, and technological infrastructure, major labels remain well-positioned to continue profiting from these assets.
