Music Identification Software as a tool for precise monitoring

of real music use in public spaces and fair distribution of

music rights income

SERGEJ LUGOVIĆ

Polytechnic of Zagreb, University of Applied Sciences Vrbik 8, 10 000 Zagreb CROATIA

slugovic@tvz.hr

NIVES MIKELIĆ PRERADOVIĆ

Department of Information and Communication Sciences Faculty of Humanities and

Social Sciences, University of Zagreb I. Lucica 3, 10000 Zagreb CROATIA

nmikelic@ffzg.hr http://www.ffzg.unizg.hr/

Keywords: music collective rights management, viable system model, music identification

software, music information retrieval, transaction cost theory, information behaviour

Objectives of the research

We can observe two important trends in the today's music industry. One trend is

development of information technology which processes information according the

music industry demands, such as music recommendation algorithms (1), music

identification software (2) and web services (3) to serve emerging needs of the music

industry in the information age. The second one is diversification of incomes streams

(4,5,6) including streaming services, copyrights income and live performance. The main

objective of this research is to find relations between those two trends and how they

influence each other from the perspective of systems thinking. Precisely speaking, the

main question is: Can a music identification software be used to improve transparency

of music copyrights income distribution?

Brief description of the disciplinary/theoretical context/background

This research follows the information through the whole music system, from the public

space where music is consumed to the distribution of income collected (7) by Collective

Rights Management Organisations (CRMO). To do so, we have to use different

scientific disciplines, such as information science, economic science, systems science

and computer science. Putting it into a theoretical context we will use music information

retrieval, transaction cost and system theories. Basic assumption of the research is that

music industry in the 21st century should be viewed as a system (8) which connects

music creators and music consumers in a economical way, satisfying cognitive needs of

a particular user of the system, along with socio-cognitive needs of different stakeholder

groups. Such system should be based on premises of using existing technologies in a

way to optimize functions, processes and structures for all participant sin order to satisfy

their needs.

Research questions and/or hypotheses

The primary hypothesis of the research is that music identification software (MIS) could

be used to recognise music in public spaces. The second hypothesis is that collected

information could be used in the music system and bring benefit for most of the

stakeholders. Following hypothesis questions will be answered: Which MIS could be

used? How are they working? How precise are they? What are the procedures of their

successful implementation? There are also two technical questions: How do information

flow through the system? and What are the effects of such new patterns of information

flow? As CRMO are just a part of the music system, we have to address the question

how such new information behaviour patterns are aligned with higher order system

strategies.

Methodology and results overview

In this research the authors follow the research and experiment published in (9) where

accuracy of Shazam application in music identification was analysed. A playlist was

captured and analysed in a nightclub environment on two different mobile phones.

Later, the same playlist was analysed by comparing results in a home studio

environment. The findings from this research show that Shazam is not precise enough

to be used as technology for monitoring music in public spaces. While conducting the

research the authors discovered another technology which could identificate music at a

much higher rate. The dataset from the published research will be used to evaluate

another technology and compare it with previously published results. From the

preliminary interview with the management team of the company in possession of

mentioned technology we can see that the technology is beeing used on different

festivals across Europe. Some CRMO are already recognising importance of having

transparent data for the purpose of better serving their members. After comparing the

datasets and results, a case study will be presented, primary covering the relationship

with artists, users of public space, music events organisators and CRMO. After

collecting and analysing data we have evidence that music system, in primary CRMO

system, has the opportunity to capture data about music consumption, at a lower cost.

This kind of an impact on how information behave (10) in the CRMO system and how

they influence the economic of such system (11). An applied system modeling

technique was applied in the research to construct generic model of information

behaviour in such system, addressing different stakeholders (figure 1).

Figure 1 Generic model of music information flow in CRMO stakeholders ecosystem

The presented model is generated on the fundamentals of the transaction cost theory

proposed by Ronald Coase (12). To evidence such model, literature review was done,

addressing economic (13), management (14) and computer science perspectives (15).

While researching the literature about economics of CRMO research found lack of

availability of research data and at the same time evidence of importance of precise and

transparent measurement of music consumption. As CRMO are the part of the higher

order music system, the Stafford Beer Viable System Model (16) was used to define

different sub systems and their interdependencies in the context of the EU. For the

purpose of this research we have tried to define a system on basis of information flow

from the music use in public spaces to the payment to artists who actually write music.

As System 1 we propose public spaces where music is consumed, artists whose music

is used and their reporting on the use of their music and music event promoters. All of

them participate in the reducing complexity of the environment, by participating in

reporting of the actual music use in public spaces. As System 2 we propose the role of

CRMO that actually process information collected from the environment and their role in

the system is to distribute income based on collected information about music

consumption. System 2 is supposed to coordinate activities, but it often used for a top-

down control approach (17). System 3 is in our opinion the missing link, as there is no

strong evidence of organisations which are evaluating the process how the information

is collected, what kind of technology is used, what are the cost of the system two and so

on. Another role of the System 3 is that it should report to System 4 and 5. In case of

CRMO they are collecting the information and distributing the money, and at the same

time they are communicating with higher order systems such as governments, without

having established control procedures between them. Evidence from Croatia's 1

governance model will be presented in this research. Reviewing the literature we have

found that there was an initiative in Brazil to install System 3 (18).

System 4 would be government agencies which are accrediting the CRMO to operate

by law. Such government agencies should communicate with an environment through

continuous feedback and at the same time build identity of the overall system. That is

why such agencies, as we can see System 4 has the responsibility to improve the

perception of importance of economics and social impact of system of music rights, not

just giving the licence to CRMO to operate. System 5 is EU, its particular agencies and

initiatives that define policies which influence a wider set of interests, like social

interests of transparent society and fair distribution of earned income.

Main or expected conclusions / contribution

We hope that this research will contribute to the multidisciplinary research of music

income distribution along the whole system, from creator to user. Evaluation of available

technologies for purpose of information processing through the whole system and

generic model proposal are contributing to domain as a basis for further discussion. In

addition the system analysis using VSM indicate the need for evaluation of current state

of the CRMO ecosystem. Such broad approach proposed in this research addresses

the issues of the new context of CRMO environment influenced by ICT. As the old

proverb says we cannot see the forest for the trees, which leads us toward a dramatic

effect of erosion of the trust in the legal system (19).

1 Evidence of Croatian CRMO governance will be presented in a paper. Croatian government agency is directly enabling and controlling CRMO, which indicates missing link of System 3.

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