LMKN Emphasizes the Obligation of Platform Parties in Royalty Payments

JAKARTA - National Collective Management Institution (LMKN) Commissioner Suyud Margono emphasized that the obligation to pay royalties for copyrighted songs or music played in live streaming on digital platforms is the obligation of platforms such as TikTok, YouTube or Spotify, and not charged to creators.

"Creators don't pay. From TikTok, from Spotify, from YouTube, who pay. TikTok pays," said Suyud, quoting Antara.

LMKN emphasized that content creators are not burdened with the obligation to pay royalties when they broadcast live (live streaming) on social media.

Suyud explained that large-scale digital platforms have licensing agreements with LMKN. The royalty funds deposited by the platform are then managed and distributed to copyright owners through the regulated mechanism.

"Regarding the flow of funds, LMKN manages the royalties that come in. The funds are distributed to creators, performers, or producers of sound recordings through LMKN after being strictly verified by LMKN and LMKN," he explained.

He emphasized that the obligation to pay royalties for the commercial use of music in the digital space has a clear legal basis. This regulation is contained in the Minister of Law Regulation.

"Permenkum Number 27 of 2025 has regulated this. One category of commercial digital users includes downloading and video streaming," said Suyud.

According to Suyud, the development of digital technology actually makes it easier for LMKN to monitor the use of songs in the online realm. The digital system allows for more accurate recording of the use of works, so that the distribution of economic rights to musicians can be carried out in a more organized and transparent manner.

"We want to ensure that the music ecosystem runs fairly. Creators don't have to worry, while the economic rights of musicians are still protected," said Suyud.

This statement also clarifies the previous news that said that the use of music in live streaming or audio streaming on social media by creators is subject to royalties, so that creators do not have to worry and can still stream with licensed music or songs.