Fiscal 2022 Business Affairs

1Collection and Distribution(The figures for each bar graph are actual amounts collected or distributed. Unit: Billion yen)

Collection
116.73129.01 billion yen

Distribution

129.01115.97125.64 billion yen
125.64

AgainstFY2021+10.5 ％
2021

AgainstFY2021+8.3 ％

2022

2021

2022

 Collection

Collection of royalties increased by 12.28 billion yen compared to FY2021.
In addition to interactive transmissions, with subscription services and video posting services maintaining
strength, there was a significant increase in the category of performances, etc. backed by the easing of various
restrictions on activities (COVID-19 countermeasures). Overall, the amount collected surpassed the previous
record (117.69 billion yen) set in FY2019.

 Distribution

Distribution of royalties increased by 9.67 billion yen from FY2021.
Besides interactive transmissions remaining strong, there was a significant increase in the category of
performances, etc. Overall, the amount distributed surpassed the previous record (120.63 billion yen) set in
FY2020.
©2023,JASRAC

2

Details of Collection and Distribution
Royalties Distributed in FY2022

Royalties Collected in FY2022
Category

Collection(thousand yen)

56,015,674

Performances
Performances, etc.
Broadcasts, etc.
Cable broadcasts
Film exhibitions
Foreign income (performances)

Mechanicals
Audio discs
Audio tapes
Music boxes
Film reproduction
Videograms
Foreign income (mechanicals)

Publication
Reproduction for specific purposes
Reproduction for advertisement
Reproduction for games

20,851,097

28,974,264
4,400,777353,923
1,435,610
16,917,801
7,528,851
214,772

8,448
78,885

8,627,956

458,886
657,7884,259,081
1,607,892
2,651,189

528,660
50,535,143

Lending
Composite use
Online karaoke
Interactive transmissions

Private copying remuneration

Total

5,868,313
44,666,829
105,799

129,019,948

Category

Against FY2021 (%)

112.6

129.1

Performances
Performances, etc.

103.6
97.7

118.3
176.7
92.6
92.8
119.4

Broadcasts, etc.
Cable broadcasts
Film exhibitions
Foreign income (performances)

Mechanicals
Audio discs
Audio tapes

109.4
127.1

Music boxes
Film reproduction

89.7

159.5
85.6
89.9
96.4
86.3

75.8
118.9

116.1
119.3
2332.8110.5

Videograms
Foreign income (mechanicals)

Publication
Reproduction for specific purposes
Reproduction for advertisement
Reproduction for games

Lending
Composite use
Online karaoke
Interactive transmissions

Private copying remuneration

Total

Collection(thousand yen)

Against FY2021 (%)

55,246,687
20,317,292
28,992,180

107.5
127.7
98.1

295,616
1,150,131

78.2
147.1

9,187,830
355,316
682,000
4,495,705
1,673,187

100.7
121.0
90.6
105.3
107.0

4,491,465

17,314,274
7,477,287
208,0818,437
77,321

96.7
90.9
115.1
108.7
121.6

2,822,518
595,451
47,268,544

104.3
69.7
115.8

125,647,864

108.3

5,800,859
41,467,685
45,200* Amounts are rounded down to the nearest thousand yen, so the sum of the amounts in each category may differ from the total.

©2023,JASRAC

94.6

111.8
116.4
752.9

3

Collection Results: Performances
1

Performances

Performances, etc.

16.14

2021

(The figures for each bar graph are actual amounts collected. Unit: Billion yen)

20.85 billion yen

20.85

28.97 billion yen

Broadcasts, etc.
27.98

28.97

AgainstFY2021+29.1 ％

2022

AgainstFY2021+3.6 ％
2021

Cable broadcasts, etc. 4.40 billion yen

2022

4.50

4.40

2021

2022

AgainstFY2021-2.3 ％

 Performances, etc.

For dramatic performances, concerts, etc., collection greatly surpassed the FY2021 results due to factors suchas increase in the number of large-scale concerts held as a result of ease in restrictions such as reduced
admission capacity. Driven by dramatic performances, concerts, etc., the entire category of performances, etc.
greatly surpassed the FY2021 results.

 Broadcasts, etc.

For broadcasts of programs, collection surpassed the FY2021 results as broadcasters’ FY2021 businessrevenues, which are the basis for royalty calculation, were strong overall.

 Cable Broadcasts, etc.

Collections for both cable radio and cable TV broadcasts decreased compared to the FY2021 results.
©2023,JASRAC

4

Collection Results: Reproduction / Reproduction for Specific Purposes2

Reproduction / Reproduction for Specific Purposes (The figures for each bar graph are actual amounts collected. Unit: Billion yen)

7.52 billion yen

Audio discs

8.11

2021

7.52

2022

AgainstFY2021-7.2 ％

8.62 billion yen

Videograms
9.61

2021

8.62

2022

AgainstFY2021-10.3 ％

Reproduction for
specific purposes

4.73

4.25

2021

2022

4.25 billion yen
AgainstFY2021-10.1％ Audio Discs

While a partial trend toward recovery from the pandemic was observed through production of CDs, records,
etc. in 2022 exceeding 2021 (in value terms), there were only a few hit products containing JASRAC
administered works. As such, collections decreased compared to FY2021.

 Videograms

Due to factors such as the continuing transition from physical products to digital (growth of subscription
services, etc.) and the presence of major hit products in the previous fiscal year, results decreased comparedto FY2021.

 Reproduction for Specific Purposes

Royalties collected from reproduction for advertisements decreased compared to FY2021 due to factors suchas less use in automobile-related advertising. Royalties collected from reproduction for games dropped fromFY2021 due to factors such as decrease in use of JASRAC administered works in games for home use.
©2023,JASRAC

5

Collection Results: Composite Use
3

Composite Use
Online karaoke(The figures for each bar graph are actual collected amounts. Unit: Billion yen)

5.86

Interactive transmissions

billion yen

37.45

5.05

5.86

2021

2022

44.66

billion yen

44.66

AgainstFY2021+16.1 ％

AgainstFY2021+19.3 ％
2021

2022

 Online Karaoke

Results for FY2022 greatly surpassed the FY2021 results due to factors such as the number of active online
karaoke terminals increasing upon the ease of various restrictions (COVID-19 countermeasures) on
restaurants’ operations.

 Interactive transmissions

Due to factors such as the continuing transition from physicalproducts to digital (growth of subscription services, etc.),collections greatly surpassed the FY2021 results.

©2023,JASRAC

History of collections forinteractive transmissions
32.29
19.05

21.79

2018

2019

2020

(Unit: Billion yen)

37.45

2021

44.66

2022

6

Collection Results: Main Topics New Licensing Agreement with YouTube

JASRAC concluded a new licensing agreement with Google for use of JASRAC administered works
on YouTube. Under the new agreement, JASRAC has begun using Content ID (a tool for copyrightowners to protect and manage copyrighted contents on YouTube) in full scale for the purpose ofreflecting usages of JASRAC administered works to distribution of royalties in a more accurate way.

 Announcement on Use of Music in the Metaverse

With growing interest in using music in the Metaverse, JASRAC created a guide with specificexamples showing that licenses would be granted by applying the fees for interactive
transmissions. This was announced on JASRAC’s corporate website.

 Discussions on Simultaneous Streaming Services of Broadcast Programs

With key commercial TV stations in Tokyo launching full-scale services in April, JASRAC monitored
this movement and continued discussions with user groups and broadcasters on the appropriate
method of assessing fees based on the contents of their business models and services.

©2023,JASRAC

7

Collection Results: Main Topics
 Initiatives for Increasing Foreign Income(1) Registration of video content information, etc.

With the purpose of swiftly providing information on video contents (such as animations)containing JASRAC administered works to copyright management organizations in various
countries, and to enable those organizations to accurately identify such video contents,
JASRAC took the following actions:

1. Development of a system which will streamline the process of registering information to a
database referred to by copyright management organizations worldwide
2. Registration of titles in local languages for video contents (such as animations) and
JASRAC administered works contained therein(2) Representation agreement with overseas copyright management organization

In January 2023, JASRAC concluded a reciprocal representation agreement for performing
rights and mechanical rights with SAYCE (copyright management organization in the Republicof Ecuador).

©2023,JASRAC

8

Collection Results: Main Topics
 Musical Instrument Classes

Regarding the lawsuit filed against JASRAC by some musical instrument class operators seeking
confirmation that copyright does not extend to performances in musical instrument classes, in
relation to performances by instructors and performance of sound recordings, the First Petty
Bench of the Supreme Court ruled on July 28 that the musical instrument class operators’
petition for acceptance of the final appeal would be rejected. Furthermore, for performances by
students, it declared on October 24 that JASRAC’s final appeal* would be dismissed.
Based on this, it was determined that copyright extends to performances by instructors andperformances of sound recordings in musical instrument classes (but not to performances by
students). As such, to drive licensing application procedures, JASRAC held discussions with anorganization comprised of musical instrument class operators who filed the lawsuit.

* On March 18, 2021, the Intellectual Property High Court issued a ruling rejecting part of JASRAC’s claims. In
response, on March 31, 2021, JASRAC filed a final appeal and petition for the acceptance of the final appeal
to the Supreme Court.

©2023,JASRAC

9Distribution Results: Performances
1

Performances

Performances, etc.

(The figures for each bar graph are actual amounts distributed. Unit: Billion yen)

20.31 billion yen

29.56
15.90

2021

20.31

AgainstFY2021+27.7 ％

2022

AgainstFY2021-1.9 ％

2021

2022

Category

etc.

Performances and concerts
Places of entertainment
Karaokebroadcasts, etc.

2021

2022

Portion paid in from January 2022 to December 2022
Portion paid in from January 2022 to December 2022

AgainstFY2021-5.4 ％

Number of works for distribution

241,989
35,441
322,129

Portion used from October 2021 to September 2022

commercial satellite broadcast radio, and commercial satellite

Portion used from April 2021 to March 2022

Commercial broadcasts
Cable radio broadcasts
Cable television broadcasts

Portion paid in from Octorber 2021 to September 2022

broadcast television

Cable

4.49

Portion paid in from January 2022 to December 2022

and commercial terrestrial broadcast television

Community broadcasts, the Open University of Japan,

4.74

Main royalties for distribution

NHK, commercial terrestrial broadcast radio,

Broadcasts, etc.

4.49 billion yen

28.99

 Number of Distribution Works by Category
Performances,

28.99 billion yen Cable broadcasts, etc.

Broadcasts, etc.

Portion paid in from April 2021 to March 2022
Portion used from April 2021 to March 2022

©2023,JASRAC

808,779490
418,645
226,418

10

Distribution Results: Reproduction/Reproduction for Specific Purposes2

Reproduction/Reproduction for Specific Purposes (The figures for each bar graph are actual amounts distributed. Unit: Billion yen)

7.47 billion yen

Audio discs

8.22

2021

7.47

AgainstFY2021-9.1 ％

2022

9.18 billion yen

Videograms
9.18

9.12

2021

AgainstFY2021+0.7 ％

2022

4.49 billion yen

Reproduction for
specific purposes

4.26

4.49

2021

2022

AgainstFY2021+5.3 ％

 Number of Distribution Works by Category
Category

Audio discs
Videograms
Reproduction for

specific purposes

Main royalties for distribution

Entities under comprehensive contracts,
such as major record companies

Portion used from January 2022 to December 2022

Users other than entities under comprehensive contracts

Portion paid in from January 2022 to December 2022

Entities under comprehensive contracts,
such as major video software production companies

Portion used from October 2021 to September 2022

Users other than entities under comprehensive contracts

Portion paid in from January 2022 to December 2022

Reproduction for advertisements

Portion paid in from January 2022 to December 2022

Reproduction for games

Portion paid in from January 2022 to December 2022

Number of works for distribution

511,993
164,130
762

2,732

11
©2023,JASRACDistribution Results: Composite Use
3

Composite Use
Online karaoke(The figures for each bar graph are actual amounts distributed. Unit: Billion yen)

5.80 billion yen

Interactive transmissions
35.62

5.18

5.80

2021

2022

41.46 billion yen
41.46

AgainstFY2021+11.8 ％

AgainstFY2021+16.4 ％
2021

2022

 Number of Distribution Works by Category
Category

Online karaoke

Interactive transmissions

Main royalties for distribution
Portion paid in from January 2022 to December 2022
Portion paid in from January 2022 to December 2022

©2023,JASRAC

Number of works for distribution

311,855

2,399,537

12

Numbers of JASRAC Administrated Works, Distributed Works, and Rights Owners

 Number of JASRAC Administrated Works
76,837,266 works(The number of CIS-Net* registrations as of May 12, 2023; includes 2,058,766 works registered by JASRAC)

 Numbers of Distributed Works and Rights Owners (Unique number across all fields)
FY2021

FY20222,826,076 works

2,990,954 works

Composers /Authors

76,252 persons

79,765 persons

Musicpublishers

2,895 companies

3,025 companies

Composers /Authors

383,105 persons

392,345 persons

Musicpublishers

48,318 companies

48,888 companies* Distributed via 117 overseasorganizations* Distributed via 120 overseasorganizations

Number of distributed works

Number of rights
owners for distribution(domestic)

Number of rights
owners for distribution(foreign)* CIS-Net: An international work information database developed by CISAC. The data on managed works areprovided by member organizations, and information on works managed by them is shared on networks.
©2023,JASRAC

13

Distribution Results: Main Topics
 Revision to Distribution Rules

In response to the subdivision of the management consignment scope (such as subcategories for “Performance rights,
etc.”), the Distribution Rules and corresponding regulations have been revised as follows:• A new provision has been introduced for the distribution method of hall-type performance venues (facilities that do notserve food to customers in the performances viewing area). Similar to concert-type performance venues (facilities
featuring different performers and a wide variety of works), census-based distribution will be conducted based on thereported repertoire from users and entrustors, as well as setlist information collected by JASRAC.

• Regarding royalties for vocal classes (facilities that provide classes to teach singing to participants), it has been allocatedunder karaoke venue distribution fund, with distribution limited to karaoke classes (facilities that providing singing
instruction using karaoke equipment). Royalties for singing classes other than karaoke classes are distributed as musicalinstrument class royalties.

 Digitalization of Distribution Statements

Aiming for providing statements in digital format from the June 2023 distribution period, JASRAC has taken steps such as
establishing a system for the purpose of digitalization.

 Response to Non-submission of Work Notification

For works for which no work notification has been submitted, distribution will be suspended even if use of the work is
confirmed, because the rights owners involved, and their distribution rates cannot be identified. To solve this problem,
JASRAC has promoted the use of the "Inquiry List for Copyright Confirmation as Work Notification" for domestic works andrequested music publishers and foreign organizations to submit work notifications for foreign works as well. As a result,
24,143 works worth 0.45 billion yen were distributed.
©2023,JASRAC

14

Distribution Results: Main Topics
 Initiation of Distribution of Renumeration for Public Transmission for Educational Purposes
Regarding the renumeration for public transmission for educational purposes received from Society for the Administration of
Remuneration for Public Transmission for School Lessons (SARTRAS), JASRAC has formulated new Distribution Rules andcommenced distribution from the March 2023 distribution period.

 Reduction of Applied Administrative Expense Rates

JASRAC has decided to lower the administrative expense rates for certain categories in the March 2023 distribution period,as ordinary expenses are expected to stay within the budget.
Furthermore, during the process of formulating the budget for the FY2023, considering the expected ordinary revenue will
exceed the ordinary expenditures, JASRAC has decided to lower the administrative expense rates for certain categories
applicable to each distribution period of the FY2023.
Royalty Category
Performances, etc.

(major live concerts, etc.)

Performances, etc. (karaoke)

Performances, etc.
(Videogram exhibitions)
Performances, etc.
(Amusement machines (exhibition, performance))
Broadcasts, etc.

Cable broadcasts, etc.
Online karaoke for business
Interactive transmissions

Renumeration for Public Transmission for Educational
Purposes
Film exhibitions

June, September,and December
2022 Distribution
Periods

March 2023
Distribution
PeriodFY2023

15%

13%

12.5%

24%

22%

22%

25%

25%

23%

15%

15%

13%

8.5%
9.5%
9%
9.5%

6.5%
7.5%
7%
7.5%

8.5%
9.5%
9%
9.5%

25%

25%

23%

9.5%

7.5%

9.5%

©2023,JASRAC

Ratio of ordinary expenditures to
distribution amount

10.3％(FY2021)9.9％(FY2022)15

Addressing Illegal Use, Etc.
 Performances
Civil

Criminal
Lawsuits
0 cases（0 cases）

Merit-based

Provisional

0 cases

0 cases

lawsuit（0 cases）

disposition（1 case）

Payment

Civil mediation
1,219 cases（656 cases）

demand13 casesOther
21 cases（11 cases） （22 cases）

Total
1,253 cases（690 cases）

Numbers shown in brackets are for FY2021.

 Reproduction

A total of three criminal charges were filed for cases such as selling DVDs reproduced without permission
online via an auction. In addition, there were five cases of civil mediation and two payment demands werefiled with respect to delinquent payment of royalties.

 Public Transmission
Criminal charges were filed in one case of uploading music files using filesharing software without
permission. As well, a request to stop running advertisements on leech sites and leech apps was made toadvertiser organizations and a request to delete such advertising was made to advertising businesses.
©2023,JASRAC

16

Initiatives to Promote Entrustment
 Initiatives Involving Creators

JASRAC held the "JASRAC Creator’s Path Vol. 11" event for young
music creators with the purpose of increasing their knowledge of
copyright and familiarizing them with JASRAC, as well as promoting
the conclusion of Administration Trust Contract.

 Initiatives Involving Publishers

JASRAC explained the current management status of interactive
transmissions to publishers, focusing on information of strong
interest to rights owners such as the latest trends in distribution
services.

 Starting to Accept Online Application for
Administration Trust Contract

For purposes such as improving convenience for rights
owners, JASRAC started accepting online application for
Administration Trust Contract from KENDRIX (see pg. 23) andthe corporate site by using eKYC (online identity verification).

©2023,JASRAC

Copyright
owner

Music
publisher

Others

Total

Number of
new trustors

396
(295)

80
(82)

0
(2)

476
(379)

Number ofnewmembers

85
(71)

11
(12)

0
(4)

96
(87)

Numbers shown in brackets are for FY2021.

17

Public Awareness Activities for Copyright Activities to Spread Awareness of Copyright System

JASRAC continued its initiatives to raise public awareness about copyright via endowed courses (Shinshu
University and the Open University of Japan) and to support research by conducting study promotion sessions
on topics such as the Copyright Act (University of Tokyo).

 The Secret of Music Copyright Educational Manga

As part of its activities to raise awareness about copyright among young people, JASRAC
collaborated on the planning and production of an educational manga entitled The Secret of Music
Copyright for elementary school students, which was published by Gakken. The book was donatedto elementary schools, public libraries, and recreational facilities for children across Japan (25,500
copies in total).

 Holding Symposium on “AI-Generated
Music and Copyright”

Page for viewing
video content

JASRAC held a symposium called “AI-Generated Musicand Copyright”, to which music creators, AI developers,
and legal professionals were invited to discuss therelationship between future AI technology and creative
activity.
©2023,JASRAC

18

Initiatives to Enhance Information Transmission
 Launch of Official Social Media Accounts

JASRAC launched official Twitter and Facebook accounts in January 2023.
https://twitter.com/JASRAC_1939
https://www.facebook.com/jasrac1939/

Twitter

Facebook Starting Distribution of New Video Content

JASRAC began distributing new video content in February 2023 with theaim of publicizing its projects and the workings of music copyright.
https://www.youtube.com/jasrac_official©2023,JASRAC

YouTube19

Music Culture Projects (Projects serving the common purpose of trustors)

 Survey, Research, and Development to Spread Music Culture in
the Asia-Pacific Region

JASRAC pursued the development of software for the Global Digital Service Data
Exchange (GDSDX) project* (scheduled to be operational in FY2023).
* A project for sharing music and video distribution content audio source information andinformation linked to product information (ISWC or work code) for music administered bycopyright management organizations between copyright management organizations belonging
to the CISAC Asia-Pacific Committee.

 JASRAC Global Fellowships to Support Overseas Research

JASRAC established the JASRAC Global Fellowships, a project that supports researchersof intellectual property rights, including copyright, in conducting research for a certain
period of time at overseas research organizations.
Based on the recommendations of the JASRAC Global Fellowship Researcher Selection
Committee, which is comprised of three experts specializing in intellectual property law,
Ken Kato, who is enrolled in postdoctoral studies at the Osaka University Graduate
School of Humanities, was chosen as the program’s first overseas researcher.
©2023,JASRACJASRAC Global
Fellowships

20

Private Copying Renumeration System and Wartime Prolongation Obligations

 Initiatives Involving Private Copying Renumeration System

In July, Gadi Oron, Director General of CISAC (the International Confederation ofSocieties of Authors and Composers), Benjamin Ng, Regional Director - Asia-Pacific for
CISAC, and Gae-yol Chu, Chair of KOMCA (a Korean copyright management
organization), along with Kazumasa Izawa, Senior Vice President, and Manami Suko,Managing Director, from JASRAC, paid a courtesy call to Shunichi Tokura, Commissioner
for Cultural Affairs, during which Director General Oron expressed the desire for afunctional, fair private copying renumeration system to be established.
In August, in response to a call for public comments about a proposal to revise the Copyright Act Enforcement Order that would make
Blu-Ray disc recorders subject to private copying renumeration, JASRAC submitted a comment approving the revision and jointly issued apress release with 18 copyright organizations strongly supporting it.
In October, SARAH (the Society for the Administration of Remuneration for Audio and Video Home Recording), whose operation JASRAC
is involved in as a member, became a designated management organization for private copying renumeration, and moved forward withpreparations to begin levying renumeration fees for Blu-Ray disc recorders, etc.

 Initiatives Aimed at Eliminating Wartime Prolongation Obligations
In May, BUMA・STEMRA (a Dutch copyright management organization) agreed to renounce its rights relating to wartime prolongation
obligations, and in July, APRA・AMCOS (a copyright management organization in Australia and New Zealand) did the same. To date,
JASRAC has approached 28 organizations in 17 countries and one region, obtaining agreement from 13 organizations in 10 countries,
including those mentioned above, to renounce their rights.
©2023,JASRAC

21

Initiatives Using Digital Technology
 Launch of KENDRIX Service

KENDRIX is a music information management system equipped with proof of existence functions and eKYC
functions that use blockchain technology. The official service was launched on October 31.
Based on the concept of "realizing a world that enables all music creators to participate in the creation
ecosystem", KENDRIX is a creator DX platform whose purpose is to support DX for music management
undertaken by music creators themselves.
In February and March 2023, updates were made to add work notification submission functions, registrable
audio file formats, etc.

https://kendrix.jp

https://kendrixmedia.jp©2023,JASRAC

22

Initiatives to Support Ukraine Creators for Ukraine

In collaboration with the "Creators for Ukraine"* initiative organized by CISAC(the International Confederation of Societies of Authors and Composers),
JASRAC engaged in initiatives to support Ukrainian creators.
* A project launched by CISAC on March 16, 2022, with the cooperation of over 220 member organizations for the
purpose of supporting Ukrainian creators, copyright management organizations, these organizations’ staff, etc.
suffering from Russia’s invasion of Ukraine.

(1) Sending Money to Ukraine Support FundJASRAC sent 15 million yen on March 25, 2022, as well as sending a total of 1,998,000 yen in aid collected from
entrustors, officers, and employees in June and September. These funds were allocated to purposes such assupporting members and employees of NGO-UACRR (a Ukrainian copyright management organization).

(2) Signing of Declaration of Support by Creators

JASRAC called on Japanese creators to sign a declaration pledging solidarity with Ukrainian creators anddemanding an end to Russia’s invasion.

Dedicated Ukraine
support page(3) Songs for Ukraine

As part of the "Songs for Ukraine" campaign to encourage the use of Ukrainian music andincrease distribution of royalties to Ukrainian creators, JASRAC published an interview article with the
Ukrainian-born entrustor Nataliya Gudziy on its corporate site.
©2023,JASRAC

23

Japanese Society for Rights of Authors,
Composers and Publishers (JASRAC)

24