Fiscal 2023 Business Affairs

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

May 22, 2024

©2024, JASRAC

1

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

Record highCollection 137.16 billion yen
129.01

137.16

AgainstFY2022

6.3

+

2022

Record highDistribution 135.12
125.64135.12

AgainstFY2022

7.5

+

％

2023

billion yen

2022

％

2023

Collection of royalties increased by 8.14 billion yen
compared to FY2022, establishing a new record.

Royalty distribution increased by 9.47 billion yen fromFY2022, achieving a new record.

The main categories in which royalty collections
increased were interactive transmissions (+4.05 billionyen), performances, etc. (+2.87 billion yen), andvideograms (+1.35 billion yen).

This mainly reflects royalties collected from October
2022 to December 2023, with significant increases for
performances, etc. and interactive transmissions.

©2024, JASRAC

2

Breakdown of Collection and Distribution
Royalties Distributed in FY2023

Royalties Collected in FY2023
Category
Performances
Performances, etc.
Broadcasts, etc.
Cable broadcasts
Film exhibitions
Foreign income (performances)

Mechanicals

Collection(thousand yen)

58,196,685

103.9

28,210,565
4,290,902

97.4
97.5

1,630,367

113.6

7,766,203

103.2

23,721,298

343,550

18,509,432
Audio discs
Audio tapes
Music boxes
Film reproduction
Videograms
Foreign income (mechanicals)

Publication

Reproduction for specific purposes
Reproduction for advertisements
Reproduction for games

Lending

197,520

Online karaoke
Interactive transmissions

Private copying remuneration
Total

109.4

115.7

598,79091.0

4,691,740
1,628,820
3,062,920

Cable broadcasts
Film exhibitions
Foreign income (performances)

Mechanicals
Audio discs
Audio tapes
Music boxes

90.8

105.1

Foreign income (mechanicals)

110.2
101.3
115.5
77.0

108.2

71,44967.5

137,167,288

Broadcasts, etc.

Film reproduction

54,692,204
5,968,886
48,723,317

Performances, etc.

92.0

9,982,455

482,128

Performances

97.1

112.8

71,597

Category

113.8

9,528

406,984

Composite use

Against FY2022 (%)

101.7

109.1

106.3

Videograms

Publication

Reproduction for specific purposes
Reproduction for advertisements
Reproduction for games

Lending

Collection(thousand yen)

Against FY2022 (%)

58,736,200

106.3

4,346,573

96.8

23,143,477
29,422,136

358,823

1,465,188

Online karaoke
Interactive transmissions

Private copying remuneration
Total

121.4

127.4

18,118,196

104.6

8,695

103.1

449,109126.4

7,787,153
222,572
61,9859,588,679

613,687

104.1
107.0
80.2
104.4

90.0

4,566,622

101.6

2,989,661

105.9

52,489,718

111.0

132,623293.4

1,576,960
469,391

Composite use

113.9
101.5

5,964,475
46,525,243
135,126,441

94.2
78.8

102.8
112.2
107.5

* The amounts in each category are rounded down to the nearest thousand yen, so the sum of the categories may not match the total.

©2024, JASRAC

3

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

Performances,
etc.

20.85

2022

23.72 billion yen
AgainstFY2022

23.72+

Broadcasts,
etc.

28.97

28.21 billion yen
28.21

13.8
％

2023

Due to factors such as increased
audience turnout for live concerts andan increase in the number of largescale concerts, collection evensurpassed pre-pandemic results(126.7% vs. FY2019)

2022

Cable broadcasts,
etc.

4.29 billion yen

AgainstFY2022

AgainstFY2022

-

-

2.6
％

2023

Collection for program broadcasts finishedbelow FY2022 results due to the impact of
decrease in broadcasters’ FY2022 businessrevenues*, which are the basis for royalty
calculation.
*Decrease in reaction to advertising revenues related to
the Tokyo 2020 Summer Olympics and Paralympic
Games, which were included in FY2021 businessrevenues.

4.4

4.29

2022

2023

2.5
％

Collections for both cable radio andcable TV broadcasts decreased
compared to FY2022 due to factors
such as an overall decrease in FY2022
broadcast business revenues, which
are the basis for royalty calculation.

©2024, JASRAC

4

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

Audio discs

7.52

2022

7.76 billion yen
7.76

AgainstFY2022

3.2+

Videograms

8.62

9.98 billion yen
9.98

2023

Collections increased compared to FY2022
results due to factors such as an increase in
the number of products manufactured,
especially singles and albums released at
the timing of live performances andconcerts.

2022

4.69 billion yen

AgainstFY2022

15.7+％

Reproduction for
specific purposes

％

2023

The number of videograms produced
grew and collections greatly exceeded
FY2022 results. Along with the increaseof live performances and concerts, video
releases containing those performances
also increased, which was one of thereasons for the growth.

AgainstFY2022

4.25

4.69

2022

2023

+

10.2
％

Reproduction for advertisements saw an increasein collections compared to FY2022 due to factors
such as many JASRAC administered works being
used, for example, in advertisements forrestaurants.
Royalties collected from reproduction for games
increased considerably compared to FY2022 due
to strong shipments of smart amusement
machines*, etc.

*New format of amusement machines enabling users to playwithout directly touching pachinko balls or medals.

©2024, JASRAC

5

Collection Results: Composite Use(The figures for each bar graph are the actual amounts collected. Unit: Billion yen)

Online karaoke

5.96 billion yen
AgainstFY2022

5.86

5.96

2022

2023

Interactive transmissions
44.66

48.72

48.72 billion yen

1.7

+

+

％

With COVID-19 downgrading to a “Class 5”
disease, new karaoke singing venues opened,
and there were also expansions of venues.
This led to an increase in the number ofactive online karaoke terminals, one of thereasons for collections increasing comparedto FY2022 results.

AgainstFY2022

2022

9.1
％

2023

Collections increased from FY2022 results as
subscribers of major music subscription
services continued to grow, and as monthly
subscription fees, one of the factors incalculating royalties, were raised in some ofthese services.

History of collections forinteractive transmissions
32.29

37.45

44.66

48.72

21.79

2019

2020

2021

2022

2023

©2024, JASRAC

6Distribution Results: Performances(The figures for each bar graph are the actual amounts distributed. Unit: Billion yen)

23.14 billion yen

Performances,
etc.

20.31

23.14

2022

AgainstFY2022

Broadcasts,
etc.

28.99

29.42 billion yen
29.42

13.9

+

％

2023

2022

Cable broadcasts,
etc.

4.34 billion yen

AgainstFY2022

AgainstFY2022

+

-

1.5
％

2023

4.49

4.34

2022

2023

3.2
％

Number of works subject to distribution for each category
Category

Performances,etc.

Broadcasts, etc.

Royalties mainly subject to distribution

Number of works subject to distribution

Performances and concertsPortion paid from January 2023 to December 2023

Places of entertainment

Portion paid from January 2023 to December 2023

273,278

KaraokeNHK, commercial terrestrial radio broadcasts, commercial terrestrial
television broadcasts
Community broadcasts, Open University of Japan, commercial
satellite radio broadcasts, commercial satellite television broadcasts
Broadcasts of commercials (advertisements)

Portion paid from January 2023 to December 2023

Cable radio broadcasts
Cable
broadcasts, etc. Cable television broadcasts

Portion used from October 2022 to September 2023
Portion used from April 2022 to March 2023
Portion paid from October 2022 to September 2023
Portion paid from April 2022 to March 2023
Portion used from April 2022 to March 2023

29,113

340,738
827,230

487

429,547
248,501©2024, JASRAC

7

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

Audio discs

7.47

2022

7.78 billion yen
7.78

AgainstFY2022+

4.1

Videograms

9.18

9.58 billion yen
9.58

％

2023

2022

Reproduction for
specific purposes

AgainstFY2022

AgainstFY2022

+

+

4.4
％

2023

4.49

4.56

2022

2023

Number of works subject to distribution for each category
Category

Audio discs

Videograms
Reproduction for
specific purposes

Royalties mainly subject to distribution

Blanket (comprehensive) licensees, such as major record Portion paid in May, August, and November 2023 andcompanies
February 2024
Users other than above
Portion paid from January 2023 to December 2023
Blanket (comprehensive) licensees, such as major video
software production companies

Portion paid in March, June, September, andDecember 2023

Reproduction for advertisements

Portion paid from January 2023 to December 2023

Users other than above

Reproduction for games

4.56 billion yen

Portion paid from January 2023 to December 2023

Portion paid from January 2023 to December 2023

1.6％

Number of works subject to distribution

504,844

165,310854

3,132©2024, JASRAC

8Distribution Results: Composite Use(The figures for each bar graph are the actual amounts distributed. Unit: Billion yen)

Online karaoke

5.96 billion yen

Interactive transmissions

AgainstFY2022

5.8

5.96

2022

2023

+

41.46

46.52

2.8
％

2022

％

2023

History of collections forinteractive transmissions

Category

Royalties mainly subject to distribution

Number of works subject to distribution

Online karaoke

Portion paid from January 2023 to December 2023

326,597

Portion paid from January 2023 to January 2024

AgainstFY2022

12.2+

Number of works subject to distribution for each category

Interactive transmissions

46.52 billion yen

2,567,979

33.26

35.62

41.46

46.52

20.19

2019

2020

2021

2022

2023

©2024, JASRAC

9Distribution Results: Number of Works Subject to Distribution, etc.
Number of JASRAC Administered Works
82,537,783 works(The number of CIS-Net* registrations as of May 17, 2024, including 2,260,330 works registered by JASRAC)*An international works information database developed by CISAC. Data on managed works are provided by member organizations, and information on
those works are shared on the network.

Numbers of Works and Right Owners Subject to Distribution (Unique number across all categories)
FY2022

FY20232,990,954 works

3,121,804 works

Composers / Authors

79,765 persons

85,801 persons

Music publishers

3,025 companies

3,071 companies

Composers / Authors

392,345 persons

414,254 persons

Music publishers

48,888 companies

51,233 companies* Distributed via 120 overseasorganizations* Distributed via 120 overseasorganizations

Number of works subject to distribution
Number of rights owners subject
to distribution (domestic)

Number of rights owners subject
to distribution (foreign)©2024, JASRAC

10Addressing Illegal Use, Etc. (Legal Measures)
Performances
Criminal

Civil

Lawsuits

Merit-based lawsuit

Provisional disposition

Civil mediation

Payment demandOther

1 case*（0 cases）

0 cases（0 cases）

3 cases（0 cases）

1,282 cases(1,219 cases)

13 cases(13 cases)

12 cases(21 cases)

Total
1,311 cases(1,253 cases)

Numbers shown in brackets are for FY2022.

* A case involving a karaoke singing room operator (located in Miyagi Prefecture) that had continued to infringe copyrights by breaking the seals on karaokeequipment according to a provisional injunction issued in June 2023, and who was accused of breaking the seals in November 2023, then charged with copyright
infringement in December 2023.

Reproduction

Criminal charges were filed in three cases involving the sale of unauthorized reproductions of commercial DVDs and videos ofbroadcast programs as content. Furthermore, there was one case of civil mediation relating to delinquent payment of royalties.

Public Transmission

Criminal charges were filed in one case involving uploading music files, etc. without permission by misusing qBittorrent file-sharing
software, as well as two cases of civil mediation related to delinquent payment of royalties.

©2024, JASRAC

11

Collection and Distribution Results: Topics
Identifying Musical Works in YouTube Videos Using Fingerprints
JASRAC has signed outsourcing contracts with BMAT and ORFIUM with the aim of making it possible to identify
undetected used musical works by “Content ID” (a tool used by copyright holders to protect and manage copyrightprotected content on YouTube) based on fingerprint technology.

Initiatives to Increase Foreign Income, Etc.

Press release

As the overseas development of music content continues, we have undertaken the following initiatives to ensure appropriate
collection and distribution with respect to the use of JASRAC administered works in foreign territories.
(1) Registration of cue sheet information

JASRAC has additionally registered cue sheet information with titles in foreign languages in the database operated by CISAC(International Confederation of Societies of Authors and Composers) so that copyright management organizations in various
countries will be able to accurately identify video content (such as animations) containing JASRAC administered works.
(2) Starting operation of GDSDXIn May 2023, we began operating GDSDX, a platform for sharing and exchanging information on content for video
and music transmission services that are being deployed globally and music information managed by copyright
management organizations. By pursuing data exchange on GDSDX, participating copyright management
organizations can accurately identify JASRAC administered works, which is expected to lead to appropriate
management in foreign territories.

Press release©2024, JASRAC

12

Collection and Distribution Results: Topics
Digitalization of Distribution Statements

From the 2023-06 distribution period, distribution statements, which were previously provided in paper format, are now provided indigital data after reviewing the provided items and format.

Changing Handling of Arrangement at Time of Publication System

In light of the fact that the methods of publishing and distributing works are diversifying, JASRAC has modified thearrangement at time of publication system*, which was initiated in 1998 as an original system, to add the arrangement at thetime when a work is first used in an interactive transmission and make it possible to submit multiple arrangers at the time of
publication (implemented from the 2024-03 distribution period).
* A system under which the arranger who created the arrangement when a work was first issued (published) as a recording (on CD, etc.) receives 1/12 share of karaoke
performance royalties and commercial karaoke transmission royalties

ChangeIt has been madepossible to submit
arrangements forworks published via“transmission.”

ChangePublishedon CD

Published via
transmission

It has been madepossible to submit all
arrangers at the time of
publication (JASRAC
members only).

1 personEveryonePress release©2024, JASRAC

13

Collection and Distribution Results: Topics
Partial Reduction of Applied Administrative Expense Rates

JASRAC has decided to reduce the administrative expense rates for certain categories in the 2024-03 distribution period, as ordinary
expenses are expected to stay within the budget. Furthermore, the ratio of ordinary expenditures to the actual royalty distribution
amount has changed to 9.6％ (FY2023).
Royalty Category
Major live concerts, etc.

Performances,etc.

Broadcasts, etc.

KaraokeVideogram exhibitions
Amusement machines(exhibition, performance)

Cable broadcasts, etc.

Online karaoke for business
Interactive transmissions

Film exhibitions
Compensation for Public Transmission for
Educational Purposes

FY2023
Applied Rate

March 2024
Distribution Period Only

22%

20%

12.5%

10.5%

23%

21%

13%

11%

8.5%

6.5%

9%

7%

9.5%

7.5%

9.5%

7.5%

9.5%

7.5%

23%

Ratio of ordinary expenditures to
distribution amount

9.9 ％(FY2022)

9.6 ％(FY2023)21%©2024, JASRAC

14

Initiatives to Promote Management Delegation
Changes to Stipulations for Administration
Trust Contracts

JASRAC resolved to partially modify the Stipulations for Administration TrustContracts at the Ordinary General Meeting of Members held in June (effective
August 1), shortening the period from the application for a trust contract until thestart of entrustment and the period from notification of cancelation by the trustor
until the end of entrustment.

Holding YouTube Songwriter Masterclass「YouTube Songwriter Masterclass」

Along with Google, we jointly held a YouTube Songwriter Masterclass workshop
about YouTube channel use for individual composers, with the aim of promoting
basic knowledge of revenue sharing on YouTube and understanding of JASRAC’s
role (in November).

Holding JASRAC Creator‘s Path

We held JASRAC Creator’s Path talk events for music creators in November 2023
and February 2024, which aimed to promote basic knowledge of music copyrightand understanding of JASRAC’s role.
「JASRAC Creator‘s Path」©2024, JASRAC

15

Initiatives to Promote Entrustment
Number of New Trustors and Number of New Members
Copyright
owner

Music
publisher

Others

Total

Number of
new trustors

472
(396)

86
(80)

3
(0)

561
(476)

Number of
new members

77
(85)

6
(11)

0
(0)

83
(96)

Numbers shown in brackets are for FY2022.

Number of Members and Entrustments (As of March 31, 2024)
Authors
Composers
Author-composers
Publishers
Successors
Other
Total

Members
Full
Associate
members
members
228
1,022
309
686
741
1,471
244
459
168
12
1,522
3,818

No. of trustees
1,804
1,764
3,984
2,918
4,661
26
15,157

No. of entrustments（Total for members andtrustees)
3,054
2,759
6,196
3,621
4,829
38
20,497©2024, JASRAC

16

Initiatives Using Digital Technology
Update of KENDRIXJASRAC updated KENDRIX, a music information management system equipped with
proof of existence functions and eKYC functions that use blockchain technology.
we also published a newly created key visual by illustrator Yusuke Nakamura in July.
Main function updates:▷ Added function to share music information with other invited users (July)▷ Added function to delete musical work information (July)▷ Enhanced Project function (September)▷ Added registrable audio file formats (September)▷ Added types of personal identification supported by eKYC (September)▷ Added function to check for similar audio sources (March 2024)▷ Introduced “Business Account” (March 2024)

illustration / YUSUKE NAKAMURA©2024, JASRAC

17

Earthquake Recovery Support-Related Initiatives
Support Activities Related to Turkey-Syria Earthquakes

In June, JASRAC contributed 3 million yen to an aid fund established by MESAM and MSG (Turkish copyright management
societies) for the purpose of supporting their members who were affected by the earthquakes that occurred in Turkey and Syria in
February 2023.

Support for Victims of 2024 Noto Peninsula Earthquake(1) Donating relief funds

With the aim of aiding victims and reconstructing the affected region, JASRAC donated relief funds of 5 million yen via the Japanese
Red Cross Society in January 2024.
From January 26 to March 31, 2024, we also collected relief funds from members, trustors, and our executives and employees(approx. 1.49 million yen was donated via the Japanese Red Cross Society on April 10, 2024).

(2) Suspending invoicing of royalties

We suspended royalty invoicing from January to March 2024 for restaurants and other facilities located in the region,
which suffered massive damage.

Detailed
information page©2024, JASRAC

18

International Collaboration to Ensure Fair Compensation, Etc.
Courtesy Calls to Prime Minister Kishida andCommissioner for Cultural Affairs Tokura

On April 4, Kazumasa Izawa, President, and Manami Suko, Managing Director, from JASRAC,
accompanied by Björn Ulvaeus, President, Gadi Oron, Director General, and Benjamin Ng,
Regional Director – Asia-Pacific, from CISAC (International Confederation of Societies of Authors
and Composers), paid a courtesy call to Shunichi Tokura, Commissioner for Cultural Affairs,
during which they once again asked the Japanese government to address the resolution*
adopted at CISAC’s General Assembly in May 2019.

On the same day, with JASRAC Chairman Tetsuya Gen also in attendance, they paid a courtesy callto Prime Minister of Japan Fumio Kishida, during which they exchanged views on matters such as
the current state of providing fair compensation to creators.

* Resolution which requested the rapid establishment of a new, functional, and fair system with the aim of
fixing Japan’s outdated remuneration for audio and video home recording.

Re-Appointment to Executive Committee of BIEM
(Bureau International de l’Edition Mecanique)
At BIEM’s General Assembly in April, JASRAC’s Manami Suko, Managing Director, was re-appointed to the Executive Committee. At international meetings
such as the BIEM (Bureau International de l’Edition Mecanique) General Assembly and Executive Committee meetings, as well as CISAC’s General Assembly,
Board of Directors meetings, and various committee meetings, they discussed and exchanged views on matters such as issues related to generative AI andpromoting smooth copyright management at the international level.

©2024, JASRAC

19

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

Global Digital Service Data Exchange (GDSDX)System Development Project

Development of the GDSDX system, a platform for sharing and exchanging content information for globally
operated video and music distribution services and information about musical works (ISWC or work codes)
managed by copyright management societies belonging to CISAC’s Asia-Pacific Committee, is complete, andoperation by various participating organizations began in May.
This project is an initiative aimed at addressing issues related to compensating creators in a digital society,and the plan is to steadily expand the scope of exchanged data.

Press release

JASRAC Global Fellowships to Support Overseas
Research

Based on the recommendations of the JASRAC Global Fellowship Researcher Selection Committee, which iscomprised of three experts specializing in intellectual property law, Tsuyoshi Uchida, who is an associate
professor at the Tokai University School of Law, was chosen as the program’s second overseas researcher.
Mr. Uchida began conducting research at the Max Planck Institute for Innovation and Competition in Munich,Germany, in April.
In addition, Ken Kato, who was chosen as the first overseas researcher in December 2022, started research atGoldsmiths, University of London (England), in September 2023.

Detailed
information page©2024, JASRAC

20

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

JASRAC Copyright Academy Education andAwareness Project

In June, we decided to implement the JASRAC Copyright Academy, an education and awareness project
for the purpose of providing necessary information about copyright systems for music, etc. and JASRAC’s
copyright management business, based on the needs of the general public and people involved in
education.
The JASRAC Copyright Academy will gradually implement the following initiatives:① Lecturer recruitment (selection)② JASRAC Learning Square On-Site Course - general course open to the public③ JASRAC Campus Endowed Course - endowed course open to the public④ Production of educational materials⑤ Distribution of lectures/education materials

The JASRAC Learning Square On-Site Course open to the public started in October, and 10 courses have been held.

JASRAC Copyright
Academy special website©2024, JASRAC

21

Adapting to Generative AI
Announcing Basic Position on the Issue of Generative AI and Copyright
In July, following discussion by the Board of Directors, JASRAC announced our “Basic Position on the Issue of Generative
AI and Copyright.”

Press release

Participating in Cabinet Office’s Committee to Discuss Intellectual
Property Rights in the Age of AI
In October, JASRAC participated in a hearing of interested parties conducted at the second session of the Cabinet Office’s
Committee to Discuss Intellectual Property Rights in the Age of AI and expressed our opinions.

Press release

Nine Music-Related Organizations Establish AI-Related Music
Organization Council
In December, nine music-related organizations, including JASRAC, established the AI-Related Music Organization Council.

Press release

Submitting Comments on “Concept of AI and Copyright (Draft)”
In February 2024, we submitted our comments in response to the solicitation of comments on the “Concept of AI and
Copyright (Draft)” compiled by the Subcommittee on Legal System of the Copyright Subdivision of the Culture Council.

Press release©2024, JASRAC

22

Public Relations
Sharing Information on Official Accounts

We continued to use our official X (formerly Twitter) and Facebook accounts to quickly and widely
share information about JASRAC’s business to a broad audience.
On our official YouTube channel, we also posted videos showing music creators as they really are,videos in which comedians discussed copyright, etc.

X

Facebook

https://twitter.com/JASRAC_1939

https://www.facebook.com/jasrac1939/

https://www.youtube.com/jasrac_official

YouTubeRefreshing Our Website

In March 2024, we refreshed our website. After clarifying our intent to “protect the future ofmusic creators,” we presented a message from composer Tetsuya Gen, who serves as JASRAC’s
Chairman, and Kazumasa Izawa, President, on the ”About JASRAC” page.

We also launched a new magazine, which offers various kinds of information and content,
including introducing the JASRAC Awards and JASRAC Music Culture Awards, interview articles,
etc. Please check it out.

©2024, JASRAC

23

Public Relations
Sponsoring Various Programs and Publishing Editorial
Advertisements▷ We broadcast a sponsorship corner, commercial, etc. on the “SCHOOL OF LOCK!” radio program (TOKYO FM),
whose main audience is junior high and high school students.

▷ We broadcast a JASRAC Music Copyright Course on the music information program “B.B. Rarity,” which airs on 25
terrestrial TV networks.

Music
Natalie▷ We published editorial advertisements on the music media outlet ”Music Natalie” to enhance sharing of information
with music fans.
▷ We published editorial advertisements on the music-related media outlet “DTM Station” to enhance sharing of
information with music creators.

DTM Station©2024, JASRAC

24