In a significant development for the K-pop industry, Rosé has withdrawn from the Korean Music Copyright Association (KOMCA) in 2024, and insiders are shedding light on the troubling reasons behind her decision.
The issue? A stark disparity in music streaming revenue. South Korean music creators are seeing a tiny fraction of the profits compared to their counterparts in other countries. Recent reports indicate that only 10.5% of revenue from streaming finds its way to the songwriters. This is a jarring contrast to the shares seen in the US (12.3%), UK (16%), and Germany (15%). Furthermore, local platforms like Melon retain a whopping 35% of those proceeds—substantially higher than the average 30% taken by platforms in developed music markets like the US, UK, Germany, and Japan.
While there has been some positive movement in these numbers over the years—back in 2008, Melon took a staggering 57% while songwriters received just 5%—experts argue that the core problem revolves around the multitude of ‘middlemen’ that complicate profit distribution. Revenue must pass through various copyright management entities and other rights holders before it reaches the artist. In contrast, many other countries allow for a straightforward split between artists and their publishers, thus ensuring a larger share remains with the creators.
A big chunk of the potential earnings for Korean songwriters is siphoned off by management fees, effectively reducing their payouts. For Rosé, who sees revenue from both local and international streams, this means she has to fork over fees to both an international music publisher and a domestic one. As a result, her revenue share can dip by as much as 30%.
This complicated landscape is said to be a primary factor influencing Rosé’s exit from KOMCA, prompting fans and industry watchers alike to reflect on how the K-pop industry compensates its talent. Regardless of the hurdles, Rosé’s influence and artistry remain undeniable as she navigates these challenges.
