Corint Media enters into licence agreement with UPDAY
Corint Media has entered into a licence agreement with UPDAY. News aggregator UPDAY will pay up to 11 per cent of its relevant revenues for use of press content in accordance with the new law regrading ancillary rights for press publishers. Corint Media’s Managing Directors say that this is a forward-looking agreement and a prelude to licence negotiations with other platforms.
Corint Media is the first company of its kind to have signed a licence agreement with Europe’s largest news app UPDAY to cover the rights of the press publishers represented by Corint Media under the new law regarding ancillary rights for press publishers.
The new law, recently adopted by the German legislature and based on the EU Copyright Directive, enters into force today.
Depending on the scope of ancillary rights for press publishers represented by Corint Media, UPDAY will pay up to 11 per cent of its relevant revenues in remuneration for the use of rights. UPDAY has already made royalty payments to Corint Media (then VG Media) under the former law covering ancillary rights for press publishers, which was declared invalid by the ECJ in 2019.
For Corint Media’s managing directors Markus Runde and Christoph Schwennicke, this agreement is forward-looking and a prelude to further licence negotiations with platforms that use digital press products, such as Google: “There has been a long struggle for a strong, enforceable law covering ancillary rights for press publishers. Now it has been passed and UPDAY can make use of it in a legally secure manner. Corint Media and the press publishers it represents will receive appropriate payments. We will enter into negotiations with other users to cover the payment of reasonable remuneration for the use of digital publishing content.
In our view, entering into contracts according to the existing structure of Google News Showcase is not a viable way to achieve sustainable and appropriate remuneration for publishers. In response to the complaint we made, the German Federal Cartel Office initiated proceedings last week against Alphabet Inc., Mountain View, USA, and its affiliates (“Google”). To achieve appropriate remuneration permanently and sustainably for the use of content as well as non-discriminatory platform access, joint enforcement is required. The more rightholders have their claims enforced by Corint Media, the larger the sum that Google and other platforms will have to pay. At the same time, the risk of substitution by Google for each publisher and its press product decreases.”
Corint Media, based in Berlin, is a European company in the private media industry. It manages the copyrights and ancillary rights of almost all German and several international private television and radio stations as well as of numerous press publishers.
Media companies represented by Corint Media include TVstations such as Sat.1, ProSieben, RTL, WELT, SPORT1, CNBC, Eurosport, VOX, MTV and CNN, radio stations such as ANTENNE BAYERN, radio ffn, Klassik Radio, Radio Hamburg, HitRadio-FFH, RPR1 and RTL RADIO, and press publishers such as Axel Springer, DuMont Mediengruppe, Verlagsgesellschaft Madsack, Augsburger Allgemeine, Aschendorff Mediengruppe, Rheinisch- Bergische Verlagsgesellschaft and Verlagsgruppe Ippen, among others.
Corint Media is one of 13 collecting management organisations authorised in Germany and is under the supervision of the German Patent and Trade Mark Office (DPMA).
UPDAY operates in 34 European countries with a total reach of more than 25 million users per month. The news service is the result of a strategic partnership between Axel Springer and Samsung to develop new digital media formats for users in Europe. The company combines a learning algorithm with local editorial teams to give users the content they both need to know (“Top News”) and want to know (“My News”).