RIAA Mid-Year 2025 report, STIM Launches AI Music License, and SoundExchange Appeals Ruling in SiriusXM Lawsuit
How The Music Business Works - Issue #28
September 11, 2025
Welcome back to How The Music Business Works!
This week’s headlines spotlight where the music industry is headed on both sides of the Atlantic.
In the U.S., the RIAA reports recorded music revenues hitting $5.6B in H1 2025, with paid subscriptions surpassing 105 million and American artists dominating global streams. SoundExchange is appealing a court ruling that could limit its power to enforce royalty payments, while GloRilla is seeking dismissal of a copyright suit over the phrase “all naturale, no BBL.”
Meanwhile in Europe, Sweden’s STIM unveiled the world’s first collective AI music license, and France posted modest market growth but flagged challenges in streaming video.
Let’s take a look at this week’s news…
The RIAA’s mid-year 2025 report shows U.S. recorded music revenues hit $5.6 billion in H1, a record high under its new wholesale reporting method. Streaming drove the market with $4.6 billion (84% of total), led by paid subscriptions, which surpassed 105 million accounts and generated $3.2 billion, up 5.7% year-over-year. Vinyl remained stable at $457 million, continuing to outsell CDs for the fifth consecutive year. The RIAA also highlighted U.S. artists’ global dominance, accounting for one in three worldwide streams and surpassing the combined output of the next six countries. Executives framed the results as proof of music’s enduring value and export strength.
Swedish Collecting Society STIM Launches Its AI Music License
Swedish collecting society STIM has launched what it calls the world’s first collective AI music license, allowing approved works to be used in AI training with royalties paid back to rightsholders. The pilot, rolled out with startups Songfox and Sureel, covers a limited repertoire but includes attribution so creators can be compensated both for training and for AI-generated outputs influenced by their works. The move follows similar efforts by France’s Sacem and Germany’s GEMA, which have pushed for attribution-based licensing rather than lump-sum buyouts. The key challenge ahead is persuading AI companies to actually adopt the license.
SoundExchange Appeals Ruling in SiriusXM Lawsuit
SoundExchange has appealed a New York court ruling that barred it from suing on behalf of artists and labels in disputes over the U.S. compulsory license it administers. The collecting society argues the decision misinterprets copyright law and, if upheld, would allow broadcasters like SiriusXM to underpay royalties unchecked. SoundExchange claims Sirius has already shorted creators by more than $400 million through “faulty” revenue calculations. The appeal to the Second Circuit is crucial not only for this case but also for future enforcement against digital broadcasters. If courts ultimately side with SoundExchange, Sirius could face a massive payout, potentially offset by dropping costly deals like its $500 million Howard Stern contract.
France’s Recorded Music Revenues Grow 3.4% YoY, as Income From Streaming Video Plummets
France’s recorded music market grew 3.4% year-on-year in H1 2025 to €432 million ($490m), a slowdown from last year’s 5.9% growth, according to SNEP. Paid subscription streaming rose 3.9% to €271 million, but video streaming revenues fell 6.8% as audiences shifted toward short-form content. Physical formats outpaced digital, up 4.4% overall, with vinyl surging 9.4% while CD sales slipped 1.5%. Local music continued to dominate, with French acts making up three-quarters of the top 200 albums and 16 of the top 20 most-streamed songs. SNEP also highlighted the need to broaden streaming’s audience and called for an ethical licensing framework for AI in music.
GloRilla Seeks Dismissal in ‘All Naturale, No BBL’ Copyright Infringement Battle
GloRilla and Universal Music have asked a court to dismiss a lawsuit over her track Never Find, arguing that the disputed phrase “all naturale, no BBL” cannot be copyrighted. Plaintiff Natalie Henderson (aka Slimdabodylast) claims she popularized the phrase on social media and later used it in her song All Natural, which she says GloRilla copied. The defense counters that Henderson hasn’t shown how the defendants accessed her work, that the lyrical similarities are insubstantial, and that the phrase itself is a common expression lacking originality. They also note that social media posts aren’t copyrightable. The court has yet to rule.