Korean music copyright body withholds about 24 billion won over alleged YouTube abuse
In short
The Korea Music Copyright Association said on 22 October it is withholding about 24 billion won in royalties for four rights holders and 802 songs while it checks allegations of artificially inflated YouTube usage. With amounts already paid out, the total at issue is estimated at over 30 billion won. The allegations were raised at a National Assembly audit on 12 October.
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The Korea Music Copyright Association (KOMCA) said on 22 October that it has withheld royalty payments for some rights holders and started detailed checks over alleged abuse of YouTube royalties. The hold covers four rights holders and 802 registered songs, and the withheld amount is about 24 billion won. Including sums already settled, the scale of the matter is estimated at over 30 billion won. [ 1 , 2 , 3 ]
The allegation was raised on 12 October at the National Assembly culture committee audit by Jin Seon-mi of the Democratic Party. According to Newsis, she pointed to cases in which royalties were obtained by inserting music unrelated to the video content, or making it inaudible, on Shorts music monetization platforms. She raised the issue of fairness in distribution. [ 1 , 2 , 3 ]
KOMCA said that with some Shorts channels, a specific piece of music was used in videos and the rights holder paid part of the royalties received to the channel. It said usage may have been generated in this process for the purpose of earning royalties. KOMCA said the key question is whether usage of the songs came from normal music consumption or was artificially increased for economic reward, and that the appropriateness of the usage figures needs further checks. [ 2 , 3 ]
KOMCA explained that YouTube royalties are distributed according to each work's usage record from the fees received from the platform. It said that if usage of a song is artificially increased and its share rises, the royalties going to other creators can fall. [ 1 , 2 , 3 ]
KOMCA has also sent 791 related songs to an overseas AI music analysis firm. Yonhap and Asia Economy reported that some songs showed a possibility of AI generation. KOMCA is also checking how the Shorts channels or platforms operate and their contractual relations, and is sharing information with overseas copyright organisations. [ 1 , 2 , 3 ]
According to Yonhap, a KOMCA member filed a complaint with police in February over the matter, alleging fraud and obstruction of business. Police decided on 30 June not to refer the case for prosecution, citing insufficient evidence, and KOMCA applied for an investigation review. Asia Economy reported that KOMCA considered lifting the hold after the police decision, but its board decided on 29 September that more fact-finding was needed and kept the hold. [ 2 , 3 ]
A KOMCA official said that legitimate royalties should be paid, but that paying large sums without sufficient checks, when serious doubts have been raised about the appropriateness of distribution, calls for caution. The official said KOMCA must also check whether other creators' rightful shares were harmed, not only the payment demands of some rights holders. [ 2 , 3 ]
Why it matters
The association says the royalty pool is shared by usage, so inflated usage of some songs could reduce what other creators receive. The documents do not say whether the inflation is proven, and the matter is still under checks and a police review request.
Key facts
- The Korea Music Copyright Association (KOMCA) said on 22 October it has withheld royalty payments for four rights holders covering 802 registered songs. [ 1 , 2 , 3 ]
- The withheld amount is about 24 billion won; including sums already distributed, the total is estimated at over 30 billion won. [ 1 , 2 , 3 ]
- Democratic Party lawmaker Jin Seon-mi raised the issue at the National Assembly culture committee audit on 12 October. [ 1 , 2 , 3 ]
- KOMCA has sent 791 songs to an overseas analysis firm to check for AI generation; Yonhap and Asia Economy report that some songs showed a possibility of AI generation. [ 1 , 2 , 3 ]
- Police decided on 30 June not to refer the case for prosecution, citing insufficient evidence, and KOMCA has applied for an investigation review. [ 2 , 3 ]
- KOMCA's board decided on 29 September to keep the payment hold until the facts are clarified. [ 1 , 2 , 3 ]
Confirmed by several sources
- KOMCA withheld royalties of about 24 billion won for four rights holders and 802 songs and is carrying out further checks. [ 1 , 2 , 3 ]
- Jin Seon-mi of the Democratic Party raised the alleged abuse at the National Assembly culture committee audit on 12 October. [ 1 , 2 , 3 ]
- Police decided not to refer the case for prosecution, and KOMCA applied for an investigation review. [ 1 , 2 , 3 ]
- KOMCA's board decided on 29 September to maintain the hold. [ 1 , 2 , 3 ]
Still unclear
- Whether usage of the songs was artificially inflated. KOMCA says the appropriateness of the usage figures needs further checks and that the practices it describes may have occurred.
- Whether the songs were generated by AI. Two outlets report that some songs showed a possibility of AI generation; the checks are still under way.
- Whether the hold will be lifted. KOMCA says it will keep the hold until the facts are clarified, and the police review request is pending.