The National Music Publishers’ Association and indoor cycle fitness giant Peloton have agreed to settle a copyright infringement case following accusations that the latter had used music without the proper permissions.
Swiftly following the settling of another case with rival Flywheel Sports, the news of another case concluded will be welcome news for investors, however the firm’s shares dropped sharply on the news of a due compensation as part of the resolution of the case.
The pair have now collaborated for the future to ensure the indoor fitness business is in line with its obligations to artists. 14 NMPA members brought the original case against Peloton.
NMPA President and CEO David Israelite said: “We are pleased the music publishers and their songwriter partners in this case have reached a settlement with Peloton that compensates creators properly and sets forth the environment for a positive relationship going forward. Peloton is an innovative company, and we are impressed with the company’s investment in technology and commitment to delivering a powerful, authentic music experience. We look forward to our ongoing collaboration to find solutions that will benefit all songwriters.”
Peloton’s Head of Music Paul DeGooyer said, “Music is an important part of the Peloton experience, and we are very proud to have pioneered a new revenue stream for recording artists and songwriters. We’re equally proud to partner with David and the NMPA to ensure that songwriters are, and continue to be, fairly compensated. With the NMPA’s input, we are confident our proprietary, state-of-the-art music system will provide an even more dynamic fitness experience for our millions of members worldwide.”