The Copyright Royalty Board has paused adoption of the proposed Phonorecords V Subpart B settlement and ordered major labels, A2IM, the Music Artists Coalition, the NMPA, and the NSAI to answer objectors and ten written questions by October 2, 2026. The deal would set mechanical rates for physical copies, permanent downloads, ringtones, and bundles for 2028–2032; streaming mechanicals sit on a separate track of the same docket.
Objectors including the Songwriters Guild of America, Word Collections, Eight Mile Style, and the Society of Composers & Lyricists argue the proposal effectively resets the per-song floor toward 12 cents from today’s inflation-adjusted 13.1 cents and freezes the 24-cent ringtone rate set in 2009. Judges also pressed for inflation-calculation detail and evidence that overlapping label–publisher ownership still produced an arm’s-length negotiation.
Chief Judge Trevor Jefferson stayed the physical/download/ringtone path “until further notice” after bifurcating it from streaming. SGA president Rick Carnes welcomed the scrutiny, saying independent creators need transparency and a real seat at the table before rates lock in through 2032.
Image: Eminem — Mika Photography / Hits Culture — https://hitsculture.com/article/phonorecords-v-mechanical-rate-settlement-12-cent-reset-ringtone-freeze-deep-dive