Guest Column: The Curious Case Of Music Licensing

Music licensing and copyright issues have long been the industry’s greatest challenge. What started as pirated usage, over time, has evolved and is now prevalent on social media platforms. The most recent case of Zee Music and Nykaa once again brings this conversation to life. This case could serve as an important wake-up call for advertisers, agencies, creators, and brands operating on social media platforms.

Licensing arrangements between platforms and rights holders are generally structured around platform usage rather than blanket commercial rights for brands. Most platforms’ terms and conditions, including META’s guidelines, typically distinguish between personal music use and commercial exploitation.

Instagram, Facebook, TikTok, and YouTube have negotiated robust licensing agreements with major music labels and publishers. But these blanket licenses are strictly structured around non-commercial usage. They exist so an individual user can add a trending pop song to a video of their favourite moment without getting flagged.

And this is where the game changes. Many advertisers mistakenly assume that if a song is available in a platform's music library, it can automatically be used for brand communication. However, branded content is considered commercial promotion regardless of whether paid media is involved.

The moment copyrighted music is used with a branded content post, story or reel, the responsibility shifts to the advertiser to obtain the necessary commercial licenses. Once copyrighted music is used by any business, the legal framework completely changes.

Many advertisers mistakenly assume that if a song is accessible within a platform's public music library, it carries an automatic, universal clearance for brand communication. This is the biggest misconception.

Branded content is legally recognised as commercial promotion, completely independent of whether paid media spend or ad dollars are behind it. Platform licenses often differ significantly from commercial usage rights.

Music licensing in influencer marketing

Music usage for branded content is particularly relevant in influencer marketing. When influencer content is tied to brand partnerships or endorsements, the usage shifts from personal to commercial. In these cases, brands need to ensure that proper music clearances are in place or strictly instruct creators against using unauthorised copyrighted music.

Brands do not realise that they can be held liable for copyright infringement occurring in content produced by their paid partners. If an influencer uses a trending track to promote a brand’s new skincare line, the music labels will target the brand, not just the creator.

Agencies and brands must implement rigid compliance protocols and work in sync. This means establishing clear music clearance procedures, providing creators with pre-approved commercial tracks, or strictly instructing influencers against using unauthorised copyrighted music in any sponsored deliverables.

Legal Implications and Way Forward

Personal usage of songs on social is fine, but when monetisation comes, the tag of brand content and paid reach comes, and legalities come into place. Legal commitments, songwriter and artists' royalties, and other factors come into place. The responsibility is not just extended to the brand but should also be extended to the agency and the content creator involved.

The Indian ecosystem in music licensing needs awareness towards this usage. There are IP laws, Copyright Laws, and Digital Laws that are to be considered while making posts or putting any content with official usage of songs.

There also needs to be a stronger ecosystem of agencies, vendors, brands and artists, which has more transparency and clear roles. Brands should have an in-house music clearance awareness sessions and practice and review content before it goes live.

As the ecosystem builds and grows at a massive rate, a high increase in awareness and compliance regarding commercial digital licensing is required. Today, music compliance can no longer be an afterthought; it needs to be reviewed as a core component of a brand's risk management and corporate legal strategy.