Zee Music–Nykaa Dispute And Media Merger Challenges Put Music Licensing In The Spotlight

As copyright disputes involving brands, broadcasters and music companies continue to make headlines, industry leaders are urging businesses to rethink how they approach music licensing in the digital era.

The issue took centre stage during Loudest.in's webinar, "Who Owns the Music? Understanding Copyright, Royalties, and Licensing in 2026," where experts weighed in on two of the industry's most closely watched legal battles,the Zee Music-Nykaa dispute over commercial use of music on social media and the broader questions around copyright compliance following media mergers and acquisitions.

A key takeaway from the discussion was clear: music available online is not automatically free for commercial use.

Addressing the debate around brands using tracks from Instagram's music library in marketing campaigns, Rumpa Banerjee, GM – Marcom & Member Relations at IPRS, explained that the distinction lies in how the music is used.

"If an individual is creating content for personal use, such as making reels using music from Instagram's library, that is generally permitted because Meta has already obtained the necessary licences. However, the moment that usage becomes commercial,whether for advertising, promotions or branded content,a separate sync licence is required," she said.

According to Banerjee, brands must obtain permission and compensate both creators and rights holders whenever music is synchronised with commercial content.

Vitasta Kaul, Brand & Marketing Leader, was unequivocal on the issue."In one word, should brands be allowed to use music without paying for it? No, absolutely not," she said.

Drawing a parallel with retail theft, Kaul argued that if brands, creators and digital platforms are generating revenue from content, music creators should not be the only stakeholders left uncompensated.

"If a brand is exploiting someone else's intellectual property to create commercial value, it should pay for that use. There is no justification for using music commercially without compensating rights holders," she said.

Kaul believes the ongoing Zee Music-Nykaa dispute could become a significant moment for the industry, even if widespread behavioural change takes time.

"Large brands have the resources to acquire music rights legally. The issue is often not the lack of resources, but the lack of intent. Making an example of large brands sends a strong message that no company is above the law," she noted.

The discussion also explored the practical challenges brands face while securing music licences.

Shahir Muneer, Founder and CEO of Divo Music, highlighted a growing disconnect between the pace of modern marketing and the speed of traditional licensing processes.

"Brands operate on extremely fast timelines, while music licensing can often be slow and cumbersome. There is a significant gap between the speed at which brands move and the pace at which licensing is handled today," he said.

Muneer noted that the rise of social media has further complicated matters. Trending songs often become central to brand content strategies because platforms favour popular audio, creating pressure to move quickly before trends fade.

However, he stressed that licensing cannot be treated as an afterthought.

"There needs to be a more structured industry solution. Larger advertisers may have access to labels and rights holders, but smaller businesses often don't know where to begin. More streamlined licensing systems, accessible databases and standardised frameworks would benefit everyone," he said.

The panel also addressed copyright compliance challenges facing broadcasters and media companies, particularly as consolidation reshapes the media landscape.

Banerjee noted that India's music licensing ecosystem still lags global markets in several respects.

"Nearly 80% of IPRS collections currently come from digital platforms. Internationally, a substantial share comes from broadcasting. In India, apart from a few major networks, most broadcasters are still not licensed with IPRS despite extensive music usage," she said.

She added that mergers and acquisitions often require companies to revisit licensing arrangements, but the fundamental principle remains unchanged.

"Music users must obtain the necessary licences and pay for the music they use. That obligation does not disappear because ownership structures change," she said.

Amit Dubey, Music Publishing & Rights Strategist and Founder of Beat Street Music & Publishing, pointed to another commonly overlooked issue: public performance royalties generated by advertisements.

"Many people think the process ends after paying a sync fee to use music in an advertisement. But once that advertisement is broadcast on television, radio or digital platforms, public performance royalties come into play," he explained.

Dubey urged creators to ensure advertisements featuring their work are properly registered with performing rights organisations such as IPRS, even when labels own the sound recordings.

Beyond licensing disputes, the conversation also highlighted a growing shift in how brands are approaching music partnerships.

Rather than licensing existing songs, many companies are increasingly commissioning original music and collaborating directly with artists.

According to Kaul, this trend is being driven by a combination of commercial and creative advantages.

"Brands are realising that owning their own music IP provides flexibility, creative freedom and long-term value. If a campaign works, they can build on it, adapt it for different markets and continue developing it over time," she said.

She pointed to initiatives such as Coke Studio and other brand-led music properties as examples of how original music can become a long-term cultural asset while simultaneously creating opportunities for emerging artists.

Banerjee echoed the sentiment, noting that more brands are now commissioning music from independent and emerging musicians rather than navigating lengthy licensing negotiations around existing catalogues.

For the panelists, the broader message was straightforward: as India's music economy continues to expand, copyright awareness and compliance must evolve alongside it.

"Music is not free," Banerjee said. "Artists, songwriters and composers deserve to be paid for the value they create. That message needs to be communicated loudly and clearly across the industry."