The UK’s Performing Right Society (PRS) has launched legal action against Valve Corporation, the US company behind Steam, one of the world’s largest PC gaming stores, alleging that music by its members has been made available on the platform without a licence.
The collection society claims that Valve has never obtained a licence for the music rights it manages on behalf of songwriters, composers, and music publishers since the digital games store launched in 2003.
PRS says it attempted to reach an agreement with the company “for many years” before issuing legal proceedings in the UK on March 4.
Steam is primarily used to buy, download and/or play video games. The platform also offers software and other digital content, including video game soundtracks, which can be purchased by users.
According to data from Icon Era, Steam commands around 75% of the PC gaming market, with 147 million monthly active users.
PRS says games sold on Steam that feature music by its members include popular titles such as EA SPORTS FC, Forza Horizon, and Grand Theft Auto.
Game developers and publishers typically secure sync licences to cover the embedding of music in their titles.
However, in the UK, those sync deals do not extend to the making available of that music when games are subsequently distributed via download or streaming platforms.
The ‘communication to the public’ right — i.e. the making available right — sits with PRS, not individual music publishers, meaning Valve requires its own separate licence as the platform operator distributing games that contain PRS members’ works.
“Great video games rely on great soundtracks, and the songwriters and creators behind them deserve to have their contribution recognized and fairly valued.”
Dan Gopal, PRS FOR MUSIC
Dan Gopal, Chief Commercial Officer, PRS for Music, said: “Our members create music that enhances experiences and PRS exists to protect the value of their work with integrity, transparency, and fairness.
“Legal proceedings are not a step we take lightly, but when a business’s actions undermine those principles, we have a duty to act.
“Great video games rely on great soundtracks, and the songwriters and creators behind them deserve to have their contribution recognized and fairly valued.”
PRS says the litigation will continue unless Valve engages in discussions and agrees to a licence covering both past and future use of its members’ music.
As reported by the BBC, Valve separately faces a £656 million (USD $876m) lawsuit in the UK over alleged unfair prices on Steam, following a tribunal ruling that the case could continue.
PRS for Music confirmed last week that its CEO, Andrea Czapary Martin, who joined in June 2019, will be stepping down at the end of 2026.
For 2024, the collective management organization, which represents the rights of more than 180,000 songwriters, composers, and music publishers, reported that it paid out £1.02 billion (USD $1.3bn) in royalties, up 8.1% YoY.Music Business Worldwide
