Hi all. I have some more answers to add to this thread today - also note that as with the previous update, I’ve also added today’s FAQs to the first post at the top of this thread, so they are easier to find.
Why are we doing this now?
By providing Audio authors with the ability to opt-out of third-party arrangements by July 29, we will have clarity over the total number and types of audio items that we can explore third-party licensing and distribution deals for, from August onwards.
Our industry is undergoing significant disruption, and the current opportunities are changing rapidly. There will be potential for new ways to generate revenue and earnings for our Author community. But in order to effectively pursue these new opportunities and beat the competition, we need the ability to move quickly and adapt. This is the first step in that journey.
What do you mean by “third party arrangements”?
This term covers any use of the content you license through Envato, on sites outside of our ecosystem. As discussed in our Author Hub article, this could include:
- Developing generative AI models
- Augmenting a partner’s content offering with our library
- Integrating content into creative tools
A note on partnership selection, scale and speed:
It’s important to note that we are working to ensure that any potential partnership offers worthwhile benefits to all parties: we’re looking for partnerships that are complementary to our primary business, involve working with reputable companies, and can generate meaningful income for both Envato and the Author community. This takes time, as we will not jump at every potential offer.
While selecting partners to work with is a slow process, when discussions do commence things can move very quickly. This is why we need to establish a clear number of items that we have permission to use in third-party arrangements.
At the stage when a deal is under consideration, it will not be possible to go back to adjust the content that is available. The Envato community involves thousands of Authors and millions of items, and the process of contacting and seeking usage permissions from our full community takes several weeks. This is why we’re establishing permission up front, so that our commercial teams can move quickly later on.
Would third-party earnings be ongoing or one-off payments?
Both options are possible, and would depend on the specific partner and their usage. Without having full details of future arrangements, we cannot provide you with details of fee structures. Compensation and the share will be subject to the terms negotiated with third party partners, but our intention will always be to ensure those terms are as favourable as possible.
Can authors who use virtual instruments and sample libraries license their music for AI training?
Envato cannot give advice on the T&Cs of the range of tools that may be used by our authors. If you are unsure whether your tools allow the license of your music tracks (“derivative works”) for AI training, we recommend that you check directly with those tools to confirm what is permitted.
I’ll continue taking all questions raised here to the project team, and will post another update next week. We’ll also be sending a reminder email, and publishing an Author Dashboard announcement for AudioJungle.