How is the MP3 license handled for authors?


#1

Hey guys, I’m quite confused about the licensing of MP3 files. I honestly didn’t know MP3 is a patented format. Straight up, I’ll admit I was totally ignorant of this topic before releasing MP3’s to the public and I’m wondering if it affects authors on AudioJungle as well, or if it something regarding only software/gaming developers and broadcasting companies.

When going to the mp3licensing.com site, in the FAQ section there is this point:

5) Do I need a license to distribute mp3 encoded content?
Yes. A license is needed for commercial (i.e., revenue-generating) use of mp3 in broadcast systems (terrestrial, satellite, cable and/or other distribution channels), streaming applications (via Internet, intranets and/or other networks), other content distribution systems (pay-audio or audio-on-demand applications and the like) or for use of mp3 on physical media (compact discs, digital versatile discs, semiconductor chips, hard drives, memory cards and the like).
However, no license is needed for private, non-commercial activities (e.g., home-entertainment, receiving broadcasts and creating a personal music library), not generating revenue or other consideration of any kind or for entities with associated annual gross revenue less than US$ 100 000.00.

What does it meaning exactly? Are we supposed to pay royalties to them when we sell MP3’s on AudioJungle? Or does it affect only the customer?
I can’t find any info about this regarding musicians on the Internet, so any help would be greatly appreciated. Thank you.
_Marco