Web giant Google signed a multi-year licensing deal with Toronto-based LyricFind company to display song lyrics in its search results. This means that a Google query for the lyrics to a certsain song will show the words to much of that song, and users won't have to click through to another website.
Google launched the lyrics feature in the U.S. today on June 27, and it has licenses to display the lyrics internationally as well.
LyricFind Chief Executive and co-founder Darryl Ballantyne explained:
I can’t get into the rates, but we expect it to be millions of dollars generated for publishers and songwriters as a result of this. It’s all based on usage. Royalties are paid based on the number of times a lyric is viewed. The more it’s viewed, the more publishers get paid.
LyricFind was among the first companies to see an opportunity in legitimizing and monetizing uses of online lyrics. Founded in 2004, the company began by recruiting publishers and then persuading sites to pay up. Today, the company manages the rights to lyrics from more than 4,000 publishers, licensing to online services and sites across 100 countries.