LMKN Urges Netflix to Pay Rp75 Billion in Music Royalties Since 2016
The National Collective Management Organisation (LMKN) has officially urged the Video on Demand (VOD) platform Netflix to immediately settle its royalty payment obligations for the use of musical works and songs on its service. The outstanding amount is estimated to reach Rp75 billion, dating back to when Netflix first commenced commercial operations in Indonesia in 2016.
The General Secretary of LMKN, M Bigi Ramadha Putra, revealed that, to date, Netflix has never paid these royalties. He noted that royalty payments are a vital instrument in protecting the economic rights of creators, musicians, singers, and producers in the digital era.
“The value is estimated to be around Rp75 billion, which must be resolved by Netflix since it opened access to digital commercial services in Indonesia,” Bigi stated in a press release on Wednesday.
Bigi emphasised that this obligation has a strong legal basis in Indonesia. Netflix is required to respect the regulations applicable to every digital platform conducting commercial activities within the country.
LMKN plans to report this issue to the Ministry of Law and the Ministry of Communication and Digital. If Netflix continues to fail to comply with the rules, LMKN will not hesitate to apply for the closure of access or the blocking of Netflix’s services in Indonesia.
“If regulations are not followed, we will submit a request regarding the closure of Netflix access in Indonesia. Regulations grant authority to the relevant ministries to close sites or block user access that violates copyright,” Bigi asserted.
This issue has come under intense scrutiny because Netflix is known to have different levels of compliance in other Southeast Asian countries. LMKN noted that Netflix has fulfilled similar obligations in the Philippines and Thailand.
LMKN previously undertook persuasive efforts through informal meetings in London to discuss these arrears. However, as no consensus has been reached, legal and administrative actions have now become the primary options.
For LMKN, this demand is not merely about the figures, but serves as a momentum to clarify music governance on digital streaming platforms in Indonesia to ensure it remains transparent and fair for all economic rights holders.