3. Royalty Type 2: The Publishing Royalty (The Gap)

The Publishing Royalty is generated whenever the underlying musical composition is played, performed, or reproduced. This money goes to the songwriter(s) and their publisher. This royalty is often missed by independent artists because their distributor typically does not collect it.

<ul> <li><strong>Source:</strong> Streaming services, radio airplay, live performances, TV/film sync placements, digital downloads, physical sales (CDs/vinyl), mechanical reproductions (e.g., a cover song being pressed to CD).</li> <li><strong>Collector:</strong> Publishing royalties are split into sub-categories (Performance and Mechanical, Module 65) and are collected by different organizations (PROs, MLC, publishing administrators).</li> </ul> The "gap" occurs because DistroKid and other 0% commission master recording distributors typically **only collect the Master Recording Royalty**. They are not collecting the publishing side.