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Originally Posted by HarryT
Yes, really  . There's an excellent summary of the (very complicated) way that it all works here, if you're interested in learning more. |
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Think about the creative expressions that go into the song playing on your iPod. First, there is the underlying song, the musical work. Let’s say the song playing on your iPod is “All Along the Watchtower”, written by Bob Dylan. As the songwriter, Bob Dylan has a copyright in the musical work. Every time “All Along the Watchtower” is broadcasted on the radio or internet, performed publicly, recorded by others and reproduced into consumer copies, Dwarf Music, Bob Dylan’s publishing company, is paid. In this context, it makes no difference which version of the song is being disseminated. Whether it’s the original version from the John Wesley Harding album or a cover version by another artist – Bob Dylan is paid as the songwriter.
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As you see in the example for the musical work, Dwarf Music gets paid i.e. a company owns the copyright. Bob Dylan is paid because he owns the company.