The UK organisations responsible for collecting music royalties have reported here that they have had a record year in collected royalties. Although royalties from physical media sales have dropped by 10% everything else (e.g. public performance, downloads and so on) have been increasing in or near double digit rates giving an overall growth of 3%.  The report says …

For the first time, income from broadcasting and online out-performed that of recorded physical product. Online royalties, although still a small proportion of the overall whole (at £10m), grew significantly by 54% year-on-year, largely due to the growth in the legal online music market led by iTunes.

A picture that isn’t too gloomy given the current global economic down turn, although this is only really good news for the artists and composers rather than the record labels themselves.