Satoshi Watanabe, manager of the international relations department at the Japan Society for Rights of Authors, Composers and Publishers (Jasrac), confirmed that the JFTC is investigating claims that Jasrac is effectively preventing the entry of other organizations into the market by signing blanket licensing agreements with TV channels and radio broadcasters.

In a blanket licensing agreement the TV broadcaster is allowed to play any piece of Japanese or foreign music to which Jasrac manages the rights, in exchange for a fixed annual fee, rather than paying each time it plays a piece of music.

The FTC is investigating claims that these blanket licensing deals have made it very difficult for smaller licensing organizations to enter the market. Jasrac was the sole organization responsible for licensing music in Japan until 2001, when new bodies were allowed to begin similar operations.

According to Jasrac’s website, the organization has concluded licensing agreements with NHK, Japan’s public service broadcaster, and the National Association of Commercial Broadcasters, which has more than 200 members.

Watanabe did not know if the investigation was the result of a specific complaint from a rival licensing company, but said that Jasrac would cooperate with it. “When the research and analysis is complete we will take the necessary steps – we will respond in a proper manner,” he said. He added that the investigation could take up to one year.

The JFTC issued new guidelines clarifying the use of IP in the country’s anti-monopoly law in September last year.