Neighbouring Rights, also known as Phonographic Performance Rights, are a source of income for performing artists and record labels.
They are a so-called ‘Performance Right’ meaning thatwhenever a recording is played in public in clubs, on radio or TV and over the internet, income is (or at least should be!) generated.
Rather than pay for each track that is played venues, broadcasters and digital service providers generally get annual licences from Phonographic Rights organisations (such as PPL, GVL, SENA, PCAA, UBC) It is the job of those organisations to collect income from these companies who use music and to distribute that income to performing artists and record labels.