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UAE Introduces Music Licensing Fees for Businesses From December 2026: What Companies Need to Do
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August 11, 2026

UAE Introduces Music Licensing Fees for Businesses From December 2026: What Companies Need to Do

UAE music licensing fees start in December 2026. What cafes, hotels, malls, gyms and multi-location businesses should do now.

14 min read
UAE Introduces Music Licensing Fees for Businesses From December 2026: What Companies Need to Do
The answer in 30 seconds

From December 2026, UAE businesses that play music commercially may need a renewable annual music licence. Cafes, restaurants, hotels, malls, gyms, events and multi-location operators should audit where music is used, verify supplier and streaming rights, assign responsibility, budget for annual licensing and centralise documentation before fee collection begins.

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Act now

Businesses across the UAE that play music commercially are facing an important new compliance requirement.

The UAE Ministry of Economy and Tourism has introduced a framework regulating the collective management of music rights, with licensing fee collection for commercial music use expected to begin in December 2026.

The framework potentially affects a wide range of businesses where music forms part of the customer experience, including restaurants, cafés, hotels, shopping malls, fitness centres, airlines, radio and television broadcasters, concerts and similar commercial uses.

For hospitality, retail, leisure and entertainment businesses, the change raises several immediate questions:

Do we need a music licence? How much will it cost? Does Spotify or another streaming subscription cover us? What happens if we operate several locations? And what should we do before December?

The most important step for businesses now is not to panic or simply switch off the music. It is to understand where, how and why music is being used across the organisation, determine which rights and licences may apply, and establish a compliance plan before fee collection begins.

What Has the UAE Announced?

The new framework establishes a more structured system for licensing the commercial use of copyrighted music and distributing royalties to music rights holders.

According to reports published following the Ministry's announcement on 11 August 2026, the framework falls under Ministerial Resolution No. 136 of 2026.

Businesses using protected music commercially will be able to obtain licences that are expected to be valid for one year and renewable annually.

The amount payable will not necessarily be identical for every company. The announced framework indicates that fee brackets will depend on factors including:

  • the nature of the music use; and
  • the size of the business.

This distinction is important.

A small café using background music may not necessarily be treated in exactly the same way as a major hotel, shopping centre, broadcaster or large entertainment venue.

Businesses should therefore avoid relying on speculative fee figures until the applicable tariff and classification for their particular use have been confirmed.

Why Is the UAE Introducing Commercial Music Licensing?

Music is protected by copyright and related rights.

A commercially released song can involve several different rights holders, potentially including the composer, songwriter, performer, record producer and music publisher.

When a business uses music to create atmosphere, entertain customers or otherwise support its commercial activity, that use is different from an individual listening privately at home.

Collective rights management provides a mechanism through which authorised organisations can manage certain financial rights, collect payments for licensed uses and distribute revenues to eligible rights holders.

The UAE already has a statutory framework for collective management.

Under the executive regulations associated with Federal Decree-Law No. 38 of 2021 on Copyright and Neighbouring Rights, collective management organisations require authorisation from the Ministry.

The regulations define collective management broadly as organisations authorised by copyright or neighbouring-rights holders to exercise financial rights, collect consideration and distribute it to rights holders.

The December 2026 development therefore represents an important practical step in implementing and standardising music-rights management for commercial users in the UAE.

Which UAE Businesses Could Be Affected?

The announcement specifically identifies several categories of commercial music users.

These include:

Restaurants and Cafés

Music is an integral part of the atmosphere in many UAE restaurants, coffee shops, lounges and casual dining venues.

Whether it is a carefully curated playlist in a Dubai café or evening music in an Abu Dhabi restaurant, businesses should assess whether their use falls within the licensing framework.

Hotels and Resorts

Hotels potentially have more complex music environments because music may be used across multiple areas of the same property.

For example:

  • lobby music;
  • restaurants;
  • bars and lounges;
  • swimming pools;
  • spas;
  • gyms;
  • ballrooms;
  • events;
  • beach clubs;
  • retail areas; and
  • other guest facilities.

Hotel groups should therefore consider conducting a property-by-property music usage audit rather than treating music as one generic service.

Shopping Malls and Retail Environments

Shopping centres commonly use background music in public areas.

Individual retailers within a mall may also use their own music inside stores.

Mall operators and tenants should establish which party is responsible for licensing each type of music use rather than assuming the landlord's arrangements automatically cover individual stores.

Gyms and Fitness Centres

Music can be particularly important to fitness businesses.

A gym might have general background music while also using different music during instructor-led classes.

Businesses should document these different uses because the nature of music usage can be relevant to licensing.

Airlines

Airlines are also among the categories identified in reports on the new framework.

Music may appear in boarding experiences, entertainment systems, lounges and other passenger-facing environments, making rights management potentially more complex than simply purchasing one consumer music subscription.

Events and Entertainment Businesses

Concerts and similar events are also included within the framework.

Event organisers, venues, promoters and hospitality companies should therefore establish responsibility for music licensing contractually before an event takes place.

Are Any Organisations Exempt?

The announced framework includes exemptions for certain categories.

Reported exemptions include:

  • educational and academic institutions;
  • government entities;
  • national events; and
  • personal, non-commercial celebrations.

The Ministry may also determine additional exempt categories.

Businesses should not assume they qualify for an exemption simply because music is not their primary business.

A café, hotel, retailer or gym may use music as a secondary part of its service, but that does not necessarily make the use non-commercial.

Who Will Manage Music Rights in the UAE?

The UAE has authorised collective music-management organisations as part of the development of its music rights ecosystem.

The Ministry announced a collective music-management licence for the Emirati Musicians' Association in April 2025 and subsequently announced a second licence for Music Nation in June 2025.

The Ministry said when announcing Music Nation's licence that the organisation was authorised to manage distribution of rights on behalf of music creators and performers.

The current 2026 reporting identifies the authorised bodies involved in collecting and administering rights under the new framework.

For businesses, this means music compliance is becoming a formal operational consideration rather than something that should be handled informally at individual branches.

What Should UAE Companies Do Before December 2026?

Companies should use the period before implementation to understand their exposure and build a documented compliance process.

Here is a practical approach.

1. Conduct a Music Usage Audit

The first step is to identify every location and situation in which your organisation uses music.

Do not limit the audit to obvious customer-facing speakers.

Review:

  • reception areas;
  • restaurants;
  • cafés;
  • bars;
  • hotel lobbies;
  • gyms;
  • spas;
  • retail stores;
  • shopping-centre common areas;
  • elevators;
  • offices where music may be publicly audible;
  • events;
  • exhibitions;
  • fitness classes;
  • entertainment areas;
  • websites and digital experiences where relevant;
  • televisions;
  • radio;
  • DJs;
  • live performances; and
  • third-party background-music systems.

For multi-site businesses, create a central register containing every branch and the type of music used at each location.

2. Identify How the Music Is Being Supplied

Businesses should determine where their music actually comes from.

For example:

Is an employee using a personal streaming account?

Does the company use a commercial background-music provider?

Does a DJ provide the music?

Does a hotel operator provide a centrally managed playlist?

Does a franchise agreement include a music service?

Does an event organiser handle the music?

Understanding the source is essential because having access to a song does not automatically mean a business holds every right required for commercial use.

3. Do Not Assume a Personal Streaming Subscription Is a Commercial Music Licence

This is likely to become one of the biggest areas of confusion.

A subscription that allows an individual to listen to music does not automatically mean that the subscriber has acquired all rights necessary to communicate or perform that music publicly in a commercial environment.

Businesses should therefore review both:

  1. the terms of their music provider; and
  2. any separate copyright or collective-management licensing obligations applicable in the UAE.

The safest approach is to verify the rights rather than assume that paying for a streaming service solves the entire licensing question.

4. Review Supplier Contracts

Many businesses outsource music.

That does not necessarily mean the licensing responsibility has also been outsourced.

Companies should review agreements with:

  • music providers;
  • DJs;
  • event organisers;
  • entertainment companies;
  • hotel operators;
  • franchise partners;
  • audiovisual suppliers; and
  • venue-management companies.

Contracts should clearly establish which party is responsible for obtaining the relevant rights and licences.

Businesses should also request documentary evidence where a supplier claims the required rights are already included.

5. Map Responsibility Across Landlords and Tenants

This will be particularly important for shopping malls, hotels, mixed-use developments and managed hospitality environments.

Consider a mall.

The mall operator may play music in common areas while each individual retailer plays different music inside its store.

Businesses should establish whether licences apply separately to these uses and who is responsible for each.

The same issue can arise between:

  • hotel owners and hotel operators;
  • landlords and tenants;
  • franchisors and franchisees;
  • venue owners and event organisers; and
  • property managers and individual commercial units.

Clear contractual responsibility can prevent disputes later.

6. Prepare a Central Music Compliance Register

Larger organisations should consider establishing a central register containing:

Location → Music use → Music source → Supplier → Applicable licence → Renewal date → Responsible employee → Supporting documentation

This turns music licensing into a manageable compliance process.

A restaurant group with 50 branches should not have 50 restaurant managers independently trying to understand copyright requirements.

Centralisation can reduce administrative work, missed renewals and inconsistent compliance.

7. Budget for Annual Licensing

The licences announced under the framework are expected to be valid for one year and renewable.

Music licensing should therefore become an annual operating and compliance budget item for affected businesses.

Groups preparing their 2027 UAE operating budgets should consider including an allowance for commercial music licensing rather than treating the eventual charge as an unexpected expense.

However, businesses should avoid inserting unverified fee amounts into budgets until their applicable category and tariff have been confirmed.

8. Evaluate Alternative Music Strategies — Carefully

Some businesses may decide to reconsider how they source music.

Possible alternatives could include:

  • directly licensed music;
  • commissioned original music;
  • music libraries specifically licensed for relevant commercial uses; or
  • other rights-cleared music solutions.

But businesses should be cautious with the term “royalty-free.”

Royalty-free does not necessarily mean copyright-free, free of charge, or automatically exempt from every licensing obligation.

The relevant licence terms and the UAE regulatory position still need to be checked.

9. Be Careful With AI-Generated Music

The new licensing framework may encourage businesses to investigate AI-generated background music.

However, businesses should not assume:

“AI generated = copyright free = no licensing issue.”

AI music raises its own contractual and intellectual-property questions.

Before deploying AI-generated music commercially, companies should establish:

  • who owns or licenses the output;
  • whether commercial use is expressly permitted;
  • whether the provider gives appropriate warranties;
  • whether third-party material may be implicated; and
  • whether the particular use remains subject to any UAE licensing requirements.

AI music may become part of a company's music strategy, but it should be assessed as a rights-management decision rather than treated as an automatic loophole.

What About Businesses With Multiple UAE Locations?

Multi-location operators arguably have the greatest need to prepare early.

Consider a restaurant group operating:

  • 20 restaurants;
  • 12 cafés;
  • 4 lounges; and
  • several new locations opening in 2027.

The organisation may have different music systems, suppliers, playlists and entertainment arrangements across its portfolio.

Without central oversight, management may not know which outlets are compliant.

A group-level audit can identify every site, categorise music use and establish a single compliance process.

Companies should also determine whether any group-level arrangements are available under the applicable licensing framework rather than assuming every location must necessarily be managed administratively in isolation.

What Happens If a Business Does Nothing?

The UAE's copyright framework already provides legal protection for copyright and neighbouring rights.

The introduction of a formal commercial music-licensing system makes it increasingly important for businesses to document how they obtain and use music.

Companies should therefore avoid waiting for an inspection, complaint or licence renewal to discover that their music arrangements are unclear.

The better approach is preventive:

Audit → classify → verify rights → license where required → document → renew.

A UAE Music Licensing Compliance Checklist

Before December 2026, businesses can work through the following checklist:

  • [ ] Identify every UAE business location where music is played.
  • [ ] Record where music is used within each location.
  • [ ] Identify the source of the music.
  • [ ] Review streaming and music-provider contracts.
  • [ ] Identify DJs, event organisers and entertainment suppliers.
  • [ ] Determine contractual responsibility between landlords, tenants, operators and franchisees.
  • [ ] Establish whether a UAE commercial music licence is required.
  • [ ] Determine the applicable licence category and confirmed tariff when available.
  • [ ] Budget for licensing and annual renewal.
  • [ ] Keep licences, contracts and supporting documentation centrally.
  • [ ] Assign an internal person or external compliance provider to manage renewals.
  • [ ] Review music compliance whenever a new branch opens.

How We Can Help UAE Businesses Prepare

For organisations operating restaurants, cafés, hotels, malls, gyms, retail stores and other commercial venues, the challenge is not simply obtaining a licence.

The bigger challenge is answering:

What music are we using?

Where are we using it?

Which rights apply?

Who is responsible?

Which locations require licensing?

What documentation should we maintain?

When does each licence need to be renewed?

Our UAE Music Licensing & Compliance Service helps businesses build a structured approach to commercial music use.

We can support companies with:

Music Usage Audits

We map how and where music is used across your organisation, including individual branches and different music-use environments.

Licensing Readiness Assessments

We help identify potential licensing requirements and prepare your business for the December 2026 framework.

Multi-Location Compliance

For hotel groups, restaurant chains, retail groups, gyms and other multi-site operators, we can create a centralised music-compliance register covering the entire UAE portfolio.

Supplier and Contract Reviews

We review how music is supplied across your organisation and identify areas where responsibility for licensing needs to be clarified with vendors, landlords, operators or other parties.

Music Rights Documentation

We help establish an organised record of licences, contracts, music sources, responsible parties and renewal dates.

Renewal Management

Because commercial music licences are expected to operate on an annual renewal basis, businesses can establish a structured renewal-management process rather than relying on individual locations.

Alternative Music Strategy

Where appropriate, we can help companies assess alternative music-sourcing strategies while ensuring that “royalty-free,” direct-licensed or AI-generated music is not adopted based on incorrect assumptions about copyright.

Frequently Asked Questions About UAE Music Licensing Fees

Do restaurants in the UAE need a licence to play music?

Restaurants are among the commercial establishments identified under the new UAE music-rights licensing framework. The exact requirements and applicable tariff should be confirmed based on the restaurant's use of music and the implementing arrangements.

When will UAE music licensing fees start?

According to the Ministry announcement reported on 11 August 2026, fee collection is expected to begin in December 2026.

Do cafés need a music licence in Dubai?

Cafés are among the categories identified in the UAE-wide framework. Businesses operating in Dubai should therefore assess their commercial music use before implementation.

Do hotels need music licences in the UAE?

Hotels are specifically among the affected commercial categories. Because hotels can use music in numerous environments, a property-wide audit is particularly important.

Does Spotify cover a business music licence in the UAE?

Businesses should not assume that a consumer streaming subscription covers all rights necessary for commercial or public music use. The streaming service's terms and applicable UAE licensing requirements should be reviewed separately.

Are gyms affected by the UAE music licensing rules?

Fitness centres are included among the commercial establishments identified under the framework. Gyms should assess both background music and music used in classes or other activities.

How much will the UAE music licence cost?

The announced framework indicates that fees will vary according to factors such as the nature of music use and size of the business.

Businesses should obtain the applicable official tariff rather than relying on unofficial estimates.

Is royalty-free music exempt?

Not necessarily.

“Royalty-free” is a licensing model, not a universal legal exemption. Businesses should verify exactly what rights their music licence provides and whether additional UAE licensing obligations apply.

Can businesses use AI-generated music instead?

Potentially, depending on the provider and licence, but AI-generated music should not automatically be assumed to be copyright-free or exempt from UAE requirements.

Commercial rights, contractual terms and applicable local licensing obligations should be verified before deployment.

Why Businesses Should Act Before December

December may sound some distance away, but organisations with multiple locations can require considerable time to understand their current music arrangements.

A hotel group may have dozens of music-use scenarios.

A restaurant group may discover that individual managers use different streaming accounts.

A mall operator may need to separate common-area obligations from tenant responsibilities.

A gym chain may have background music, instructor playlists and supplier-provided content.

Starting early gives businesses time to identify these issues before fee collection begins.

More importantly, companies can use the regulatory change as an opportunity to establish a proper music governance framework rather than treating licensing as a one-off payment.

Need Help Preparing for the UAE's New Music Licensing Requirements?

If your company operates cafés, restaurants, hotels, malls, retail stores, gyms, entertainment venues or multiple commercial locations in the UAE, now is the time to review how music is being used across your organisation.

We help UAE businesses audit music usage, assess licensing requirements, organise documentation and manage ongoing music-compliance obligations.

Instead of waiting until December, businesses can begin with a Music Licensing Readiness Assessment.

The assessment can help answer:

Where are we exposed? Which locations need attention? What information is missing? What should we do before December?

Contact our team to arrange a UAE Music Licensing Readiness Assessment.

Key Takeaway

The introduction of commercial music-licensing fees in the UAE is more than a new administrative charge.

For hospitality, retail, fitness, entertainment and other businesses, it creates a new area of operational compliance that needs to be managed systematically.

Companies should use the months before December 2026 to:

identify music use, understand their rights, review suppliers, clarify responsibilities, determine licensing requirements and establish annual compliance procedures.

Businesses that prepare early will be in a far stronger position than those that wait until the new framework is already in operation.

*Disclaimer: This article provides general information and should not be treated as legal advice. Licensing requirements, tariffs, exemptions and implementation procedures should be verified against the latest UAE Ministry of Economy and Tourism guidance and advice from appropriately qualified professionals.*

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