Using Music In Your Video Game: Legal Essentials For Developers In Australia

Image: Composer at a computer creating music for a video game (alt: Music and video games)

Great game music can transform a level into a moment players remember for years. Whether you’re building an indie puzzler or a AAA action title, the soundtrack shapes pacing, atmosphere and brand identity.

But dropping your favourite track into a cutscene without permission is a fast path to takedowns, demonetisation or even claims for infringement. In Australia, music in games engages specific copyright rights, multiple collecting societies and platform rules-so it’s important to set yourself up properly from day one.

In this guide, we’ll walk through what “using music” really means in a gaming context, the licences you’ll typically need in Australia, the key contracts to have in place, and practical tips to reduce risk as you launch and scale.

What Does “Using Music” In Games Mean (And Why It Matters)?

“Using music” covers any situation where a musical work or sound recording forms part of your game, marketing or community experience. In practice, that includes:

• Original tracks you compose in-house for gameplay, menus, trailers or an OST
• Commissioned compositions from an external composer or sound designer
• Pre-existing songs (from labels or independent artists) synced to visuals
• Production library or “royalty-free” tracks licensed under standard terms
• Cover versions, remixes and samples incorporated into gameplay or cutscenes
• User-generated content (UGC) if players can upload or stream music inside or alongside your game

Why this matters: each option triggers different rights under Australia’s Copyright Act 1968 (Cth). If you don’t secure those rights properly, you risk content ID claims, store delistings, takedowns on streaming platforms and lost revenue. The good news is, with the right licences and contracts, you can use music confidently and build long-term value-for your studio and the artists you work with.

How Do You Legally Use Music In Your Game?

There are a few common pathways. The right one for you depends on whether the music is original, commissioned, licensed from a catalogue, or a commercial release from an artist or label.

1) Creating Your Own Original Music

If you or your employees compose and record the music, you hold initial copyright. To avoid any grey areas:

• Make sure employment contracts clearly state the studio owns IP created in the course of employment.
• If you’re working with freelancers, use a clear, written brief and a contract that assigns copyright to your studio (not just a limited licence).

A tailored composer agreement can cover scope, delivery, milestones, fees and copyright ownership in plain terms. Many teams use a Consulting Agreement adapted for music commissioning to capture those essentials cleanly.

2) Commissioning A Composer Or Producer

Commissioning is common-and it’s smart to lock down ownership at the outset. In Australia, copyright doesn’t automatically pass to the person who pays; you’ll need a written assignment signed by the composer.

Alongside the commissioning agreement, include an IP Assignment to transfer all copyright (and secure moral rights consents-more on that below). This helps you reuse tracks across platforms, trailers and future sequels without re-negotiating each time.

3) Licensing A Well-Known Song

Want that recognisable hit in your boss fight or launch trailer? You’ll typically need two licences before release:

• Synchronisation licence (sync): permission from the owner of the musical work (usually the songwriter/publisher) to combine the composition with visuals in your game/trailer.
• Master licence: permission from the owner of the specific sound recording (often a record label) to use that recorded version.

Costs and terms vary. Expect negotiations about platform scope (console, PC, mobile), territory (AU only vs worldwide), duration (limited term vs perpetual), and revenue model (flat fee vs royalties). Get terms in writing, file the paperwork and keep it accessible for store reviews and any future audits.

4) Using Stock Or Production Library Music

Library music can be cost-effective-provided the licence actually covers interactive use in commercial games. Always check:

• Whether use in paid games is permitted (some licences are only for non-commercial projects)
• Streaming and “Let’s Play” coverage (Twitch/YouTube use often needs explicit permission)
• Whether the licence is perpetual, territory-limited, or tied to an account (vs embedded in the shipped build)
• Restrictions on editing, looping, remixing or distributing standalone tracks (e.g. your OST)

Document the exact track, licence type, date and receipt. If a claim is raised later, your records are your best defence.

5) Covers, Remixes, Samples And UGC

Cover versions and remixes involve the original musical work, even if you record a new master. You’ll usually need permission from the publisher (composition rights) to include a cover or remix in a game. Sampling another recording requires clearance of both the composition and the sound recording being sampled.

If your game allows player uploads or streaming integrations, add terms and technical controls to minimise unlicensed use. A notice-and-takedown process helps you respond quickly to copyright complaints and platform notices.

6) OSTs, Trailers And Live Events

Releasing an OST, posting trailers, or showcasing your game at expos can trigger additional rights. For example, public performance or communication to the public through streams may require separate permissions from collecting societies or rights holders (see below). Build these scenarios into your licensing discussions up front.

What Australian Laws And Licences Apply?

Australian copyright and music licensing can feel complex at first glance. Here’s how the pieces fit together at a practical level for game developers.

Copyright Act 1968 (Cth)

Two copyrights are typically in play: the musical work (melody/lyrics) and the sound recording. Using music in games generally requires permission for:

• Reproduction: embedding the work/recording in your game build or OST (mechanical rights for the composition, see AMCOS)
• Synchronisation: pairing the musical work with visuals (negotiated with the publisher/songwriter)
• Communication to the public: trailers, livestreams or in-game broadcasts made available online
• Public performance: showing or playing the game/music in public spaces (events, exhibitions)

APRA AMCOS (Performing/Communication + Mechanical Rights)

In Australia, APRA AMCOS administers performing and communication rights (APRA) and mechanical reproduction rights (AMCOS) for many songs. Depending on how you use the music:

• Mechanical rights (AMCOS): reproducing the musical work into your game build or an OST typically requires a mechanical licence from the publisher or AMCOS.
• Performing/communication (APRA): trailers, streams and public showings may require APRA permission where rights are administered by APRA AMCOS.

The exact permissions you need depend on the song, who controls the rights, and whether you’re licensing directly or via a library. If you license a commercial track from a publisher/label, confirm whether APRA/AMCOS rights are included or need to be cleared separately.

PPCA (Sound Recording Public Performance/Communication)

PPCA handles public performance and communication rights for many sound recordings in Australia (the “master” side). If you’re publicly playing or streaming a recording (e.g. at a booth, launch event or in a trailer), PPCA licences may be relevant-unless your agreement with the label already grants those rights. Always check the scope of your master licence.

Moral Rights (Attribution And Integrity)

In Australia, individual creators have “moral rights” in their work-rights to be credited and to object to derogatory treatment of their work. Moral rights can’t be assigned, but creators can provide written consents. When commissioning music, include attribution terms and obtain moral rights consents so you can edit, loop or adapt tracks in context without disputes.

Australian Consumer Law (ACL)

If you promote your game as featuring a certain artist or track, make sure your licences match the promise. Misleading advertising or undeliverable claims can raise issues under the ACL. Clear, accurate marketing avoids refunds and complaints. You can read more about false or misleading conduct in our guide to Section 18 of the Australian Consumer Law.

Platform Policies And Takedowns

Consoles, PC storefronts and mobile app stores have their own music rules and review processes. Streaming platforms also use content ID systems that can mute, demonetise or block videos. Keep licence documents handy for store submissions and disputes, and make sure your rights cover gameplay, trailers and community streaming where that’s part of your marketing plan.

Territories And Ports

Rights are territorial. A licence that covers Australia may not cover the US or EU. If you plan to port to consoles, mobile or release DLC in new markets, negotiate a worldwide, perpetual scope up front where possible-or budget for later licence extensions.

What Contracts And Business Setup Do You Need?

Strong contracts and a clean business structure will save time, money and headaches as your studio grows.

Essential Contracts For Music In Games

• Composer Agreement: a tailored commissioning contract that locks in deliverables, fees, milestones, IP ownership and moral rights consents. Many teams adapt a Consulting Agreement for this purpose.
• IP Assignment: a separate assignment to transfer all copyright and related rights in commissioned tracks to your studio. An IP Assignment ensures you can use the music across the game, trailers and sequels.
• Music Licence Agreement: for pre-existing tracks, record the sync and master terms (platforms, territories, duration, fees/royalties, marketing uses, OST rights).
• Non-Disclosure Agreement (NDA): protects confidential briefs, early builds and unreleased tracks shared with collaborators. See our Non-Disclosure Agreement.
• Employment/Contractor Agreements: if you’re hiring composers or audio staff, include clear IP ownership and moral rights clauses. For staff, use a proper employment contract; for contractors, pair your engagement with an IP assignment.
• Privacy Policy: if your game or website collects player data (emails, analytics, accounts), you’ll need a Privacy Policy and proper data-handling practices.

Depending on your release plan, you may also need website or platform terms, trailer music clearances and OST distribution agreements. Not every studio needs everything on day one, but most will need several of the above before launch.

Set Up Your Studio The Right Way

Your structure affects who owns your game and music rights, and who carries the risk. Many developers start as a sole trader, but move to a company as the project grows. A company is a separate legal entity, which helps protect personal assets and simplifies licensing, hiring and investor discussions. You can set this up with our Company Set Up service.

Make sure your contracts name the correct legal entity, not just a trading name. If you’re weighing up naming options, this comparison of business name vs company name is a handy refresher.

As you bring on co-founders or investors, consider a Shareholders Agreement, vesting schedules and your company constitution so decision-making and ownership are clear. Protect your studio brand too-registering your game or studio name/logo as a trade mark can help stop copycats and streamline store approvals. You can register your trade mark through Sprintlaw when you’re ready.

Common Risks And Practical Tips

Most music issues in games are avoidable with a little planning. Here are the pitfalls we see-and how to manage them.

“Soundalike” Tracks

Writing an original track that’s too close to a famous song can still cause trouble. The legal risk is typically copyright (has a substantial part been taken?), and sometimes misleading or deceptive conduct if marketing implies an association with the original artist. Trade mark infringement usually isn’t the main risk here unless you’re using a protected mark, logo or title as a badge of origin.

Tip: brief your composer with references but emphasise “inspired by” rather than “replicate,” and keep drafts showing your independent creation process.

Relying On “Royalty-Free” Without Reading The Licence

“Royalty-free” doesn’t always mean “anything goes.” Some licences exclude interactive media or community streaming, or require attribution. Confirm that your build, platforms (including ports), trailers and OST are all covered-and keep the licence file with your build records.

UGC, Streams And Content ID

If your community will stream gameplay or post clips, think ahead. Use track lists that are “stream-safe” where possible, or secure streaming permissions. Provide in-game music toggles or streamer modes if certain tracks can’t be broadcast. Have a process to respond to content ID or takedown notices quickly.

Shortcuts On Paperwork

Email threads are helpful but don’t replace a signed agreement. If you commission a composer, get a short, plain-English contract and an assignment. If you license a song, confirm all terms in a single document and file it with your project artefacts.

Forgetting Credits And Moral Rights

Even when your studio owns the copyright, creators retain moral rights. Build credits into your UI plan and keep attribution consistent with your contracts. If you need the flexibility to edit or omit credits in certain contexts (e.g. mobile), obtain written consents up front.

Expanding To New Platforms And Territories

That “PC-only, AU-only” licence won’t cover your Nintendo Switch port or North American launch later. If you can, negotiate worldwide, perpetual rights covering current and future platforms. If not, calendar renewal/extension dates so you don’t miss a milestone.

Team Growth Without Documents

As soon as you hire employees or long-term contractors, put proper agreements in place. Duties, IP ownership, confidentiality and termination rights are easier to agree before launch than after an issue arises.

If you need help putting the basics in place, our team can prepare a concise composer engagement, an IP assignment and the right privacy and data documents tailored to your stack and release plan.

Key Takeaways

• Music in games triggers specific rights-composition and sound recording-so secure sync, master and mechanical permissions appropriate for your build, trailers, streams and OST.
• APRA AMCOS and PPCA may be relevant for performing/communication and mechanical rights in Australia, in addition to any direct licences you negotiate with publishers and labels.
• When commissioning composers or producers, use a simple contract plus an IP assignment, and obtain moral rights consents so you can edit, loop and adapt tracks as needed.
• Library music can work well, but only if the licence covers interactive games, streaming and your target platforms and territories-always read the scope.
• Set up your studio structure and ownership early so the company, not individuals, holds the rights. Consider company registration, a brand trade mark and clear founder documents.
• Plan for UGC and streaming: choose stream-safe music or secure the necessary permissions, provide toggles, and maintain a process for takedowns and content ID disputes.
• Keep everything in writing and organised-agreements, licences, receipts and credits-so you can respond quickly to store reviews and platform queries.

If you would like a consultation on the legal essentials of using music in video games in Australia, you can reach us at 1800 730 617 or team@sprintlaw.com.au for a free, no-obligations chat.