PRS Sues Valve Over Unlicensed Music Use on Steam | Gaming News

Valve, the company behind the popular Steam gaming platform, is facing legal action from The Performing Right Society (PRS) for the alleged unauthorized use of its members’ musical works. The PRS, which represents songwriters, composers, and music publishers, claims Valve has never secured the necessary licenses to include music managed by the organization on Steam. This dispute highlights the ongoing challenges of copyright and licensing in the rapidly evolving digital landscape, particularly within the video game industry.

The Core of the Dispute: Music Licensing on Steam

The PRS asserts that Valve has been utilizing music from its members in numerous games available on Steam “without permission.” This isn’t a claim focused on a single title, but rather a systemic issue regarding Valve’s licensing practices. The organization specifically cited high-profile game series like Forza Horizon, FIFA/EA FC, and Grand Theft Auto as examples of titles incorporating music from PRS members. The PRS has been attempting to resolve this issue with Valve for “many years,” but states that these efforts have been met with “inappropriate engagement.” legal proceedings have been initiated under the UK’s Copyright, Designs, and Patents Act 1988, requiring any game utilizing PRS’s repertoire to obtain a license.

The fundamental principle at play here is the concept of performing rights. PRS, as a collective management organization, collects royalties on behalf of its members whenever their musical works are publicly performed – and that definition now extends to use within video games. When a player purchases and plays a game with a licensed soundtrack, the game developer (and, according to PRS, the platform distributing the game) is obligated to compensate the creators of that music. Without a license, the use of the music constitutes copyright infringement.

Why Now? A History of Friction

While the legal proceedings were formally commenced on March 4, 2026, the PRS emphasizes this action isn’t sudden. The organization has been actively seeking a licensing agreement with Valve for an extended period. Dan Gopal, Chief Commercial Officer at PRS for Music, stated that legal action is “not a step we take lightly,” but is necessary when a business’s actions “undermine those principles” of integrity, transparency, and fairness. This suggests a breakdown in negotiations and a growing frustration with Valve’s perceived unwillingness to address the licensing concerns.

The timing of this lawsuit also coincides with increased scrutiny of Valve’s business practices. Just last week, New York Attorney General Letitia James filed a separate lawsuit against Valve, alleging that loot boxes in games like Counter-Strike 2, Team Fortress 2, and Dota 2 unlawfully encourage minors to gamble. GamesIndustry.biz reported on this lawsuit, adding to the legal challenges facing the company. This confluence of legal issues may be prompting a more assertive stance from rights holders like the PRS.

The Broader Implications for the Gaming Industry

This case has the potential to set a significant precedent for music licensing within the video game industry. Currently, licensing practices vary widely. Some developers negotiate directly with rights holders, while others rely on blanket licenses from companies that represent a broad range of musical works. If the PRS succeeds in its lawsuit against Valve, it could encourage other collective management organizations to pursue similar legal action against platforms that host unlicensed music.

This could lead to increased costs for game developers and platforms, potentially impacting the price of games for consumers. However, it could also ensure that musicians and composers receive fair compensation for their work, fostering a more sustainable ecosystem for music creation within the gaming world. The PRS argues that “great video games rely on great soundtracks, and the songwriters and creators behind them deserve to have their contribution recognised and fairly valued.”

The UK Copyright, Designs and Patents Act 1988: A Key Legal Framework

The PRS is leveraging Section 20 of the UK’s Copyright, Designs and Patents Act 1988 in its legal proceedings. This section of the Act deals with the copyright exceptions relating to public lending and other acts restricted by copyright. While the specifics of how Section 20 applies to digital distribution platforms like Steam are complex, it essentially allows rights holders to require platforms to take steps to prevent copyright infringement.

The PRS is arguing that Steam, by hosting and distributing games containing unlicensed music, is facilitating copyright infringement and is therefore obligated to obtain a license. The outcome of this case will likely clarify the extent to which platforms are responsible for policing copyright infringement on their services. Further details on the Act can be found on the UK Legislation website.

What Happens Next?

The PRS has stated that the litigation will proceed unless Valve “engages positively with discussions and takes the necessary license” to cover the use of its repertoire, both retrospectively and moving forward. This suggests the organization is open to a negotiated settlement, but is prepared to pursue the case through the courts if necessary. The legal process could be lengthy and complex, potentially involving expert testimony on copyright law and music licensing practices.

Valve has not yet publicly commented on the lawsuit. It remains to be seen whether the company will attempt to challenge the PRS’s claims in court, or whether it will seek to negotiate a licensing agreement. The outcome of this case will undoubtedly have a significant impact on the future of music licensing in the video game industry, and will be closely watched by both rights holders and platform operators. The next steps will likely involve Valve filing a defense, followed by a period of discovery and potentially, a trial.

Another ongoing legal matter for Valve is a £656m lawsuit in the UK over alleged unfair prices on its global online store, Steam, following a tribunal ruling that the case could continue. Music-News.com reported on this additional legal challenge, highlighting the increasing legal pressures facing the company.