Subject URL: Net royalties to go directly to artists

BBC reports that a deal has been signed between the recording companies and the "representatives of musicians" for royalties from online broadcasting of their music to be paid directly to musicians, bypassing the record companies. (via Slashdot)

In Australia currently all royalties from radio broadcasts, use on TV etc. are paid to APRA. APRA then pays artists an amount each quarter depending on the amount of royalties collected. No money ever gets to the record companies (except when artists are paying back advances when they just hand the money straight back).

From what I can tell this ruling/deal simply makes the net work in the same way with SoundExchange being the APRA in the equation. Anyone care to explain it better?