By uploading Your Content to the Platform, you also grant a limited, worldwide, non-exclusive, royalty-free, fully paid up, license to other users of the Platform, and to operators and users of any other websites, apps and/or platforms to which Your Content has been shared or embedded using the Services (“Linked Services”), to use, copy, listen to offline, repost, transmit or otherwise distribute, publicly display, publicly perform, adapt, prepare derivative works of, compile, make available and otherwise communicate to the public
Read their terms of use very carefully and consider whether you want to agree to them before posting. [edit: while there are other paragraphs in the user agreement that may be intended to address issues raised here, I personally am not comfortable with this language and would not post on the site]
top slice: I'm not a lawyer...
while this sounds scary, it's not really as bad as you think
it basically just gives them permission to allow people to listen to the music you upload
if you think about it, someone could upload music, then when SC streams those to other people, you could argue that they are broadcasting your content without paying for the rights to distribute your IP.
This is intentionally loose though, so it would allow SC to use your music in the production of a commercial (for sound cloud). This also allows people to share links and embeds of your music or listen to them in public. So yes someone could set up a computer with SC, and play your music at a festival, like a DJ would with cds, mp3s, records etc.
note that it does not allow anyone to redistribute your works as their own
it doesn't allow movie studios to download your work and put it into a movie
it doesn't allow anyone to sell your work in any other format*
*in theory someone could sell a soundcloud playlist link, or sell a link to your work, they are not selling your work, they are just selling the knowledge of your work, as far as I know nobody is stupid enough to purchase anything like that unless it's disguised as a dumbass loser investment scheme (nfts)
this isn't as bad as it looks, it basically just means "hey, your music is on our site, and how people listen to it is out of our control, don't expect any money"
note the use of the word "limited", I wonder if those limits are described elsewhere
if I had to guess, the limits are private listening only, as SC likely doesn't want people using their software at clubs/bars/venues or on tv shows or in stadiums without paying them
I think this is loosely regulated though, think of how often a show will broadcast a tiktok or youtube video and do a segment, often the segment is what makes it fall under "transformative". which is ok and makes sense. SC would likely take legal action if say Viacom broadcasts a channel that just simply streamed soundcloud music. I'm not sure their team would protect you if your music was ripped and used in a movie or commercial, but this agreement does not grant permission for that (though it likely wipes their hands of any reason to get involved)
sorry, long rant, this is a big fat "I'm not a lawyer" sandwich
almost any site you load stuff to that has extensive public reach will have something like this. facebook, youtube, I'm sure distrokid even, vimeo, tiktok, instagram. Anything where the selling point is "get this in front of as many faces as possible". They are "free" services, what you are buying is exposure, hosting, and the ability to distribute. What you are paying is permission for people to view your work.
the reality is, if you're uploading to soundcloud, you probably don't need to even worry about this stuff. And if you have the leverage where this makes you loose money, you don't need to be uploading to soundcloud
