You are probably being more precise about what he said than I was, but I think the two claims are roughly isomorphic, and also roughly equally incorrect. If I use someone's song in my advertisement I didn't "profit from selling their material," but it's still a commercial use and they will succeed if they sue me or take down my ad.

Yes if we used copyrightable music on the TTRPG shows I play in for musical cues - we would need a licence.

Which is a pity as it would be nice to be able to use music cues to set the mood and enhance the experience.

Id have loved to used a clip from Bettye Swann's "then you can tell me goodbye" at the end of our recent Expanse one shot.