Raha M., Author at Digital Music News https://www.digitalmusicnews.com/author/rali/ The authority for music industry professionals. Mon, 28 Oct 2024 11:08:19 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.2 https://www.digitalmusicnews.com/wp-content/uploads/2012/04/cropped-favicon-1-1-32x32.png Raha M., Author at Digital Music News https://www.digitalmusicnews.com/author/rali/ 32 32 What Are the Economics of Superfandom? Stationhead, Hangout, Open On Sunday, bemyfriends Break Things Down In Our Latest Webinar https://www.digitalmusicnews.com/2024/10/23/webinar-the-economics-of-superfandom/ https://www.digitalmusicnews.com/2024/10/23/webinar-the-economics-of-superfandom/#respond Wed, 23 Oct 2024 22:45:45 +0000 https://www.digitalmusicnews.com/?p=304947

Open on Sunday webinar, ‘Beyond the Hype: The Economics of Superfandom,’ began today at 2 pm EST. Taking a seat at the table are Executives from superfan monetization platform Stationhead, social music platform Hangout, and SaaS provider, bemyfriends.

Digital Music News and catalog acquisition platform Open on Sunday are combining forces to address the topic of the hour in the music industry: Superfans.

In an oversaturated market with an unsurpassable ceiling on subscriber growth, artists, labels, and streaming platforms seek novel strategies to amplify music monetization.

But how pivotal a role can superfans play in stimulating the music economy? What makes them so powerful?

Panelists for the webinar ‘Beyond the Hype: The Economics of Superfandom’ will delve into the economic value of superfans — expanding on the recent hype surrounding their ability to drive engagement, increase visibility, and generate more revenue.

Ryan Star, CEO and cofounder of Stationhead: Playing as a rock frontman with chart-topping hits, Star built a global fanbase but found that in order to forge a real connection with his fans, the traditional nature of radio needed to be improved. This realization has been a guiding force as Stationhead has developed into a cutting-edge tool for artists to tap into their true fans.

Joseph Perla, CEO of Hangout: Entrepreneur and music tech expert Perla brings his expertise to Hangout, a social platform that allows artists and users to connect and experience music.

Steven Seo, cofounder and Co-CEO of bemyfriends: Seo is considered an authority on fandom’s global business and economic value. Bemyfriends is a SaaS solution that empowers creators to own and autonomously monetize their content and fandom.

Greg Spills, COO of Open On Sunday, brings his expertise in catalog valuation and acquisition, delving into the role of superfan groups elevating the value of IP and driving multiple revenue streams for artists.

Noah Itman of Digital Music News moderates the panel, airing today at 2 pm EST.

Drop into the conversation by joining the webinar ‘Beyond the Hype: The Economics of Superfandom’ — powered by Open on Sunday and DMN.

Panelists explore how and when superfans evolved into a lucrative business strategy. Of course, the existence of superfans isn’t new, but their influence on the music economy is a significant talking point in 2024.

Within the notoriously volatile music industry, superfans have demonstrated incredible economic impact. Their devotion and knack for community drive streams, merchandise sales, album sales, word-of-mouth marketing via user-generated content — and more.

For artists and IP owners, it’s all about working smarter — not harder. Banking on devoted fan groups to drive higher streams ensures a larger piece of the streaming revenue pie.

In the face of a saturated subscriber market (for example, the US has 100 million paid streaming subscribers and only 160 million tax-paying citizens), superfans are a high-value strategy for IP owners.

Back in 2023, Goldman Sachs published a projection of the superfan monetization market at a whopping $4.5 billion.

Since then, this lucrative fan subset has been a constant focus, and industry biggies have noticed. UMG’s Lucian Grainge and Warner CEO Robert Kyncl signed memos earlier this year to outline their plans for superfan monetization in 2024,

In January of 2024, Spotify also dropped hints that a superfans club might be in the works.

The scale of the superfan opportunity is expected to grow. A study by Luminate determined that almost 20% of listeners in the US can be categorized as superfans. This subset of fans is willing to pay over twice of what the average individual spends on music.

Essentially, superfans show up in ways that regular fans simply do not. And that’s what makes them so important.

Superfan groups such as Swifties and the BTS Army have become well-known economic behemoths for Taylor Swift and BTS. When it comes to supporting their artists, these superfan groups have surpassed the value of traditional fan culture.

Besides being generous spenders, their mammoth numbers drive viewership, creating chart-topping tracks and record sales of the latest albums. They also join their artists in philanthropic efforts — anything to ensure their favorite artists stay on top.

But this reach and dedication is driven by a mutually beneficial relationship between an artist and their superfan.

Our panelists will also shed light on how superfans’ loyalty exposes them to efforts of exploitation, and protecting them is imperative to nurture the superfan ecosystem.

Webinar ‘Beyond the Hype: The Economics of Superfandom’ – Watch Now.

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Alex Solano of AlexProMix: ‘Reimagining Music Arrangements in Dolby Atmos’ https://www.digitalmusicnews.com/2024/08/13/alex-solano-alexpromix-dolby-atmos/ Wed, 14 Aug 2024 05:30:49 +0000 https://www.digitalmusicnews.com/?p=297670

Photo by Luke Heiber on Unsplash

As one of the earliest adopters of immersive music mixes, Alex Solano is the mixing engineer behind Dolby Atmos projects for labels like Atlantic Records, Photo Finish, NinjaTune, EMPIRE, Position Music, and many others. Solano’s company, AlexProMix, assists labels and distributors in leveraging revenue generation opportunities provided by Dolby Atmos formats.

The following recaps an interview of Alex Solano — Immersive Audio Specialist — with Music Business Insider. Solano’s AlexProMix is a company DMN is proud to be partnering with.

When Solano entered the Dolby Atmos world in 2021, the tech was expensive and complicated. Now, even though the tech has shifted and immersive audio is accessible to anyone with headphones, Solano points out that there’s still a financial cost and investment to ‘doing Dolby right.’

Speaking about the future of audio mixing, Alex Solano revealed the learning curve that led him to become a certified Dolby Atmos engineer. Solano also highlighted the incredible opportunities in store for striving immersive mixes’ engineers.

Because Solano was one of the early adopters of immersive audio in 2021, he faced challenges finding learning resources for Dolby Atmos. By creating educational videos on YouTube, Solano believes he’s paving an easier path for aspiring Dolby mixing engineers.

According to Solano, to do Atmos ‘right’ and experience it correctly requires a room with specialized equipment. “That’s what differentiates a bedroom producer working on headphones, making beats, and publishing their music from somebody experienced in the field and mixing in an immersive room of 12 speakers.”

It was Dolby Atmos that connected Solano to major labels to be certified. “I’m on the approved Dolby Atmos mixer list, which means that any producer, artist, or engineer who wants to convert their music into Atmos can do so. I’m already certified with Universal Music and Warner Music.”

Solano insists that artists and producers need to be aware of the fast-paced segue into Dolby Atmos. “When you look at the history of recorded technology and the switch from mono to stereo, engineers who could only work in mono became irrelevant.”

With a clientele that includes labels, publishers, and distributors, Solano says he’s experiencing a drive toward spatial audio. “My clients pitch their song to Apple, and Apple says, where’s the spatial audio? They’re like, what spatial audio? Apple says go find an engineer.”

“Based on feedback from professionals, music industry events, and the majors, all music formats supported in Dolby Atmos will soon be the standard for converting new music and back catalog music. Otherwise, music streaming services will not support it.”

“To get editorial playlisting, you must have that Dolby Atmos Master,” says Solano.

But what about AI-converted Dolby Atmos mixes? Solano reveals Apple is only accepting immersive mixes if they have the original stamps from a mixing engineer. “From a creative standpoint, no artist that invested in making their music sound great in stereo wants to run it through an AI algorithm. They want it to be remastered correctly.”

Now that Dolby Atmos technology is available to music mixers, creators, and producers via Apple, Tidal, and Amazon, Solano believes it unlocks a world of opportunities to reimagine music arrangements and mix music in a way that immerses the audience and the listener.

With widespread adaptation of gaming, immersive audio has ended up becoming a normal, everyday-experience for this generation. Solano believes artists can ‘future-proof ‘their music by adopting immersive formats.

Solano believes that once the music industry catches up and adapts to immersive audio, the tech will be ‘very common.’ “The fact that you can experience spatial audio on earbuds makes it accessible to anyone.”

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Synchtank and earthprogram Founder, Joel T. Jordan, Finalist for Music Biz ‘Leading Light’ at Bizzy Awards https://www.digitalmusicnews.com/2024/04/29/synchtank-earthprogram-jordan-bizzy-awards/ Mon, 29 Apr 2024 15:56:24 +0000 https://www.digitalmusicnews.com/?p=287633 Joel T. Jordan, the founder of Synchtank and co-founder of earthprogram has been chosen as a finalist for the ‘Leading Light Award’ at the Music Biz’s Bizzy Awards program.

Joel T. Jordan, the founder of Synchtank and co-founder of earthprogram has been chosen as a finalist for the ‘Leading Light Award’ at the Music Biz’s Bizzy Awards program.

The following was developed in collaboration with earthprogram, a company DMN is proud to be partnering with.

Speaking to Digital Music News about the nomination that highlights ‘executives working to make the music industry a better place to work,’ Jordan said, “This is an incredible honor to be nominated — let alone be a finalist with these other leaders in the industry who are focusing on real-life solutions to support artists, students, and executives alike.”

For this award specifically, Joel has donated his time and technology directly to University students to help them develop their knowledge of IP management and licensing processes. He is also committed to guiding them through the nuances of the various technologies they must master to succeed in the music business.

The Bizzy Awards is an industry-focused rework of Music Biz’s past awards. It celebrates companies and executives making great strides in advancing commerce within the entertainment sector.

The Leading Light award is presented to executives who demonstrate support for their employees through internal programs focused on enhancing mental health and wellness and maintaining a work-life balance. Jordan is among the top four contenders advancing to the final round of voting.

David Herlihy, Dean of Music at Northeastern University, nominated Joel for the Music Biz Leading Light Award because of his commitment to ‘making sure that creatives get paid, combined with his enthusiastic mentorship of the next generation of music industry professionals.’

Herlihy further applauded Synchtank, calling it a ‘best-of-its-breed digital asset and rights management system,’ adding, “Joel has graciously provided free access to Synchtank for Good Dog Licensing — Northeastern University’s student-run music sync service. Throughout this process, Joel has also selflessly given his time to guide students through integrating Synchtank into the Good Dog Service.”

Originally born out of the earthprogram office, Synchtank is a B2B provider of software tools for music rights holders and rights users (such as platforms, broadcasters, and production companies). The company aims to simplify complex rights, data, and licensing challenges for media companies.

earthprogram’s guiding mantra is to ‘give honest advice to everyone.’ The company provides private distribution, marketing, strategy, business development, and music publishing services to artists, labels, startups, and investors.

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Bandzoogle-Powered Websites Helped Musicians Earn $16.4 Million in Commission-Free Sales in 2023 https://www.digitalmusicnews.com/2024/03/21/bandzoogle-16-million-commission-free-sales-2023/ Fri, 22 Mar 2024 03:00:04 +0000 https://www.digitalmusicnews.com/?p=284659 Bandzoogle-Powered Websites Helped Musicians Earn $16.4 Million in Commission-Free Sales in 2023

Photo Credit: Bandzoogle

Music website platform Bandzoogle announced that in 2023, musicians made over $16.4 million in commission-free revenue using the platform’s direct-to-fan sales tools. For Bandzoogle and its members, the number represents significant year-on-year growth — a 21% increase from 2022.

The following was created in collaboration with Bandzoogle, a company DMN is proud to be partnering with.

Stacey Bedford, CEO of Bandzoogle, commented that it was ‘rewarding’ to see artists make an incredible amount of commission-free sales via Bandzoogle websites. “One of our main goals is to help make it easier for musicians to make money from their music by selling directly to their fans.”

Breaking down the $16.4 million artist revenue, musicians sold over $8.8 million worth of merchandise — including apparel, CDs, and vinyl. Digital music generated over $1.7 million in 2023, representing an increase of 28% compared to 2022.

However, ticket sales were the most significant area of growth for Bandzoogle’s members.

The platform reports that artists sold $4.1 million worth of tickets — commission-free — via Bandzoogle-powered websites, representing an impressive 102% increase from 2022.

Bedford pointed out that artists are better off selling tickets to events ‘directly to their fans, with no commission taken and no hidden fees,’ adding, “It’s another example of how savvy musicians can use our built-in tools to keep more of their hard-earned money while moving their careers forward.”

Acquired by DistroKid in 2023, 20-year-old Bandzoogle views fan engagement as a core strategy for musicians to generate revenue from their music online.

The platform allows artists and bands to build a commission-free store to sell music, merchandise, and tickets. Artists can manage their physical inventory, offer discount pricing or product bundling, connect with Printful to sell customized print–on-demand products to their fans, choose from multiple shipping and payment integrations, and more.

Bandzoogle’s built-in fan subscriptions feature also represented a significant revenue stream for artists, generating over $800,000 in 2023.

Fans also supported their favorite artists via Bandzoogle’s virtual tip jar feature, donating nearly $1 million to Bandzoogle members.

News of the revenue generated by Bandzoogle members in 2023 comes after the platform recently announced a new EPK Plan, which allows musicians to craft an impactful, single-page electronic press kit in minutes.

Bandzoogle powers over 65,000 websites for musicians, allowing them to earn over $121 million in commission-free revenue to date.

Plans start at just $6.95/month. Artists can try it for free at Bandzoogle’s website here.

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AlexProMix’s ‘Ultimate Mixing Template’ — Create Immersive and Stereo Mixes Within One Session https://www.digitalmusicnews.com/2024/03/14/alexpromix-mixing-template-immersive-stereo-mixes/ Thu, 14 Mar 2024 13:41:20 +0000 https://www.digitalmusicnews.com/?p=284254

Alex Solano of AlexProMix recaps the incredible evolution in Dolby Atmos and spatial audio mixing, how the current shift and technology upgrades underscore the industry’s commitment to innovation and enhanced listening experiences.

The following was developed in collaboration with AlexProMix, a company DMN is proud to be partnering with.

In 2021 when spatial audio came into the picture, the landscape was packed with technical limitations and challenges.

Music mixing engineer and early adopter of Dolby Atmos, Alex Solano, sat down with DMN to reveal his take on the monumental evolution of Dolby Atmos, the opportunities and challenges the shift now offers professionals, and how his mixing template allows professionals to create immersive mixes and stereo mixes simultaneously, within one session.

Today, the immersive audio landscape looks extremely promising for audio professionals, and opens up a multitude of creative and monetary opportunities. But the transition was a painstaking process, involving significant technical upgrades — including a minimum requirement of a 12-speaker setup and an investment in high-end equipment — alongside mastering the complexities of immersive audio mixing.

To fully appreciate Dolby Atmos music mixing advancements, it’s essential to understand the early obstacles and creative hurdles faced by audio mixers.

During the early days of immersive mixes, collaborative innovations between Avid Pro Tools and Dolby were designed to optimize the music-mixing process. But Dolby Atmos mixing in Pro Tools involved complex setups, with separate applications for Pro Tools and the Dolby Atmos Renderer.

The configuration also limited the use of outboard gear due to the integrated closed-system linking Pro Tools with the Dolby Renderer.

Typically, audio experts also needed a separate computer to operate the Dolby Renderer for speaker routing. This setup was expensive, and required the coordination of multiple systems to function effectively within a music production environment.

“No longer could you create a mix on headphones and check the mix in your car,” explains Solano, adding, “With Atmos, a minimum requirement of a 7.1.4 speaker setup is necessary to ensure your immersive mixes translate to multi-channel playback systems.”

The initial setup also enforced a two-stage creation and approval process, stifling creativity and workflow.

After creating an artist’s stereo mix, mixing engineers would have to seek approval before they exported the pre-mastering processed stems into a new session that was designed for immersive audio. After making a Dolby Atmos mix, the engineers would then be required to seek out artist approval once again.

Apart from this constant back and forth for creation and approval, the process of matching the tonality of the stems to the stereo master was also incredibly complex.

Mixing engineers needed a solution that would allow them to implement multiple sound cards simultaneously. According to Solano, that turning point came with the launch of AUX I/O in Pro Tools.

The feature laid the groundwork for more integrated solutions, and more flexible audio routing — including the Dolby Atmos Renderer to different destinations. Although the solutions improved the workflow, Solano says mixers and engineers still faced stability and latency management challenges with AUX I/O.

“Expanding track widths in Pro Tools to accommodate up to 9.1.6 configurations opened new possibilities for mixing, enabling more seamless integration of stereo and immersive formats,” Solano explains. But despite the initial challenges, Solano says these developments opened up possibilities in mixing technology, and hinted at the development of a unified mixing template — ‘one that could cater to stereo and immersive outputs.’

AUX I/O in ProTools marked a significant turning point in allowing the implementation of multiple sound cards. (Photo: AlexProMix)

AUX I/O in ProTools marked a significant turning point in allowing the implementation of multiple sound cards. (Photo: AlexProMix)

However, ‘the game changer in the spatial audio space’ came at the end of 2023, when Pro Tools introduced the integrated Dolby Renderer.

The integration facilitated the simultaneous processing of immersive and stereo mixes, and directly routed stems to the Renderer. Furthermore, the capability to monitor binaural and stereo mixes through dedicated AUX tracks further enhanced the mixing process, ensuring consistency across different listening formats.

"Multi-channel plugins offer tailored processing for immersive formats, and multi-mono plugins apply uniform effects across all channels."

“Multi-channel plugins offer tailored processing for immersive formats, and multi-mono plugins apply uniform effects across all channels.”

Solano also points out that the distinction between multi-channel vs multi-mono plugins, and understanding their unique application is vital for achieving the desired tonal balance and dynamic range — in both immersive and stereo mixes. “Multi-channel plugins offer tailored processing for immersive formats, and multi-mono plugins apply uniform effects across all channels.”

Parallel to these advancements, early adopter Solano was investing his expertise in creating a mix template that streamlines the mixing process, while ensuring the quality and emotional impact of music is elevated. “The template brings the artist’s vision to life in an immersive sonic environment, while creating an Atmos and Stereo master that are consistent in the emotional impact of the mix,” he says.

Solano’s immersive music template shares insights and practices that can enrich the mixing workflow, opening the gateways for more creators to explore immersive audio’s incredible possibilities.

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AlexProMix’s Alex Solano Talks About the Intricacies of Spatial Audio and Its ‘Endless Opportunities’ https://www.digitalmusicnews.com/2024/01/18/alexpromix-alex-solano-spatial-audio-opportunities/ Thu, 18 Jan 2024 19:35:45 +0000 https://www.digitalmusicnews.com/?p=273240

Alex Solano became a music tech enthusiast when, at age 12, his older brother brought home an electric guitar. His journey since then has led to him becoming one of the leading voices in spatial audio production and engineering, having worked with countless independent and label artists and catalog remasters.

The following was developed in collaboration with AlexProMix, a company DMN is proud to be partnering with.

AlexProMix founder Alex Solano believes Spatial Audio has revolutionized the audio world. Past multi-channel high-resolution audio formats like DVD-A and SACD (super audio CD) were held down to the status of a ‘niche product’ due to requiring a physical media format with proprietary disc players and 6+ connected speakers to enjoy. For artists and distributors, the new Spatial Audio formats can easily be integrated into existing DSPs.

The adoption and massive push for Spatial Audio by music streaming services is a game-changer, Solano explains, and allows artists to ‘get more exposure and future proof their music.’ Moreover, the format’s core qualities of better fidelity and dynamic range also bring IP owners higher per-stream royalty payments from platforms like Apple Music.

Solano calls Dolby Atmos ‘an amazing immersive experience’ that engulfs the listener with sound, adding, “For music producers, songwriters, and artists, this is truly the way of the future. “Once you hear your music in Dolby Atmos, you can’t be satisfied with Stereo again.”

Solano emphasizes that amplifying the expression of music isn’t a technical process — and is more about finding the ‘sound of the song and the message of the lyrics.’

“There are endless opportunities for creating immersive sounding mixes that will be able to distribute your song and your message — and who you are as an artist — in the days to come.”

Solano provided DMN with a few examples that he points to as ‘reference quality’ in Spatial Audio mixing:

  1. Stressed Out, Blurry Face — twenty one pilots
  2. Renegades, VHS — X Ambassadors
  3. Blessed, (feat. Damian “Jr. Gong” Marley, Made In Lagos: Deluxe Edition — Wizkid

 

The tools artists use for mixing in Spatial Audio can be an important differentiating factor.

We plan on covering some of Solano’s favorite plugins for mixing in our next article, but in the meantime, we wanted to highlight some of the most used tools. Tools like NUGEN Audio Halo Upmix, Perfect Surround Penteo Pro, and Sound Particles’ Energy Panner and Brightness Panner are invaluable. They enable creative sound placement, which is essential in immersive audio.

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Tipalti Survey Unveils Tech-Induced Financial Concerns Among 70% of Veteran Music Industry Decision Makers https://www.digitalmusicnews.com/2024/01/03/tipalti-survey-unveils-tech-induced-financial-concerns-among-70-of-veteran-music-industry-decision-makers/ Thu, 04 Jan 2024 04:15:11 +0000 https://www.digitalmusicnews.com/?p=269083 Tipalti provides the tools music companies need to ensure seamless payment operations that enable the scheduling and sending of thousands of simultaneous payments via a single, global system.

A bulletproof financial stack ensures strategic, fast-paced growth — despite obstacles rising from fragmented music-payout complexity. (Photo: PIRO4D)

80% of respondents believe having one unified system for credits and all payment recipients is possible. However, they do recognize several core obstacles in aggregating a centralized payout database, such as mismatched global systems and technology, flawed systems for determining royalties/splits, and tracking mountains of metadata, income streams, and the multitude of international composers’ rights societies.

The following was created in collaboration with Tipalti, a company DMN is proud to be partnering with.

Tipalti survey participants are music industry professionals with 25-45 years of experience in the business. 90% of these respondents are financial decision-makers authorized to make decisions about software and tech meant to streamline payouts. 70% of participants handle payment volume exclusively for domestic artists, while 30% tackle an even split of domestic vs international payouts.

Survey insights paint a picture of uncertainty in music’s financial ecosystem. Even though 80% of respondents believe it’s possible to have a centralized system to manage both credits and payouts to stakeholders — artists, producers, labels, publishers, songwriters, etc. — there are still many obstacles to achieving a unified state.

10% of respondents believe ‘the entire business model needs to change’ for a unified system to exist and ‘music revenue is intentionally complicated and confusing.’

Many of the issues music companies face are critical factors that make it challenging for businesses to aggregate a centralized payment database. These companies need to deal with enormous amounts of data and metadata, a multitude of mismatched technology systems, security breaches of high-value music assets, global rights issues, and tax compliance.

Dealing with all these complexities and more, it’s hardly a surprise that financial decision-makers express concerns about liability management and recognize obstacles to achieving a centralized payout system.

In today’s hyper-collaborative music world, a single track features creative inputs from a metaphorical — and sometimes literal — busload of creators and artists. Tremendous technological evolution has set the stage for these collaborators to provide expertise from opposite ends of the world.

This ecosystem has bred notoriously challenging financial liabilities, with large volumes of payments that need to be processed simultaneously, are expected to be 100% accurate 100% of the time, and be competitively fast.

What happens if a company’s financial decision-makers and teams refuse to address these obstacles promptly?

Issues exacerbate, culminating in a destabilized financial stack ridden with inefficiencies, increased manual labor, bottlenecks, and massive amounts of unpaid royalties, leading to a collapse of the payout system.

Music payout expert Tipalti facilitates the disbursement of thousands of simultaneous payments to multiple collaborators, which is core to the evolving music business. Tipalti supports some of the world’s fastest-growing music companies like , TuneIn, Create Music Group, Thematic, Audiomack, and more.

The payments automation platform reveals it is deeply committed to music companies’ long-term growth by ensuring efficient risk management, global compatibility of systems, and reduced manual payments workload.

Whether a company is aiming for mergers and acquisitions or going public, risk management is essential to make successful leaps toward success. Fast-paced growth sets you up for higher scrutiny, increasing requirements for accuracy and transparency.

Digital transformation is a critical strategy for music companies that aim to scale for long-term growth. Key steps to attain digital transformation include establishing bulletproof crisis management processes, reducing manual transactional work, and optimizing cloud-based accessibility and security, all while promoting global remote productivity capabilities. Achieving these efficiencies is almost impossible without finance systems that can communicate effectively.

Tipalti provides the tools music companies need to ensure seamless payment operations that enable the scheduling and sending of thousands of simultaneous payments — backed by multiple payment methods and currencies — all via a single, global system.

Results from a 2018 McKinsey study concluded that 57% of finance activities and functions and 80% of general accounting operations can be fully or almost fully automated. It stated, “Knowing what to automate and managing disruption can lead to a new era of productivity and performance.”

Payout expert Tipalti believes building a robust, automated finance framework is led by small incremental changes.

Ensuring a centralized, digitized, automated liability management system ensures music-focused businesses can efficiently handle the demands of complex music payouts, track data obscurity, and offer transparency while elevating finance workers to be more strategic partners in the company’s growth.

If you’d like to learn more about how Tipalti helps music businesses streamline royalty payments, click here.

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Central Cee’s Girlfriend Madeline Argy Found Fame Because of a Worm — Now She’s Building an Influencer Empire https://www.digitalmusicnews.com/2023/12/02/central-cee-girlfriend-madeline-argy/ Sat, 02 Dec 2023 09:13:11 +0000 https://www.digitalmusicnews.com/?p=263564 Many believe Madeline Argy rose to viral fame because of her rumored relationship with UK’s sensational rapper, but there’s so much more to Madeline Argy than being Central Cee girlfriend.

Photo: Instagram @madelineargy

Central Cee girlfriend Madeline Argy’s accelerated rise on social media is credited to a worm — a worm that unexpectedly found home inside her sister’s leg. When Argy told the tale on TikTok, she didn’t expect her comical storytelling style to become a viral success. The video clocked 5.7 million likes, and bumped her followers across TikTok, Instagram, and YouTube. 

Now, Argy has 4.8 million followers on TikTok and 1.8 million on instagram. She has also scored a ‘Pretty Lonesome’ podcast deal with the highest-paid female podcaster on Spotify. Her USP? Raw, unfiltered, brutally-honest storytelling.

Argy’s fans religiously tune in as she speaks of her anxieties and GenZ issues from the front seat of her beat-up car.

However, there’s a reason the world outside TikTok doesn’t know much about Argy. Central Cee — or ‘The Cench’ as fans call him — might be the first British rapper to get over a billion streams on Spotify, but the 25-year-old is a private man. The mastermind behind hits like ‘Doja’ and ‘Let Go’ suffers from ‘survivors’ guilt’ for getting rich and famous. 

As a result, Central Cee’s girlfriend — British influencer, TikTok star, and podcaster — is a mystery.

Many believe Madeline Argy rose to viral fame because of her relationship with UK’s rapper. However, there’s much more to Argy than being Cee’s girlfriend. 

A graduate of the University of Kent, Argy has scored brand ambassador deals with platforms like Spotify.

Her fanbase is rising for a reason. Argy’s TikTok videos revolve around her culinary exploits, comical stories, intimate admissions, embarrassing moments. Her fanbase tunes in because she speaks like she’s chatting to a friend.

In August, Central Cee’s girlfriend was among the first two talents to score a podcast deal with Alex Cooper’s ‘The Unwell Network.’

For context, Alex Cooper’s Call Her Daddy podcast is Spotify’s biggest woman-led podcast deal. It cost the streaming giant more than $60 million for a three-year agreement.

Madeline Argy brings her podcast ‘Pretty Lonesome’ to the Unwell Network, from ‘her bed, car, or whatever she’s alone that week.’ It features Madeline’s exploration of unspoken conversations ‘we have with ourselves.’ It touches on topics like anxiety, imposter syndrome, sexuality, and mental health.

Speaking about the partnership with Argy, Alex Cooper said, “Madeline is one of the few creators who can keep an audience engaged for hours.”

Owner of a bulldog named Bugs and two rabbits, Central Cee girlfriend Argy is one of the fastest-rising stars on TikTok and YouTube. She is on the road to building an influencer empire — one that’s not dependent on her rapper beau and his success.

Somewhere around 2022’s summer — Argy was propelled into headlines paired with the Cench. In September 2023, Argy appeared on Alex Cooper’s breakout Call Her Daddy podcast to speak about her on-again off-again relationship. That admission has left fans are wondering whether Cee and Argy are still ‘on.’

For some clarity on the matter, the couple was last seen together on November 15th, 2023. They were chatting to Ed Sheeran at an afterparty for singer-songwriter Passengers’ headline show in Islington.

Argy, who could at this time be Central Cee ex-girlfriend (though we doubt it) first posted on TikTok in March 2021. The platform launched internationally in 2018.

TikTok has since given rise to a plethora of digital artists with a devoted following. The short-form video sharing platform has launched several pathways for creators to make money — Creator Fund, Creativity Program, TikTok Pulse. However, TikTok creators have to rely on earnings from sponsorships, live streams, and brand deals.

When TikTok’s $2 billion Creator Fund launched three years ago, it sounded life changing. But it quickly became clear that users were going to have to keep their day jobs. Creators like Central Cee girlfriend Argy would rely on sponsorship deals and livestreams to make money.

Unlike YouTube, which has a robust ad platform based on sharing ad revenue percentages for longer videos, TikTok’s foray into splitting actual ad dollars with influencers is fairly new.

But with TikTok’s new Creativity Program, influencers are finally able to bank relatively larger payouts

The Program pays users ‘higher average gross revenue’ for Tiktok videos that are longer than one minute. So after turning the social media world on its head with short-form video, TikTok is now stepping into its competitors’ space with long-form video.

This aggressive push toward long-form is an attempt to keep TikTok creators from moving to its competitors.

Early participants in the program have scored huge paydays, with some US creators reportedly banking five figures in a single month. At this time, the Creator Program is only available in the US. But British influencers like Argy will soon be able to capitalize on the latest ad revenue sharing system.

Speaking in 2023 about her raw content, Argy admitted she regretted sharing some of the more intimate stories.

“Maybe I regret sharing some of the TMI stuff. but nothing I’ve ever done in my personal life has made me a bad person. Some of it’s embarrassing and overly personal, but none of it was ever wrong. What’s the worst that can happen?”

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Details on Hall & Oates’ Lawsuit Mystery Emerge: Unsealed Declarations Reveal Longstanding Rift, Accusations of ‘Ultimate Partnership Betrayal’ https://www.digitalmusicnews.com/2023/11/30/hall-unsealed-declarations-reveal-longstanding-rift-accusations-of-ultimate-partnership-betrayal/ Thu, 30 Nov 2023 13:45:40 +0000 https://www.digitalmusicnews.com/?p=263332 Daryl Hall has filed a declaration in court accusing ‘adversarial and aggressive' John Oates of secretly attempting to sell a 50% stake in their joint venture to Primary Wave — to 'burden and harass’ him.

Daryl Hall and John Oates deliver a live performance six years prior to their legal battle. Photo Credit: Raph_PH

Sadly, the members of one of music’s most successful duos are now at war. Daryl Hall has filed a declaration in court accusing ‘adversarial and aggressive’ John Oates of secretly attempting to sell a 50% stake in their joint venture to Primary Wave.

Last week, DMN first reported on an unexpected lawsuit between Hall & Oates members Daryl Hall and John Oates. Sealed filings led to speculation surrounding the details, though the details of the dispute remained largely unknown.

That’s slowly starting to change. Freshly-unsealed case files now reveal that the complaint is based on Hall’s vehement objection to the proposed sale of the duo’s joint venture Whole Oats Enterprises (WOE) to Primary Wave. Adding another twist to this dispute, it appears as though Oates’ choice of Primary Wave as its buyer is upsetting Hall more than Oates’ alleged intention to sell. The music company has owned a ‘significant interest’ in the duo’s song catalog for over 15 years.

As the Philly-based duo exchange blows via declarations filed in Nashville Chancery court, the Associated Press reveals Hall had previously filed a private arbitration case against Oates on November 9th. Unsettled by the possibility that the sale would go through regardless, Hall then filed another lawsuit in Tennessee on November 16th, seeking a court order to block the agreement between Oates and Primary Wave.

In the filing, Hall accuses Oates of engaging in the ‘ultimate partnership betrayal,’ also naming as defendants co-executors of the trust, Oates’ wife Aimee and business manager Richard Flynn.

Hall details that in October — just as he was about to leave for a tour that took him throughout the U.S. West Coast, Japan, and Manila — he was ‘blindsided’ when he learned of the proposed sale. The soul singer admits that at the time, he and Oates were engaged in mediation over ‘other issues.’ The duo had already started planning the dissolution of their touring company and other professional ventures, but Hall claims Oates never brought up the possibility that his stake in WOE would be up for sale.

Hall appears convinced that his former partner intended to ‘burden and harass’ him, writing, “John Oates was very combative and protective with respect to WOE, and consistently conveyed his desire to keep his ownership and that partnership intact and operative — there was never a hint that he would try to ambush me with a sale.”

“I believe that John Oates timed the unauthorized transaction to create the most harm to me,” claims Hall, adding it caused ‘tremendous upheaval, harm, and difficulty’ in his life.

The singer further reveals his belief that John Oates and the co-trustees ‘surreptitiously sought to sell half of the WOE assets without obtaining my written approval.’

In response to Hall’s detailed declaration, Oates submitted a filing addressing Hall’s ‘inflammatory, outlandish, and inaccurate statements,’ arguing that he has in fact made several attempts to enhance their business dealings and ventures.

After the judge issued a temporary restraining order on the same day Hall filed the lawsuit, Oates requested that the court not extend the restraining order (which typically lasts 15 days). The band’s songwriter-guitarist stated that he did not wish to make public the details of his ‘personal’ dealings.

Oates further states that Hall has wanted to be seen as an individual for years, saying, “Over the years, Daryl has consistently and publicly been adamant about being perceived as an individual rather than as part of a duo or group. Thus, he has insisted on our being known as ‘Daryl Hall and John Oates,’ rather than the more commonly known ‘Hall & Oates.’

“On this point, I agree. I now must act with truthfulness and make decisions that are right for myself, my family, and my artistic future.”

With a sale of WOE, the band’s ‘highly personal assets’ like trademarks, personal name and likeness rights, their record royalty income, and ‘certain HO social media and related website assets’ would be shared by Primary Wave.

On the matter of WOE’s supposed buyer, Hall isn’t holding back — and appears particularly distressed about the stake going to Primary Wave.

“Primary Wave is a company that brands itself as having a strong focus on exploiting not only copyrights but the trademarks and name and likeness rights of the artists from whom they purchase catalog rights,” Hall states, adding, “If Primary Wave becomes my partner, they will likely have a goal to use the WOE assets, and my name and likeness, for branding and exploitations.”

According to the filing, Hall will not have Oates ‘thrust a new partner upon me in this outrageous fashion,’ that he had ‘no intention of becoming partners with Primary Wave,” and the idea is ‘incredibly upsetting.’

“No amount of money could compensate me for being forced to partner with an entity that I did not agree with and whose business model does not comport with my views regarding the WOE assets. The harm is unimaginable,” Hall relays.

In Oates response, the guitarist states that confidentiality agreements bar him from divulging further details, but refuted the accusation that he has violated their partnership contract with a clandestine deal.

“I can only say that Daryl’s accusations that I breached our agreement, went ‘behind’ his back, ‘acted in bad faith,’ and the like, are not true.”

A hearing is scheduled for this morning (Thursday) in Nashville. More as this drama unfolds.

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Jimmy Iovine Named in Sexual Assault Lawsuit Ahead of New York’s Adult Survivors Act Deadline https://www.digitalmusicnews.com/2023/11/24/jimmy-iovine-axl-rose-sexual-assault-adult-survivors-act/ Sat, 25 Nov 2023 07:30:07 +0000 https://www.digitalmusicnews.com/?p=260917 Apple Music Will Soon Surpass Spotify's US Subscriber Tally

Music industry vet Jimmy Iovine is being sued by a Jane Doe plaintiff, who alleges multiple instances of sexual abuse and a specific incident that took place in 2007 while Iovine was chief executive of Interscope Records.

A summons against Jimmy Iovine is the latest in  a string of sexual abuse lawsuits filed during the last few weeks. The complaint against the Interscope Records co-founder reveals that the woman is seeking substantial damages, and contains allegations that she “suffered as a result of being sexually abused, forcibly touched, and subjected to sexual harassment and retaliation in violation of anti-discrimination laws in or around August 2007.”

Iovine will have to respond to the summons in 20 days, or 30 if the summons isn’t served to him in person, according to court paperwork.

A spokesperson for Iovine offered the following statement: “We are quite shocked and baffled by this alleged claim. This inquiry is the first we’ve heard of this matter. No one has ever made a claim like this against Jimmy Iovine, nor have we been contacted or made aware of any complaint by anyone, including this unknown Plaintiff, prior to now.”

Of the many complaints filed just this month (as the Adult Survivor’s Act deadline expired), Guns N’ Roses frontman Axl Rose was also served on Wednesday for allegedly sexually assaulting former Penthouse model Sheila Kennedy.

Kennedy’s filing refers to an incident that allegedly took place in a New York City hotel room in 1989. Kennedy says that Rose, now 61, “knocked her to the floor,” dragged her by the hair, restrained her hands, and proceeded to sexually assault her “while he was in a sexual, volatile rage.”

The complaint further states Kennedy has suffered “severe emotional, physical, financial and psychological distress from the assault.” Other disturbing details in the filing narrate, “Kennedy did not consent and felt overpowered. She understood that the safest thing to do was to lie in bed and wait for Rose to finish assaulting her.”

Axl Rose’s attorney, Alan S. Gutman, responded with a statement to CNN on Wednesday saying, “Simply put, this incident never happened.”

“Notably, these fictional claims were filed the day before the New York State filing deadline expires. Though he doesn’t deny the possibility of a fan photo taken in passing, Mr. Rose has no recollection of ever meeting or speaking to the Plaintiff and has never heard about these fictional allegations prior to today.”

Unfortunately, as the deadline for New York’s ruling neared expiry, Iovine and Axl are only two in a swarm of music industry professionals and Hollywood celebrities named in sexual assault lawsuits.

Last week, rapper record-producer and actor Sean ‘Diddy’ Combs was accused by ex-partner Casandra Ventura — known professionally as Cassie — of violent behavior, disturbed demands, and sexual assault.

Within a few days of the filing, Diddy settled the rape and assault lawsuit. However, his attorney Ben Brafman emphasized that the decision to settle ‘is in no way an admission of wrongdoing’ and doesn’t ‘in any way undermine his’ client’s ‘flat-out denial of the claims.’

Others accused during the wave of sexual assault and harassment lawsuits include claims against Cuba Gooding Jr, Jamie Foxx, Russell Brand, Jason Derulo, Broadway legend William Ivey Long, Antonio Reid (L.A. Reid), and Grammy’s ex-CEO Neil Portnow. Last week, Comedian Bill Cosby was also accused of drugging and sexually assaulting a woman in the 1980s.

The New York Adult Survivors Act allowed survivors of assault to come forward with allegations and damages for incidents that were legally time-barred. The deadline expired at midnight on November 23rd.

State senator Andrea Stewart-Cousins said on passing the act, “It takes time to come forward, particularly when faced with the trauma that accompanies disclosures. With the Adult Survivors Act, we are saying that we believe you and that you deserve accountability.”

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Sean Diddy Combs Faces Two New Lawsuits Alleging Sexual Assault; Musician Aaron Hall Also Accused (Updated) https://www.digitalmusicnews.com/2023/11/24/diddy-combs-lawsuits-sexual-assault-aaron-hall/ Sat, 25 Nov 2023 06:30:40 +0000 https://www.digitalmusicnews.com/?p=261149 Diddy Faces Two New Lawsuits Of Sexual Assault, Musician Aaron Hall also Accused

Photo Credit: Alexander Vaughn / Reckless Dream Photography / CC by 2.0

Only a week after settling a sexual assault lawsuit with ex-partner Casandra Ventura, aka Cassie, Sean Diddy Combs is facing two new lawsuits for sexual assault and revenge porn. Combs’ representatives say, “Combs is an easy target for anonymous accusers who lie without conscience or consequence for financial benefit.”

Joi Dickerson-Neal — who was a Syracuse University student in 1991 when she featured in a music video for Diddy — has filed a lawsuit on Thursday alleging that Combs ‘drugged and physically assaulted her,’ filming the incident and sharing it with others in an act described as ‘revenge porn.’

Dickerson-Neal alleges Combs’ attack and subsequent distribution of the video caused her to be hospitalized with depression, and inflicted ‘substantial and lifetime injuries.’ According to details reported by The Guardian, the plaintiff alleges Combs invited her to dinner in New York, where he drugged her and proceeded to sexually assault her. The filing states, “Because she had been drugged, Plaintiff lacked the physical ability or mental capacity to fend Combs off.”

Attorneys for Dickerson-Neal say the plaintiff decided to come forward with her harrowing experience with Combs after Cassie came forth with hers. Cassie had alleged the rapper kept her locked in a cycle of physical violence, abuse, and ‘sex trafficking’ for a decade. Combs settled out of court one day after the filing.

At the time, Combs’ attorney, Ben Brafman, vehemently denied the allegations and emphasized that Combs’ decision to settle ‘is in no way an admission of wrongdoing’ and doesn’t ‘in any way undermine his’ client’s ‘flat-out denial of the claims.’

In a disturbing turn of events, Cassie and Dickerson-Neal’s lawsuits aren’t the only sexual abuse claims against Combs. Rolling Stone is also reporting a third suit by a Jane Doe, who is alleging that Combs and singer-songwriter Aaron Hall ‘took turns raping the plaintiff and her friend in 1990 or 1991.’

Jane Doe alleges she and her friend ran into Combs and Hall at an event by MCA Records at the company’s New York Offices. “Combs and Hall were very flirtatious and handsy with Jane Doe and her friend, offering them drinks throughout the night.”

Combs and Hall then proceeded to allegedly invite the women to Hall’s apartment, where ‘Jane Doe was offered more drinks and was coerced into having sex with Combs,’ the filing adds. “After Combs finished doing his business, Jane Doe lay in bed, shocked and traumatized. As she was in the process of getting dressed, Hall barged into the room, pinned her down, and forced Jane Doe to have sex with him.”

The lawsuit also details that later, Combs allegedly visited the home where Jane Doe and her friend were staying. “He was irate and began assaulting and choking Jane Doe to the point that she passed out,” the complaint alleges. Jane Doe says she sought medical treatment ‘to heal from the trauma.’

The filing names Sean Diddy Combs, Aaron Hall, MCA Music Entertainment, and Geffen Records as defendants. The ‘friend’ is not a plaintiff in Jane Doe’s suit.

A spokesperson for Combs told DMN, “These are fabricated claims falsely alleging misconduct from over 30 years ago and filed at the last minute. This is nothing but a money grab.”

“Because of Mr. Combs’ fame and success, he is an easy target for anonymous accusers who lie without conscience or consequence for financial benefit. The New York Legislature surely did not intend or expect the Adult Survivors Act to be exploited by scammers. The public should be skeptical and not rush to accept these bogus allegations,” they added.

The three lawsuits against Combs emerged right before the deadline of the New York’s Adult Survivors Act. The Act expired at midnight on Thanksgiving, which is why a barrage of similar lawsuits have surfaced during the last several weeks.

A multitude of musicians and Hollywood celebrities have been named in sexual assault, abuse, and harassment claims. Among them are Cuba Gooding Jr, Jamie Foxx, Russell Brand, Jason Derulo, Axl Rose, Jimmy Iovine, Broadway legend William Ivey Long, Antonio Reid (L.A. Reid), Grammy’s ex-CEO Neil Portnow, and Bill Cosby.

The Adult Survivors Act, passed in 2020, created a one-year window for alleged survivors to take legal action over years-old accusations — that would typically be barred under the statute of limitations.

State senator Andrea Stewart-Cousins said on passing the Act, “It takes time to come forward, particularly when faced with the trauma that accompanies disclosures. With the Adult Survivors Act, we are saying that we believe you and that you deserve accountability.”

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APRA AMCOS Reiterates Call to the Australian Government for a Tax Offset to Revive Lost Live-Music Venues Post COVID-19 https://www.digitalmusicnews.com/2023/11/24/apra-amcos-australian-government-tax-offset-live-music/ Fri, 24 Nov 2023 15:32:06 +0000 https://www.digitalmusicnews.com/?p=260928 APRA AMCOS has urged the Australian government for a live music venue tax offset to serve as "a catalyst in jump-starting live music nationally."

Photo: Shbs

APRA AMCOS has urged the Australian government for a live music venue tax offset to serve as “a catalyst in jump-starting live music nationally.”

Research studies conducted by various industry bodies have estimated that in pre-pandemic 2019, the sector contributed $5.7 billion to the Australian economy, and 9.7 million patrons attended a ticketed live music event.

According to the PRO, the live music sector is a crucial part of the creative economy. Also, it sustains a vast ecosystem of jobs, skills, and industries, which could benefit from the federal government committing to a live venue tax offset.

“A combined tax offset for existing live music venues, and those not currently hosting live music could boost the incomes of musicians and artists by $205 million per year — with an additional 203,200 gigs — supporting the creation of 7,400 direct and indirect jobs across entertainment, hospitality, and tourism,” the company’s report from last year states.

APRA AMCOS commissioned a study to assess whether the requested tax offsets on Australian live music venues could trigger an economic rebound from the pandemic. Since then, CEO Dean Ormston has been urging the government to consider providing resources to revive Australia’s live music ecosystem.

“A tax offset to support the growth of live music would not only be a catalyst for the social and cultural development of live music but would also provide an injection of confidence across the tourism and hospitality economy.”

“Live music, whether at the local pub, club, concert venue, or festival, is the beating heart of Australia’s cultural life. This is not a bottomless offset and would be quantifiable in a direct return to taxpayers due to the finite number of potential venues,” Dean Ormston said.

In October, APRA AMCOS posted 2023 financials for the complete year, reporting a gross revenue of A$690.5 million ($453 million) representing 12% YoY growth, but Ormston expressed despair at the loss of 1,300 venues that used to host small to medium gigs.

Moreover, revenue disbursed to songwriters, publishers, and all rights holders (over 119,000 on APRA AMCOS’ roster), gained 11.4% YoY growth to A$595.2 million ($390 million). Both revenue and distributable revenue to songwriters were record highs for the PRO. While major concerts and festivals’ revenue rose by 400% in the first full post-pandemic fiscal year, the Sydney-headquartered PRO emphasized that even though the increases are indicative of recovery from the pandemic, there’s a long way to go before the country’s live music venue network will get back on its feet.

Ormston recently reiterated requests for the live venue tax offset, saying, “For the current wave and the next generation of music creators to develop their skills and become export-ready, we need to provide them with the resources at home and build a sustainable live music ecosystem.”

The move would benefit not just musicians, artists, and APRA AMCOS’ over 119,000 affiliates but also the thousands of manpower that work within the network of live music venues and events.

According to another report on Australia’s live music sector published in March 2023, employment in the live music sector grew by 4.6% YoY, compounding between 2015-16 (36,000 workers) and 2018–19 (41,200).

As COVID19 triggered a shut down of live music events nationwide, the sector saw an 80% decline in promoted events — from 35,800 in 2019 to just 7,300 in 2020.

Based on 2019-20 tax data, the live music sector in Australia employs approximately 41,000 workers. This number includes 14,200 primary workers that are core to the live music, 10,000 supporting workers, and 16,800 auxiliary workers that indirectly support live music. For clarity, this estimate is based on a person’s explicitly-stated occupation, and if music is not an individual’s primary job, the worker wouldn’t be represented within these statistics.

It’s imperative to note that throughout the pandemic, payroll jobs in the ‘creative and performing arts’ subdivision remained far lower than the overall economy, falling by as much as 30% in April 2020 and 17% in September 2021 (compared to pre-COVID March 2020). When (and if) the Australian government heeds Ormstom’s requests for support and assistance, thousands within the music industry and beyond stand to benefit from a revitalization of the live music industry.

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UK Rapper Central Cee Taps PPL for International Royalty Collections https://www.digitalmusicnews.com/2023/11/23/rapper-central-cee-ppl-international-royalties/ Thu, 23 Nov 2023 12:03:43 +0000 https://www.digitalmusicnews.com/?p=260626 UK Rapper Central Cee Selects PPL for International Royalty Collections

Photo Credit: Mixtape Madness / CC by 3.0

Following last month’s signings of Libianca, Lewis Thompson, and Isata Kanneh-Mason to PPL’s roster, rapper Central Cee has chosen PPL for the collection of neighboring rights royalties.

In 2022, Central Cee — or ‘Cench’ as his fans call him — became the first British rapper to gain a billion annual Spotify streams. In 2023, that number hit 2.4 billion streams, reflected in his neighboring rights royalties from PPL. The company will continue to collect royalties on his behalf through its network of over 100 agreements with collective management organizations (CMOs) worldwide, according to details shared by the organization with DMN.

The stats on this bloke are impressive indeed. With 35.2 million listeners on Spotify, Cench’s latest collaboration with Dave for ‘Sprinter’ became the longest-running number-one rap song in the UK. The duo racked up over nine million streams in a single week, beating out J Hus and Drake’s ‘Who Told You’ and Calvin Harris & Ellie Goulding’s ‘Miracle.’

PPL is the UK music industry’s collective management organization for performers and recording rights holders. Licensing recorded music for performance in public venues and broadcast on media outlets, PPL’s roster includes a mix of rising musicians, independent artists, and established musicians.

With the tie-up, Central Cee will benefit from PPL’s neighboring rights expertise, extensive global reach, and its 200+ song team. The company’s growing international network of agreements with CMOs around the world will help maximize Cench’s returns. The joint venture between PPL and PRS for Music (PPL PRS Ltd.) carries out PPL’s public performance licensing.

International royalties are an essential revenue stream for performers and recording rights holders. In 2022, PPL collected £272.6 million ($342 million) across all revenue streams — highest recorded in the company’s 89-year history. According to PPL, these collections were distributed it to the 165,000+ performers and recording rights holders signed to the CMO.

In a statement announcing Central Cee’s selection of PPL for collection of neighboring rights royalties that was emailed to DMN today, the rapper’s manager, Bello, praised Cench’s success in Europe — and his rising acclaim in the US. “During this time, PPL has provided a crucial and reliable service for us, something that is especially important for Cench as an independent artist. We have faith in PPL’s abilities to collect royalties where his music is played worldwide, and that’s why we’ve re-signed with them. The team works hard for us; they know this part of the industry inside out. They care about artists and are great to deal with. This allows me to do my job and focus on developing Central Cee to be the biggest rapper in the world,” said Bello.

PPL’s Director of Music Industry Engagement, Natalie Wade, highlighted that the signing has occurred just in time for the Artist and Managers Awards (taking place tonight) where PPL recognized Bello as ‘Manager of the Year’ for his contribution to Central Cee’s success. “We are excited to continue our work on behalf of Central Cee, making sure his neighboring rights reflect his global success and that he receives the royalties he is due for the use of his recorded music around the world.”

In June, Cench had signed with Columbia Records as part of a joint venture with Sony Music UK.

The deal was led by Columbia Executive Vice President Bu Thiam with Central Cee’s manager, Bello. Terms of the deal were not announced publicly, but the joint venture nature suggested the rapper would retain ownership of his recordings.

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BMI Purchased by Private Equity Firm New Mountain Capital — $100 Million Allocated to Songwriters and Publishers https://www.digitalmusicnews.com/2023/11/22/bmi-purchased-by-new-mountain-capital/ Wed, 22 Nov 2023 21:00:24 +0000 https://www.digitalmusicnews.com/?p=260522 Broadcast Music Inc. (BMI), the world's largest performing rights organization, has announced its sale to private equity firm New Mountain Capital.

Photo Credit: Broadcast Music, Inc.

Broadcast Music Inc. (BMI), the world’s largest performing rights organization, has announced its sale to private equity firm New Mountain Capital. $100 million from the proceeds of sale will go to BMI affiliates — songwriters, publishers, and composers.

On Tuesday, BMI revealed in a statement that it has been purchased by New Mountain Capital, revealing that the deal is subject to approval by its shareholders, and a ‘customary’ regulatory review. The financial terms of the agreement were not disclosed. However, with rumors of a possible sale swirling throughout the year, earlier reports had suggested a price tag between $1.3 to $1.7 billion.

Following the closing of the deal — expected by Q1 2024’s end — New York-headquartered BMI will retain its President and CEO, Mike O’Neil, alongside his leadership team, according to the company.

Most significantly, the current shareholders have allocated $100 million from the sale proceeds to BMI affiliates (songwriters, composers, and music publishers), which will be released shortly after the deal closes — ‘in keeping with the company’s distribution methodologies based on performance levels over a set period of time,’ Shareholders revealed plans to finalize an equitable payout plan for affiliates within the coming months.

New Mountain Capital is acquiring the company from BMI shareholders, reserving additional capital meant to go toward growth ventures and enhancements that will accelerate BMI’s functions. Moreover, as part of New Mountain’s investment, Alphabet’s independent growth fund, CapitalG, will also invest a passive minority stake in BMI.

The private equity firm aims to ‘maximize distributions for its affiliates and improve the service it provides to songwriters, composers, and publishers.’

BMI head O’Neil said in his statement, “Today marks an exciting new chapter for BMI that puts us in the best possible position to stay ahead of the evolving industry and ensure the long-term success of our music creators.”

Referring to New Mountain Capital, O’Neil shared why the equity firm is an ideal partner for BMI, stating, “They believe in our mission and understand that the key to success for our company lies in delivering value to our affiliates. We are excited about the many ways New Mountain will accelerate our growth plan, bringing a new vision, technological expertise, and an outstanding track record of strengthening businesses, all of which will help us build an even stronger future for BMI and our songwriters, composers, and publishers.”

Pete Masucci, Managing Director at New Mountain, highlighted BMI’s role as a trusted guide and champion of music creators since 1939. “We are privileged to work with the company and its 1.4 million affiliates to build on that incredible legacy.”

“There are numerous growth opportunities ahead for BMI with significant potential to generate more value for the work of its songwriters, composers, and publishers,” said Masucci, adding, “We look forward to working together alongside Mike and his team to capitalize on those opportunities for the benefit of all BMI stakeholders.”

Since its inception in 1939, BMI has represented more than 1.4 million songwriters, composers, and music publishers, and current artists on the roster include the likes of Lady Gaga, Taylor Swift, and Dolly Parton.

The PRO licenses over 22 million music works for performing rights, and is the silent force behind the disbursements of billions of dollars in royalties to publishers and songwriters.

After operating chiefly on a non-profit basis since its inception, BMI shifted its business model to for-profit in October 2022. A for-profit model enabled the PRO to serve like a traditional business while remaining — like ASCAP — under the consent decree governed by the Department of Justice, which restricts some business opportunities.

Since its business model switched to the ‘greener’ side, rumors swirled surrounding BMI’s search for a buyer and its supposed flirtation with a sale to private equity firm New Mountain Capital. BMI also received flak from ASCAP, which now touts itself as ‘the only performing rights organization in the US that operates on a not-for-profit basis.’

The resulting uncertainty of BMI’s fate had naturally sparked concern among songwriters and publishers, whose fears the PRO has attempted to assuage within its latest sale announcement.

Apart from the $100 million of sale proceeds allocated to affiliates, BMI has clarified that the investment from New Mountain — a leading growth-oriented investment firm with over $45 billion in assets under management — ‘does not change the distribution targets previously communicated, which is the same approach the company followed in calendar year 2023 and which it will follow moving forward.’

More significantly, BMI announced that the growth investment will accelerate the company’s ambitious value creation plan, which contains three primary tenets: ‘continue to grow cash dividends for its affiliates,’ ‘invest in next-generation technology platforms and new service offerings that will improve royalty collections, enhance BMI’s customer service, and deliver the best possible experience for its affiliates,’ and ‘add new revenue streams driven by organic growth investments and M&A opportunities.’

Mike Oshinsky, Director at New Mountain, also added to the BMI-New Mountain deal announcement, saying, “There is tremendous opportunity to modernize this critical part of music infrastructure and ensure that long-term royalty collections for songwriters, composers, and publishers continue to grow.”

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Music Intelligence: Fans Can Use AI-Powered Metallicspheres.io to Recreate The Orb and David Gilmour’s ‘Metallic Spheres in Colour’ https://www.digitalmusicnews.com/2023/11/21/ai-powered-david-gilmour-metallic-spheres-in-colour/ Wed, 22 Nov 2023 07:00:15 +0000 https://www.digitalmusicnews.com/?p=260198

The Orb and David Gilmour, the guitar and voice of Pink Floyd, recently released ‘Metallic Spheres in Colour,’ an AI-backed visionary reinterpretation of 2010’s ‘Metallic Spheres.’ Now, fans can reimagine and recreate their own version of the ambient classic.

The following announcement was crafted on behalf of Sony Music Entertainment, a company DMN is proud to be partnered with.

Ground-breaking developments in AI are taking the world of music on unique journeys. Whether it’s the extraction of vocals from decades-old recordings to create record-breaking odes to past legends, the ability to embellish tracks with AI’s creative melodies, or delegating track creation 100% to AI — novel applications of artificial intelligence stretch the creative web of possibilities beyond imagination.

Leveraging artificial intelligence and its remarkable capabilities in music generation, The Orb and David Gilmour are expanding the remix project and handing the power of recreation to their fans. Listeners worldwide can craft their own version of music from the new album ‘Metallic Spheres in Colour’ and embed their emotions into AI-generated cover art.

Metallicspheres.io provides a suite of AI tools that fans can use to create a track with their own personal touch — remixed from portions of ‘Metallic Spheres In Colour.’

The process of reimagining the audio will include fans’ indication of their desired mood (chill to high-energy) and tempo (slow to fast). Taking the process further to remix the cover art, users listening to selections of musical movements from ‘Metallic Spheres In Colour’ (in a group setting) will be prompted to explain (as text) their emotions and feelings.

By integrating mood and tempo choices with fans’ communicated emotions, metallicspheres.io will generate a new version of the track that’s not only unique but also highly personalized. Additionally, AI will recraft new images that mimic the style of Simon Ghahary’s original for ‘Metallic Spheres in Colour’.

Fans can share these creations on social media and promote their reimagined, personalized playback alongside emotive album art.

According to Sony Music Entertainment, the coming weeks will also unlock the opportunity to purchase remixes as downloads. More significantly, a select few fan mixes of the ‘Metallic Spheres In Colour’ album cover (that are based on the original image by artist Ghahary), could gain the chance to be included in an upcoming music video supporting the album.

David Gilmour initially joined Pink Floyd in 1967 to cover for Syd Barrett, whose deteriorating mental health caused him to not want to perform, or often leave his bed. After Syd’s formal departure from the band in 1968, David was asked by his former Cambridge schoolmates if he could permanently join the band.

David’s contribution to Pink Floyd was essential to the band’s success. His light and airy vocals balanced Waters’ deeper vocals and harmonized beautifully with keyboardist Richard Wright. David’s guitar-playing style was unique and iconic. His long string bends and ability to shift his tone from jubilant and hopeful to dark and gritty within his work never ceases to impress.

In 1985, Roger Waters and the other members of Pink Floyd concluded their professional relationship. The band needed a leader, and David naturally stepped into that role. Writing much of the songs on studio albums ‘A Momentary Lapse of Reason’ and ‘The Division Bell,’ the band would continue to succeed under David’s leadership. In 2005, David and Roger eventually reunited for one performance to benefit charity at the Live 8 concert. The two would appear again on stage in 2011 to perform ‘Comfortably Numb.’

Outside of Pink Floyd, Gilmour has been a prolific force in music — helping discover artists like Kate Bush and playing guitar for various songs including ‘Life in a Northern Town’ by The Dream Academy.

It’s worth noting that David is the type of person who is always willing to help his friends. He became close to Phil May, lead singer and songwriter of The Pretty Things — a fellow band with a history that overlaps Pink Floyd’s. While Pink Floyd was working on their debut album ‘The Piper at the Gates of Dawn’ at Abbey Road Studios, The Pretty Things were working on their 4th studio album (and first ever rock opera) ‘S.F. Sorrow’ (check out our exclusive interview with Phil May here). At times, Gilmour even allowed May to live in his garage. Later, Gilmour would appear at the live performance of S.F. Sorrow, performed by the band with David at Abbey Road Studios, and had the story narrated by Arthur Brown.

In 2019, David auctioned off a number of his guitars, donating a staggering $21,490,750 to charities. This included several iconic guitars, including his black Stratocaster — played on many of Pink Floyd’s greatest tracks — and also the Stratocaster with serial number 0001.

With such a prolific career in music, this release by David Gilmour is a landmark event. Releasing shortly after The Beatles’ 2023 release of ‘Now and Then,’ ‘Metallic Spheres in Colour’ is not only an exciting release, but also a validation of AI’s growing relevance to the music industry.

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Warner Music Group Corp. Reports Results for 2023’s Fourth Quarter, With Over $6 Billion in Annual Earnings https://www.digitalmusicnews.com/2023/11/16/warner-music-group-fiscal-q4-annual-2023-earnings/ Thu, 16 Nov 2023 23:45:17 +0000 https://www.digitalmusicnews.com/?p=259775 Warner Music Group Corp. Announces Fiscal Q4 and Full Year 2023 Earnings

Warner Music Group Corp. (WMG) today announced 4% YoY revenue growth for the twelve months ending September 30, 2023. Also announcing results for the fourth quarter of the company’s 2023 fiscal year, WMG noted a 5% revenue increase, with a 7% increase in digital revenue.

For the year ending September 30, 2023, WMG reports total revenue increased 4% in constant currency for a WMG record of $6 billion. Digital revenue rose by 5%, which ‘includes the impact in the prior year of $38 million in downloads and other digital revenue from the Copyright Settlement.’

The company reports $439 million in annual net income, after last year’s $555 million, and 2021’s $307 million.

There was a loss in net income, which Warner Music Group says is complicated: “The decreases in net income and Adjusted net income were primarily due to the unfavorable impact of exchange rates on the Company’s Euro-denominated debt, an increase in interest expense and loss on extinguishment of debt, partially offset by higher operating income in the year, a decrease in income tax expense in the year and higher realized and unrealized losses related to certain investments in the prior year,” the major label summarized.

Overall, total streaming revenue increased 6.7%, driven by an increase in recorded music and music publishing. With a lighter release schedule and the market-related slowdown in ad-supported revenue in the first half of the year, recorded music streaming revenue increased 3.9%, and music publishing streaming revenue increased by 22.6%.

According to WMG, revenue increases in the year were also driven by growth in recorded music revenue ($4,955 million) and total music publishing performance ($1,088 million). Significantly, total digital revenue for the year ending September 30, 2023, amounted to $3,989 million.

In the statement announcing the Q4 and annual 2023 earnings, Robert Kyncl, CEO of WMG said, “We delivered on our promise of second-half improvement, and reached over $6 billion ($6,037 million) in annual revenue for the first time in WMG’s history.”

The WMG boss added, “As the music ecosystem is recognizing the value of premium content and emerging markets continue to gain traction, our industry is healthy and growing. With these tailwinds at our back, we’ve been working hard to build a WMG that will excel in the music industry of tomorrow and look forward to bringing you incredible music in 2024 from our extraordinary artists and songwriters.”

Bryan Castellani, CFO of Warner Music Group believes WMG’s performance in the fourth quarter was underpinned by a solid release slate and momentum in our Recorded Music streaming growth. Castellani added, “This fueled our second-half improvement which, combined with our disciplined cost management, resulted in robust Adjusted OIBDA growth and margin expansion for the full year. We are excited about the opportunities that lie ahead for WMG to capitalize on favorable industry trends and drive shareholder value through profitable growth and healthy cash flow conversion in 2024 and beyond.”

For the company’s Q3 that ended June 30, 2023, WMG had reported growth in music publishing underpinned by an accelerated digital revenue.

Moreover, the Big Three label’s revenue grew 10% in Q3 with 10% rise in digital revenue — compared to the current Q4’s 5% increase. With improved streaming growth in Q3, the company had expected the momentum to carry into Q4.

Ahead of the earnings report, the corporation’s Board of Directors also declared a regular quarterly cash dividend of $0.17 per share to WMG’s Common Stock investors — up from $0.16 per share declared in the same quarter last year. The dividend is payable on December 1, 2023, to stockholders of record as of the close of business on November 21, 2023.

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Music Collaboration Startup Baton Raises $4.2 Million in Funding https://www.digitalmusicnews.com/2023/11/15/music-startup-baton-raises-4-million-funding/ Thu, 16 Nov 2023 06:10:19 +0000 https://www.digitalmusicnews.com/?p=259656 Music platform Baton announced on Tuesday that it raised $4.2 million to develop its products further, using AI and a decentralized payment infrastructure to support collaboration among creators.

Photo Credit: Mitchell Luo

Music startup Baton announced on Tuesday that it raised $4.2 million to develop its AI-backed decentralized music infrastructure that supports collaboration among creators.

Baton launched its private beta in 2022, allowing artists, producers, talent scouts, and catalog administrators to securely share unreleased tracks and music. Founded by Musician Gabe Warshaw, the platform enables users to streamline collaboration processes alongside accurate crediting and compensation for their work.

Baton is developing its decentralized ‘blockchain-enabled collaboration protocol’ focused on IP protection and fair compensation for artists, filmmakers, and designers. The infrastructure will provide safe storage and sharing for creators’ music and a payout system to effectively manage complicated royalty income streams.

In a statement announcing the successful funding round, CEO Warshaw talked about the tremendous untapped potential for unreleased music and tracks. “There are 100,000 songs released to streaming services every day, but most material is unreleased,” he explained.

The funding will kickstart Baton’s plans of expanding with more human resources in engineering, product, and marketing roles. Warshaw believes Baton will emerge as more than just a collaboration platform and become an ecosystem that securely connects valuable unreleased music with the right audience.

The $4.2 million funding round was led by BITKRAFT Ventures, an investment firm focused on global startups and mid-stage companies in interactive media, gaming, and esports.

Earlier this year, BITKRAFT also led a $6 million funding round for Infinite Canvas – a studio that promotes and enables user-generated content on platforms like Roblox and Fortnite.

Other participators in Baton’s fundraising round were Techstars, Dorm Room Fund, NYU’s Innovation Venture Fund, the Berkley Center for Entrepreneurship, Dark Arts, Franklin Templeton, Harmonic Future, and others.

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Warner Music Joins the Artist-Centric Party: But Are Major Labels the Only Ones Benefiting Here? https://www.digitalmusicnews.com/2023/11/15/warner-music-wmg-deezer-artist-centric/ Wed, 15 Nov 2023 19:00:53 +0000 https://www.digitalmusicnews.com/?p=259749 Why are UMG and WMG backing Deezer’s proposal, and will Sony Music join the artist-centric party next?

Photo Credit: PDPics

On Monday, the President of Warner Music France announced WMG’s support for Deezer’s artist-centric compensation system. Now, with two of the three biggest music labels endorsing the model, Deezer could (quite possibly) hit the ground running when it launches globally in 2024.

In our latest DMN Pro Weekly deep-dive, we track the dizzying developments surrounding the music industry’s potential shifts in streaming platform compensation, and catalog the proposed changes across both user- and artist-centric compensation methods. Critical players in this report include Deezer, Universal Music Group, Spotify, Believe, AIM, A2IM, SACEM, Wagram Music, and Stem Disintermedia.

Why are major labels backing Deezer’s proposal, and will Sony Music join the artist-centric party next?

Earlier this year, CEO of Sony Music, Rob Stringer complained extensively about streaming services accommodating and promoting ‘meaningless volume and low-quality content’ alongside (what he called) ‘premium-quality artists.’ Deezer’s artist-centric system — on paper — sounds like it’s been custom-built to solve Stringer’s problems. Even better, the Sony boss had suggested shifting to a different payout system that would eliminate bottom-of-the-barrel content.

Deezer’s model has already received quite a warm welcome from Universal Music Group and Warner Music Group. That’s because at its core, the artist-centric system revolves around building (monetary) benefits that are exclusively accessible by these mega players and their artists. Primary enhancements proposed by Deezer under its model are essentially tailored to provide premium payouts to ‘professional’ artists (famous ones), and ‘engaging artists’ (those that listeners actively search for, and play).

That definition matches 100% of the artists on The Big-Three’s roster – ‘professional, established, premium-quality’ artists. Deezer will reward such artists by allocating ‘Double Boosts’ to their tracks, which prequalifies them to gain a higher percentage of royalties from the overall pool.

Moreover, Deezer’s plan to demonetize all white-noise content (and replace it with their own ‘functional’ music that doesn’t draw royalties) will pour creators’ former streaming share into the main royalty pool — leaving more for (UMG and WMG’s) ‘professional and engaging’ artists to take home. Soon, (with a Deezer tie-up) Sony’s ‘premium-quality’ artists could also qualify for these artist-centric payouts.

All in all, Deezer’s model reallocates several extra millions of dollars in royalties to established artists. The more these artists make, the more their (major) labels make. But what about the indies? Can they sign up for these ‘Double Boosts’ and artist-centric perks?

WMG and UMG join Deezer's artist-centric model

DMN Pro Weekly Deep-Dive

Of course, UMG isn’t entirely wrong to assume that the music industry revolves primarily around ‘serious’ and established artists. These artists draw a disproportionate amount of fans to streaming platforms like Deezer, along with valuable subscribers. Nonetheless, one can’t deny that lesser-known artists do have an audience — albeit smaller.

UMG boss Sir Lucian Grainge went so far as to refer to anyone against the Deezer system as ‘Merchants of Garbage.’ But this approach is drawing pushback: IMPALA, for one, called out the Deezer model for propagating a ‘two-tier system’ that discriminates against lesser-known artists — the undiscovered, the unsigned, and even the indie-signed. Tunecore-parent Believe calls the artist-centric model a ‘reverse Robin-Hood system,’ removing royalties from indies’ pockets and handing them out to major artists.

Is Deezer really discriminating against independent artists? We dig deeper into the entire artist-centric controversy in the DMN Pro Weekly Report.

However, looking at Deezer’s deal with indie label Wagram Music, one wonders whether Deezer’s artist-centric model is rewarding established artists, or anyone that agrees with its model.

The latter appears suspiciously accurate, but we’re withholding judgment until 2024’s global rollout of the artist-centric payout system.

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Trolley Credits Music Industry as ‘Instrumental’ to Ranking on Deloitte’s Technology Fast 50 and Fast 500 Awards https://www.digitalmusicnews.com/2023/11/14/trolley-credits-music-industry-deloitte-technology-awards/ Tue, 14 Nov 2023 21:00:00 +0000 https://www.digitalmusicnews.com/?p=259466 Payout platform Trolley has been ranked No.23 on Deloitte’s Technology Fast 50 (Canada) and No.153 on their Technology Fast 500 (North America).

Payout platform Trolley has been ranked No.23 on Deloitte’s Technology Fast 50 (Canada) and No.153 on their Technology Fast 500 (North America). Deloitte’s annual rankings honor the fastest-growing, most innovative technology companies, based on the percentage fiscal year revenue growth of the past three years. Trolley’s rate of growth during this period was over 936%. According to the Canadian fintech, its partners in the music space have been a huge part of their growth.

The following was created in collaboration with Trolley, a company DMN is proud to be partnered with.

With clients like CD Baby, United Masters, Ditto Music, Beatchain, and Future Classic, among many others, Trolley (since its launch in 2015) has seen the value in providing enhanced payouts for the music industry — as part of its mission to implement solutions for the broader internet economy.

Bringing advanced automation tools and processes to companies, alongside its ability to execute payments at scale, Trolley has taken innovative steps to tackle the music industry’s most significant challenge: providing smooth royalty disbursement experiences for music industry companies, and their artists.

In an exclusive reveal to DMN today, Trolley confirmed that it has secured the No.153 spot on the Deloitte Technology Fast 500 — a prestigious 29-year-old ranking of the 500 fastest-growing companies within North America.

Companies that secure a spot on the annual ranking provide offerings in spaces of tech, fintech, media, telecom, life sciences, and energy technology. Overall, the 2023 Technology Fast 500 companies achieved revenue growth ranging from 201% to an incredible 222,189% over the three-year time frame (2019 to 2022).

To add, Canada-headquartered Trolley has also been awarded the No.23 rank on Deloitte Canada’s Technology Fast 50, which celebrates its 26th anniversary this year. Canada’s preeminent technology awards program recognizes business growth, innovation, and entrepreneurship in four categories of the Technology Fast 50 ranking: Enterprise, Industry Leaders, Clean Technology, and Companies-to-Watch.

Vincent Guérin, VP Marketing at Trolley told DMN, “We are proud to be recognized as one of the fastest-growing companies in both Canada and North America at large. Our growth is not just a number — it’s a demonstration of our commitment to change the way people are compensated.”

Guérin emphasized that partnering with industry pace-setters in the music space has been a critical part of Trolley’s journey, adding, “Music partners have been instrumental — they’ve allowed us to refine our offerings and sharpen our competitive edge. Together, we are not just changing the system; we are writing a new future where every artist is paid their due. We are immensely grateful for these partnerships, their trust in us, and their role in our story.”

Abdul Refaat, Head of Royalties and Senior Enterprise Account Executive at Trolley, also highlighted that the company’s collaborations and partnerships within the music industry are about something much more significant than making payouts. “It’s about empowering artists and industry leaders alike,” Refaat said.

“Over the past 6 years, I’ve engaged in thousands of conversations that have deeply informed our approach in this sector. Today, we offer exceptional artist experiences, payouts, and tax filing tools crucial to a sustainable, artist-centric ecosystem — especially for those without the robust infrastructure of major labels,” relayed Refaat, adding, “Looking to the future, we will continue to fine-tune our feature set and focus on other major music pain points, such as data transparency or royalty calculations.”

Tim Nixon, CEO and founder of Trolley, addressed Deloitte’s recognition in a public post, saying, “With a staggering 936% growth over the last 3 years, this journey has been fuelled by our dedicated team and this growth is a testament to the hard work and determination of every single person on our team.”

Nixon added, “We are humbled to stand among the ranks of the trailblazers and game-changers of the tech world. Being part of this prestigious list is more than just an accolade; it’s a reminder of our commitment to our customers and the difference we’re making in the internet economy.”

Anders McKenzie, partner and national leader for the Technology Fast 50 program at Deloitte Canada applauded the winners for managing to secure remarkable revenue growth — despite the uncertainties that exist in the economy and marketplace today.

“Fueled by exemplary innovation, creativity, resilience, adaptability, along with superior business leadership, these companies are paving the way as catalysts in their respective sectors and delivering growth and value to the Canadian economy — both at home and beyond,” McKenzie said.

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Warner Music Group Joins Deezer’s Artist-Centric Royalties System in France https://www.digitalmusicnews.com/2023/11/13/warner-music-group-wmg-joins-deezers-artist-centric/ Mon, 13 Nov 2023 22:03:55 +0000 https://www.digitalmusicnews.com/?p=259058 Warner Music Group Joins Deezer's Artist-Centric Royalties System in France

Photo Credit: Christine Roy

Deezer has rolled out its artist-centric payouts system in France, and it now has another one of The Big-Three labels —WMG — on board its controversial remuneration model.

Following the amply-discussed UMG-Deezer partnership, Warner Music Group (WMG) is now also endorsing Deezer’s artist-centric royalty system.

In an interview published today on LesEchos, Alain Veille, President of Warner Music France, revealed WMG’s support for the Deezer model. “As we’ve consistently said, we’re committed to working with the streaming platforms to evolve business models to better reflect the value and fan engagement driven by artists, songwriters and their art.”

“So we are delighted to partner with Deezer on this artist-centric model, which rewards engaging music and demonetizes non-artist noise. Our new deal will benefit creative talent at all stages of their careers and support our ability to invest in the next generation,” Veille said.

Reportedly, under the tie-up, WMG has been receiving payouts based on the artist-centric royalties system since October 1, 2023.

Deezer’s model integrates four basic enhancements to govern payouts for streaming. The first two strategies focus on a reward-system for ‘Professional Artists’ (defined by Deezer as artists with at least 1,000 monthly streams from a minimum of 500 unique listeners), and ‘engaging’ artists (defined as artists that fans actively search for, and play, on streaming platforms).

Additionally under the Deezer system, white-noise tracks and similar non-music content face complete demonetization and replacement with Deezer’s functional music (that’s not included in the royalty pool). Lastly, Deezer also revealed that it would implement (non-specified) moves to restrict streaming fraud.

It’s no secret that many in the industry view the artist-powered model as a controversial system of payouts. Music industry heavyweights have not shied away from sharing their opinions on Deezer’s proposal of reformed royalty payouts.

In September, IMPALA criticized the Deezer model for adversely affecting diversity while propagating a two-tier market that would negatively impact its members. Tunecore-parent Believe also (repeatedly) made it clear that it’s not a fan of Deezer’s model, calling it a ‘reverse Robin-Hood system’ that’s taking earnings from rising talent and indie artists to line the pockets of established musicians.

However, the model does have its supporters. The American Academy of Independent Music (A2IM) has defended the model and Deezer’s approach, revealing that Deezer had established it would impose measures to protect independent musicians from being marginalized or disadvantaged under the new payout system.

How will the latest WMG-Deezer partnership affect the global implementation of the artist-centric model?

Frequently called the UMG-Deezer model and heavily criticized, the artist-centric system already has two of the world’s biggest labels in its corner. Is Sony Music Group next?

Let’s not forget, Spotify is also rolling out its own (very similar) two-tier compensation model (alongside similar criticism of being ‘offensive and discriminatory’).

With Deezer gearing up for its global rollout of the model in 2024, the future looks promising for ‘artist-centric’ royalties and a ‘two-tier’ system of payouts.

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Google’s AI-Mania Continues: In Talks to Invest Hundreds of Millions of Dollars in Character.AI https://www.digitalmusicnews.com/2023/11/13/google-invest-hundreds-of-millions-of-dollars-character-ai/ Mon, 13 Nov 2023 14:03:11 +0000 https://www.digitalmusicnews.com/?p=259064 Google is reportedly in talks to finalize an investment of hundreds of millions into chatbot-creator startup Character.AI.

Photo Credit: Google DeepMind

Character.AI could gain incredible amounts of capital in Google-funded convertible notes. The move will deepen existing ties between the startup and Alphabet-owned Google (GOOGL), according to Reuters’ sources.

Google is reportedly in talks to finalize an investment of hundreds of millions into Character.AI. The chatbot-creator startup, founded in 2021, uses Google’s cloud services and Tensor Processing Units (TPUs) to train models. Anonymous sources reveal that the discussions are still ongoing, and the terms of the deal could change.

Similar news had emerged in September, stating that Character.AI was aiming to raise funding from venture capital investors that could bring its valuation to over $5 billion. A spokesperson for the company had reportedly said, “As our community of users continues to snowball, so does interest in being part of the revolutionary technology we are building and delivering,” adding, “While we continue to have productive conversations, any speculation about our fundraising or valuation is just that.”

The reports followed talks of the startup raising $150 million in March 2023, and gaining a $1 billion valuation.

Founded by former Google employees Noam Shazeer and Daniel De Freitas, Character.AI offers chatbots that can impersonate public figures (for example Billie Eilish, Twice’s Nayeon, and Apple CEO Tim Cook) as well as anime characters, and professionals (language teachers, therapists, etc.). Moreover, a portion of the chatbots also generate images based on users’ messages and inputs. The platform is free to use, but a $9.99 subscription allows users to skip the virtual queue and gain priority access to the chatbot.

AI models like Character.AI’s are notoriously expensive to develop. Sophisticated systems require eye watering amounts of investor funding to train advanced versions of their models. On the other hand, tech giants like Google appear to be hunting for an opportunity to snag bragging rights — for the next most successful AI platform.

This dynamic has resulted in the formation of a fast-paced monetary ecosystem — a win-win situation not just for tech giants, but also the many AI startups competing aggressively in the industry. AI needs capital, and tech giants want AI.

Only two weeks ago, Google committed $2 billion in funding to Anthropic AI (despite copyright infringement lawsuits slapped onto the startup from labels UMG, Concord, and ABKCO). This investment was broken up into $500 million upfront in October 2023, and the commitment of $1.5 billion to join Anthropic’s funding pool over time. Before this payout, Google had already invested $550 million in Anthropic last year.

Previously, Google had also poured capital into AI startup Runway, which creates video production tools, and an open-source software service called Hugging Face. Google has also spent several of its (many) billions on its own AI systems, including the unreleased ‘Gemini’ — developed to rival ChatGPT.

Google isn’t the only investor backing AI startups. Amazon, Microsoft, and others aren’t shying away from generously replenishing AI platforms’ funding chest — hoping for another overnight AI success (aka ChatGPT).

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DMN Pro Conference: Artists, Tech Heavyweights, and Regulation Experts Debate Rules for AI, Voice Modeling, and Copyright Issues https://www.digitalmusicnews.com/2023/11/10/dmn-pro-conference-artists-tech-experts-rules-for-ai/ Sat, 11 Nov 2023 07:45:48 +0000 https://www.digitalmusicnews.com/?p=258919

DMN Pro’s inaugural mini-conference took place on October 25, 2023. The event set the stage for insightful discussions on the current dilemmas plaguing the music industry — in the face of AI. Hosted at the FYI venue in Hollywood, speakers included FYI.me founder will.i.am, CEO of TuneCore Andreea Gleeson, Grammy-Winning producer Jordan, ‘DJ Swivel’ Young, and other high strikers from the music industry.

The following comes from Open On Sunday, a company DMN is proud to be partnering with.

DMN Pro ‘Rules for AI’ stimulated a thorough and interesting examination of multi-faceted AI applications. Coordinated and moderated by DMN Chief Revenue Officer Noah Itman, the event started with opening remarks from DMN Publisher Paul Resnikoff.

will.i.am then took the stage — flanked by a group of panelists with highly unique perspectives on AI — and wasted no time getting to the heart of the AI debate.

Emphasizing the value and importance of human emotion, will.i.am spoke passionately about how the capability of emotional ‘expression’ will be an artist’s most significant competitive advantage moving forward.

“That true raw human emotion, AI will never take that away from an artist — digging deep inside themselves and unleashing their emotion at its purest,” Will relayed, adding, “I encourage every artist to go down that path. Eventually, they’re going to be competing in a very serious way, so you might as well skill up on your creative, expressive process. How do you express yourself?”

Speaking about his own experience of, and utilization of, AI tools, Will said, “I use AI as an entrepreneur to build new experiences, rather than using AI for my creative exercise. I have no problem with my current state of creative flow. Still, regarding allowing teams to be creative in one place, I use the foundation of AI — these large language models and foundation models to build new experiences for other creatives.”

Jordan ‘DJ Swivel’ Young, founder and CEO of Hooky AI Inc. (a music tech platform specializing in AI voice modeling) spoke at length about his area of expertise — comparing voice modeling to a social media filter.

“Essentially, when matching someone’s voice, think of it like a filter. I can take my voice and then apply Will’s filter to it, and now it sounds like Will,” explains Young.

The Grammy-winning producer also pointed out that the music industry’s history proves the remarkable role technology has played in its growth — whether it was the electric guitar, synthesizer, drum machines and samples, or even auto-tune. “These technologies shaped the way we hear music, and there were tools for artists to create something new that we haven’t heard before. That’s how I view these generative tools. With the advent of generative AI and the speed of technological advances, it’s maybe the most exciting time ever to make records,” Young relayed.

Jason Donnelly and Matthew Yost of Soundtrack Loops attended the event to ‘learn more about AI.’

Soundtrack Loops holds a vast catalog of royalty-free isolated instrument loops artists can use to ‘mix, match, chop, and mingle’ to make their music.

Donnelly said, “We’re here to learn how our loops might be useful within AI applications. We’re talking about possibly licensing our catalog to AI companies who might be able to use royalty-free loops, whether for creating new content or perhaps even learning from our content.”

The first panel concluded discussions right in time for lunch before the second panel took to the stage — the session focusing on copyright issues surrounding AI, current legislation, and navigating the unknown as the music world takes more substantial strides toward the technology.

Shannon Sorensen, SVP of Legal & Business Affairs at NMPA, weighed in on the discussion, elaborating on viewpoints that AI potentially puts human creators out of business. Talking about generative AI in the production space, Sorensen said, “[Say] you’re writing music for TV and someone comes along and says, ‘well, we trained on all of the hundreds of hours of music that you’ve written, and here’s an AI that can do your job for you.’ Obviously, that would put human creators out of business. We don’t want that, so that’s what we’re fighting against.”

Taking a pause, will.i.am again offered his thoughts on the intrinsic value of human emotion that AI cannot reproduce. “What we do at FYI is creating conversational collaboration enterprise messaging for folks to center as a team and have a better workflow — by having digital asset management tools, and strategy tools in the form of AI. Artificial intelligence can help you strategize on how to proliferate your expression.”

“I think it’s important to start empowering and supercharging individuals with their ideas and manifesting those ideas — whatever their ideas are.”

Enjoying the discussion? Get ready for lots more as part of Digital Music News’ premium DMN Pro offering.

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Spotify’s Plans to Demonetize Tracks With the Lowest Royalty Payouts Is ‘Discriminatory and Offensive,’ Says Competition Policy Expert https://www.digitalmusicnews.com/2023/11/07/spotify-plans-to-demonetize-tracks-discriminatory-offensive/ Wed, 08 Nov 2023 04:15:59 +0000 https://www.digitalmusicnews.com/?p=258636 Spotify plans for a two-tier system are ‘intrinsically unfair, clearly discriminatory, bordering on offensive.'

Photo Credit: Kmeron for LeWeb11 / CC by 2.0

Amelia Fletcher, Professor of Competition Policy at Norwich Business School at the University of East Anglia, has sent a personal letter to Spotify boss Daniel Ek. The letter responds to Spotify’s proposal of demonetizing the 0.5% pool of tracks receiving the lowest royalty payouts.

As reported by DMN yesterday, Spotify will stop paying royalties to an estimated two-thirds of its catalog after implementing changes planned for Q1 2024. Fletcher’s letter expresses concern about Spotify’s proposal to withhold payments to the 0.5% of lowest royalty-generating tracks, creating a black box with over $40 million that would then be disbursed to the other 99.5% of the artist pool of what it calls ‘real artists with real fanbases.’

Of course, it has been highlighted that this black box of over $40 million is splintered into micropayments of nickels, sitting idle in bank accounts — reaching no one. Artists can’t even access these payouts because aggregators set a minimum amount to be generated before royalties can be withdrawn. But does that rationale make the royalty revocation fair?

Competition policy expert Fletcher doesn’t think so. Fletcher has been heavily involved in the development of digital platform regulation in the UK and EU. Fletcher is also a musician, songwriter, and cofounder of independent label Skep Wax Records. She expresses how Spotify’s plans for its two-tier system are ‘intrinsically unfair, clearly discriminatory, and bordering on offensive.’

“Spotify claims it ‘exists to connect creators with fans, and empower creators to live off of their art,'” Fletcher begins, adding, “It is also a champion of fair competition, including through its ‘Time To Play Fair.’ But Spotify’s current proposal is at odds with these worthy corporate statements. Not only is it intrinsically unfair, but it is also anticompetitive and seriously risks constituting an abuse of dominance under UK and EU competition law.”

It’s highly likely that Spotify claims a dominant position in the provision of streaming services to music creators, as ‘Spotify has a strong position in that market (with over 50% share in many European countries). Spotify is thus a critical ‘bottleneck’ or ‘gatekeeper’ for music creators seeking to reach streaming consumers. This is important because music streaming now accounts for over 75% of all revenues from recorded music.’

Fletcher also highlights that while plans for demonetization might seem like a small policy change to Spotify, it is akin to Amazon withholding payment to ‘smaller traders accounting for the last 0.5% of its revenues.’

She adds, “It is not only discriminatory and exploitative of music creators, but also creates an unlevel playing field in the market for music creation.”

“In music streaming – as in many markets – there is a huge skew in the streams of tracks, with a relatively small number of tracks by the biggest artists accounting for a very large share of all streams. It is not currently clear what this 0.5% cut-off means in terms of minimum required streams, but it will no doubt affect an extensive ‘long tail’ of smaller artists and independent labels.”

The professor emphasizes that if a precedent is established by Spotify now, it becomes inevitable that the 0.5% cut-off point will increase over time.

The competition policy expert says it is borderline ‘offensive’ that Universal Music Group supports Spotify’s two-tier payout scheme because it will “reward real artists with real fanbases for the platform engagement they drive.”

“It fails to recognize that this ‘long tail’ includes a huge number of ‘real’ emerging artists, emerging genres, and emerging small labels, as well as artists and labels who are culturally important in smaller geographic territories, ethnic groups or genres. It includes many musical seeds that have huge potential to grow into exciting new musical forces and change the future of music and culture. Demonetizing these smaller ‘grassroots’ artists is clearly discriminatory.”

Fletcher points to the ‘risk of discrimination’ between two different sets of rights holders, explaining, “It seems likely that any demonetization of songwriting rights would be illegal under copyright law. If so, this proposal may involve Spotify demonetising only the recording artists and labels releasing the affected tracks while continuing to pay royalties to their songwriters and publishers.”

The professor believes that ‘Spotify’s ability to demonetize this tranche of music is also exploitative and reflects the huge discrepancy in bargaining power between Spotify and these smaller business users.’ She added that a majority of these artists and labels will continue to stream through Spotify in an attempt to establish themselves and ‘will continue to do so even if they receive zero compensation for the economic value they generate.” And as a result, ‘its offering to consumers will not be harmed significantly over the short term.’

Creating this unlevel playing field will be detrimental to the long-term development of music creation, affecting both consumers and the broader culture, Fletcher argues, adding, “Reducing the revenues of smaller creators, genres, and labels will effectively and artificially increase their barriers to entry and expansion, limiting the potential for new and innovative music to emerge outside of the established mainstream.”

“Spotify has provided a number of weak rationales for the proposed change in its royalty model. It is far from clear that these are the true drivers. At the same time, Spotify is currently seeking to expand into the audiobook market. There is clearly a risk that an increased share of the revenue ‘pie’ for audiobooks will reduce the royalties available for music. In this context, the demonetization of the final 0.5% of streams seems more likely to be a sop to the major labels, helping to shore up their own revenues as audiobooks grow.”

Fletcher concludes the letter to Ek by addressing Spotify’s statement that it wants to ‘reward real artists with real fanbases for the platform engagement they drive.’

If the streaming giant wanted to achieve that goal, Fletcher adds, “[Spotify] could simply adopt a user-centric payment system. Under this system, each user’s subscription revenue is split proportionally between the tracks they themselves listen to. This would provide a simple solution to that apparent objective. It would also reduce the potential for streaming fraud. The fact that this option has been repeatedly rejected suggests this is not the true rationale for the proposed change.”

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Dua Lipa Has Re-Acquired Her Publishing Rights From Management Company TaP https://www.digitalmusicnews.com/2023/11/03/dua-lipa-publishing-rights-management-company-tap/ Fri, 03 Nov 2023 18:28:34 +0000 https://www.digitalmusicnews.com/?p=258482 Dua Lipa Has Re-Acquired Her Publishing Rights From Management Company TaP

Photo Credit: Justin Higuchi

Her former management company, TaP Music, sold the rights back to Dua Lipa a year after she left the firm.

TaP Management announced on Thursday that it has sold Dua Lipa publishing rights back to the artist.

Anna Neville, co-President of TaP Music, said in a brief statement, “We wish Dua all the best for the future,” adding, “This is an exciting time for our publishing company – we are expanding our services and teams globally and continue to add talented writers and artists to our already stellar roster.”

Dua Lipa had signed with TaP in 2013 and, under the management company, gained peaks of international stardom during the next decade. In February 2022, the professional relationship dissolved abruptly nine days into her world tour.

The London- and Los Angeles-headquartered company TaP lists as clients Lana Del Rey, Ellie Goulding, Noah Cyrus, and Hailee Steinfeld, among others. TaP management also includes a record label venture with UMG.

Since leaving TaP, Dua Lipa has been professionally managed by her father, Dukagjin Lipa. Currently, Lipa is promoting her third studio album (still officially unannounced).

But Lipa has revealed details of her latest single, ‘Houdini,’ which will release on November 9.

Last week, Dua Lipa, along with Vic Mensa, Michael Stipe, and several high-profile celebrities, signed an open letter to President Biden, urging the US government to ‘facilitate a ceasefire’ in Gaza as the death toll from the Israel-Hamas war continues to climb.

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Apple Reports ‘All-Time High’ Quarterly Services Revenue, Which Includes Apple Music https://www.digitalmusicnews.com/2023/11/03/apple-services-revenue-apple-music/ Fri, 03 Nov 2023 18:19:43 +0000 https://www.digitalmusicnews.com/?p=258478 Apple announced its financial results for its fiscal 2023 fourth quarter ending September 30, 2023.

Photo Credit: Brett Jordan

On Thursday, Apple announced its financial results for its fiscal 2023 fourth quarter that ended September 30. The revenue picture for Apple could be better, and Wall Street is unimpressed. However, services revenue, which includes Apple Music, ‘reaches a new all-time high.’

Apple’s revenue fell close to 1% YoY to $89.5 billion, even though this was the company’s big quarter with the latest iPhone release. Apple sales for iPhones advanced 2.8% to $43.8 billion, aligning with analysts’ estimates. However, a net income of $23 billion has exceeded analyst expectations.

During a call with analysts following the results, Apple CFO Luca Maestri said that the December quarter’s revenue would be similar to last year — leading to Apple shares dropping close to 2.4% on Friday — before paring some losses. Overall, shares have fallen nearly 10% from July’s all-time highs, although they are still up over 30% (so far) for this year.

Wall Street analysts had been forecasting a revenue growth of 5% in the current quarter, according to data from Bloomberg. The September quarter is now the fourth straight period for Apple reporting a decline in total revenue, matching a similar streak in 2001.

Analysts agree that the company’s slow economic pace in China is fueling Apple’s decline. Apple’s third largest market, China, shrank 2.5% to $15.1 billion, in the face of stronger domestic competitors like Huawei Technologies, a broad economic slowdown, a decline in smartphone demand, and higher government scrutiny.

Apple’s CEO, Tim Cook, said Apple Music set a revenue record for September, but the company provided no specific details.

Apple’s services division — which includes Apple Music, Apple TV, and other media-related offers — delivered $22.31 billion in revenue, versus the $21.36 billion expected by Wall Street. Revenue nonetheless rivals the $19.2 billion from 2022 and the $21.2 billion last quarter.

On the post-result call with analysts, Cook said, “We achieved all-time revenue records across App Store, advertising, AppleCare, iCloud, payment services, and video, as well as the September quarter revenue record on Apple Music.”

The division’s $21.2 billion in fiscal Q3 was driven mainly by what Maestri called, ‘Well over 1 billion paid subscriptions across the services on our platform, nearly double the number we had only three years ago.’

“We continue to see increased customer engagement with our Services. Both transaction and paid accounts grew double digits year over year, each reaching a new all-time high,” Maestri said.

During the call, Cook also answered an analyst’s question regarding Apple’s investments in generative artificial intelligence.

“We have work going on. I’m not going to get into details about what it is,” Cook said, adding, “But you can bet that we’re investing quite a bit. We’re going to do it responsibly. And you will see product advancements over time where those technologies are at the heart of them.”

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The MLC Has Distributed Over $1.5 Billion in Royalties to Members — ‘We’ve Met Every Milestone Set by Congress’ https://www.digitalmusicnews.com/2023/10/31/the-mlc-has-distributed-over-1-5-billion-in-royalties-to-members-met-every-milestone-set-by-congress/ Tue, 31 Oct 2023 07:50:10 +0000 https://www.digitalmusicnews.com/?p=258206 The MLC Has Distributed Over $1.5 Billion in Royalties to Members, ‘Met Every Milestone Set by Congress’

Photo Credit: Zachary Kadolph

In its third Annual Membership Meeting last week, The Mechanical Licensing Collective (The MLC) revealed milestones and key metrics from the previous year, announcing the successful distribution of over $1.5 billion in royalties. The platform also announced the result of its Class B Board of Directors election and the selection of two Songwriter Board Members.

In an email to DMN today, The MLC revealed that it has fulfilled ‘every milestone set by Congress’ in the Music Modernization Act, leading to the successful disbursement of $1.5 billion in royalties. Moreover, the MLC relays that it has ‘also effectively illuminated the black box for digital audio mechanicals by allowing members to search all the unmatched data and propose matches for their works using the MLC Matching Tool.’

The MLC further states that its suite of member tools, including the matching tool, are as effective for the smallest creator as they are for large publishers and administrators. “The MLC has received and approved more than 1 million proposed matches submitted by members through the Matching Tool,” the release adds.

As of September’s distribution, The MLC featured direct distribution of over $1.3 billion in blanket royalties and over $160 million in royalties processed by The MLC, ‘but paid by DSPs pursuant to voluntary licenses.’

“The MLC has completed 31 monthly royalty distributions to date, every one of which has been completed on time or early,” the email states.

The MLC also highlighted its current match rate for all royalties processed through October as 90%, with more than 32,000 members, having added over 9,000 in 2023 so far. Referencing its public database, the MLC recorded more than 33 million works, alongside over 3 million new works added in 2023 so far.

Kris Ahrend, CEO of The MLC, was in a celebratory mood, ‘particularly in reaching the milestone of distributing over $1.5 billion in royalties.’ Ahrend added, “We look forward to continuing our work to fulfill our mission of ensuring songwriters, composers, lyricists , and music publishers receive their mechanical royalties from streaming & download services in the United States accurately and on time.”

Besides the various milestones discussed in the meeting, the forum also announced the result of The MLC’s recent Class B Board Seat election. For background, The MLC is governed by a Board of Directors, composed of songwriters and representatives of music publishers.

The MLC’s Class B Members re-elected Alisa Coleman to serve on org’s Board of Directors for a second three-year term. Class A Members selected Kevin Kadish to serve a second three-year term as a Songwriter Director of the Board, and Troy Verges to replace Craig Wiseman (whose initial term expired this year) as a Songwriter Director of the Board.

Furthermore, the collective announced that the makeup of the Class C Members will stay unchanged in 2024.

As a quick recap: the Mechanical Licensing Collective was designated by the U.S. Register of Copyrights in July 2019 under the Music Modernization Act of 2018. The MLC is responsible for administering the blanket compulsory license for using musical works by digital music services.

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President Biden Signs Executive Order for ‘Safe, Secure, and Trustworthy’ AI https://www.digitalmusicnews.com/2023/10/30/president-biden-signs-executive-order-for-safe-secure-and-trustworthy-ai/ Mon, 30 Oct 2023 18:37:30 +0000 https://www.digitalmusicnews.com/?p=258138 President Biden Signs Executive Order For Safe, Secure, and Trustworthy AI

Photo Credit: Ana Lanza

The executive order is part of the Biden-Harris Administration’s comprehensive strategy for responsible innovation. By establishing standards to protect American citizens’ privacy, equity, and civil rights — the order aims to advance innovation and competition in the AI realm — in a way that promotes American leaders worldwide.

President Biden directed vital steps forward in the U.S.’s approach to safe, secure, and trustworthy AI.

The landmark executive order aims to ensure that America leads the AI race in the wake of new standards for safety and security in AI development. Previous actions by the administration include the work that ‘led to voluntary commitments from 15 leading companies to drive safe, secure, and trustworthy development of AI.’

In the wake of advancing AI tools and applications within every industry — including music, President Biden’s Executive Order expands on several facets of innovation that apply to multiple industries and their processes. The order’s seven goals provide the standards for responsible innovation in the AI realm.

The brief is meant to set ‘new standards for AI safety and security’ to protect Americans from the potential risks of AI systems.

The order sets requirements that ‘developers of the most powerful AI systems share their safety test results and other critical information with the U.S. government’ and ‘develop standards, tools, and tests to help ensure that AI systems are safe, secure, and trustworthy.’

Furthermore, the President states the guidelines will protect against the risks ‘of using AI to engineer dangerous biological materials’, and aid in the detection of AI-generated content and authentication of official content to ensure AI-enabled fraud and deception no longer take place.

The order also covers the establishment of an ‘advanced cybersecurity program to develop AI tools to find and fix vulnerabilities in critical software’ and developing a ‘National Security Memorandum that directs further actions on AI and security.’

Furthermore, the order highlights that ‘AI not only makes it easier to extract, identify, and exploit personal data, but it also heightens incentives to do so because companies use data to train AI systems.’

To ensure AI cannot put Americans’ privacy at risk, the President prioritizes federal support ‘for accelerating the development and use of privacy-preserving techniques.’

The briefing also mandates the evaluation of ‘how agencies collect and use commercially available information’ and to develop guidelines ‘for federal agencies to evaluate the effectiveness of privacy-preserving techniques’ while finding ways to ‘strengthen privacy-preserving research and technologies.’

On the matter of AI’s influence that can lead to — and deepen — discrimination, bias, and other abuses in justice, healthcare, and housing, the President orders finding ways to ‘ensure that AI advances equity and civil rights,’ and discover avenues so ‘AI can bring real benefits to consumers.’

“Provide clear guidance to landlords, federal benefits programs, and federal contractors, address algorithmic discrimination through training, technical assistance, and coordination between the Department of Justice and Federal civil rights offices,” the briefing states, adding, “Ensure fairness throughout the criminal justice system by developing best practices on the use of AI.”

The President also shed light on how AI can be used to bring tangible consumer benefits. The goal can be achieved by advancing ‘the responsible use of AI in healthcare and the development of affordable and life-saving drugs’ and finding a way to ‘shape AI’s potential to transform education by creating resources to support educators deploying AI-enabled educational tools.’

With the changing scope of America’s jobs and workplaces in the face of AI, the order aims to mitigate the ‘dangers of increased workplace surveillance, bias, and job displacement.’

The order issues a directive to ‘produce a report on AI’s potential labor-market impacts, and study and identify options for strengthening federal support for workers facing labor disruptions, including from AI’ and also ‘develop principles and best practices to mitigate the harms and maximize the benefits of AI for workers.’

“More AI startups raised first-time capital in the United States last year than in the next seven countries combined,” the order states.

To continue to lead the way in innovation and competition, the President has ordered a pilot of the National AI Research Resource that would provide ‘AI researchers and students access to key AI resources and data — and expanded grants for AI research in vital areas like healthcare and climate change.’

The President wants to promote a fair and competitive AI ecosystem by ‘providing small developers and entrepreneurs access to technical assistance and resources, helping small businesses commercialize AI breakthroughs, and encouraging the Federal Trade Commission to exercise its authorities.’

On advancing American leadership abroad, the order states, “AI’s challenges and opportunities are global. The Biden-Harris Administration will continue working with other nations to support safe, secure, and trustworthy deployment and use of AI worldwide.”

To that end, the President directs an expansion of ‘bilateral, multilateral, and multi-stakeholder engagements to collaborate on AI,’ the acceleration of ‘development and implementation of vital AI standards,’ and the promotion of ‘safe, responsible, and rights-affirming development and deployment of AI abroad to solve global challenges.’

Lastly, the order addresses how to ensure responsible and effective Government use of AI, stating, “To achieve the goal of delivering better results to the American people, responsible government deployment of AI and modernizing federal AI infrastructure is imperative.”

To achieve that objective successfully, the President calls for the issuance of clear standards and guidelines for agencies’ use of AI, ensuring agencies can acquire ‘specified AI products and services faster, more cheaply, and more effectively.’

The executive order also discloses a ‘government-wide AI talent surge led by the Office of Personnel Management, U.S. Digital Service, U.S. Digital Corps, and Presidential Innovation Fellowship — to accelerate the rapid hiring of AI professionals.

In conclusion, the briefing states, ‘The Administration will work with allies and partners abroad on a strong international framework to govern the development and use of AI.”

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What Massive Copyright Infringement? Google Commits $2 Billion in Funding to Anthropic https://www.digitalmusicnews.com/2023/10/30/what-copyright-infringement-google-commits-2-billion-in-funding-to-anthropic/ Mon, 30 Oct 2023 16:42:24 +0000 https://www.digitalmusicnews.com/?p=258114 Alphabet-owned Google already invested $550 million in Anthropic last year. Now, Google has added another $500 million upfront, committing $1.5 billion more to go to Anthropic’s funding pool — over time.

Photo Credit: Gerd Altmann

Anthropic continues on its journey of gaining billions in backing, despite UMG, Concord, and ABKCO slapping a major copyright infringement lawsuit onto the AI Startup. For Google, the lawsuit is insignificant background noise, and the latest investment is a testament of its eagerness to compete with Microsoft and Amazon in the lucrative cloud-computing market — and a drive to keep pouring resources into AI — no matter what.

Anthropic — despite being buried in a legal pile-on by major labels — continues to spread its wings. UMG, Concord, and ABKCO allege the AI startup is conducting systematic and widespread infringement of their copyrighted song lyrics, but Anthropic is scoring big.

As Google doles out $2 billion in funding, Anthropic has landed in an epic AI tug-of-war. Major labels are trying to pull it down, and tech giants Amazon and Google are fueling it for success.

According to the Wall Street Journal, Alphabet-owned Google already invested $550 million in Anthropic last year. Now, Google has added another $500 million upfront, committing $1.5 billion more to go to Anthropic’s funding pool — over time.

Last month, DMN reported on Amazon’s $4 billion funding commitment to Anthropic — consisting of $1.25 billion upfront to secure a minority stake in the AI company, and the remaining $3.75 billion committed to be funded over time. The announcement came merely four weeks before UMG, Concord, and ABKCO sued Anthropic AI for copyright infringement.

Founded in 2021 by former OpenAI engineers (and siblings) Dario and Daniela Amodei, Anthropic aims to develop generative AI models that can rival OpenAI — a goal that emerged after the siblings’ dispute with OpenAI founder Sam Altman over the safe development of artificial intelligence.

With a focus on beating OpenAI at its own game, Anthropic’s AI assistant Claude competes with ChatGPT, alongside another tool for business customers.

Realistically, for Anthropic to compete with OpenAI and dominate the market, the startup requires deep-pocketed backers that can foot the bill for AI’s expensive need of data and resources — resources that are required to train AI models.

Originally backed by Sam Bankman Fried’s FTX, Anthropic had to hunt for other financial backers following the crypto exchange collapse in 2022.

AI systems require billions of dollars to train advanced versions of their models, and tech giants like Google are more than happy to climb onto the backs of promising startups in hopes of cashing in on an overnight success — like that of ChatGPT. Google’s latest investment in Anthropic reflects the company’s eagerness to develop tech that would kick start its AI-powered audio, text, and images softwares.

Moreover, the WSJ reports that a multiyear deal with Google Cloud worth over $3 billion is underway with Anthropic, with the contracts already signed months before the latest funding.

Amazon, Microsoft, and Google are the three most significant providers of on-demand cloud computing and have all displayed their ties to either OpenAI or Anthropic. The two AI startups have the greatest ambitions — and probably also the competence — of delivering the most advanced future intelligence models.

In January, Microsoft invested $10 billion in OpenAI — adding to the $3 billion already invested, to gain a whopping 49% stake in the maker of the ChatGPT bot. Led by Sam Altman, OpenAI uses Microsoft’s Azure cloud platform to train its algorithm.

Google is on a mission to seize the biggest AI success, and isn’t putting all its eggs in one basket. The tech giant also invested in AI startup Runway, which creates video production tools, and an open-source software service called Hugging Face. Google has already spent many of its billions on its own AI systems, including the unreleased ‘Gemini’ — also developed to rival ChatGPT.

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Britney Spears Wants to Say More: Promises Sequel to Her ‘Highest-Selling’ Memoir, The Woman in Me https://www.digitalmusicnews.com/2023/10/30/britney-spears-promises-sequel-to-her-memoir/ Mon, 30 Oct 2023 11:11:32 +0000 https://www.digitalmusicnews.com/?p=258099 Britney Spears Promises Sequel to Her ‘Highest-Selling’ Memoir, The Woman in Me

Photo Credit: Simon & Schuster

Barely a week after the release of her tell-all memoir, Britney Spears has promised that Vol.2 of The Woman in Me is coming in 2024. However, the book is not currently in the works.

Spears wrote on Instagram, “Humor is the cure to everything. Play on. Volume 2 will be released next year. Get ready!”

Britney’s memoir, The Woman in Me, was officially released on October 24. According to the pop star, the tell-all book is ‘the highest-selling celebrity memoir in history.’

A week before release, the memoir was a #1 best-seller on Amazon. Even though the publisher — Gallery Books, an imprint of Simon and Schuster — and booksellers have yet to formally release actual sales data, Spears’ ‘highest-selling’ claim is bolstered by the fact that The Woman in Me is leading Amazon’s list of most read and sold non-fiction books.

The singer’s claim would also mean that The Woman in Me has outsold Prince Harry’s Spare to set a new Guinness World Record, which the Prince set in January when his memoir became the fastest-selling non-fiction book ever.

For The Woman in Me, complete sales data will be released later this week.

Spears’ fans preordered millions of copies in the weeks leading up to the release — but the hype snowballed into something much bigger for the pop star.

When The Woman in Me was confirmed in July, Spears’ 2003 track ‘Toxic’ suddenly hit one billion streams on Spotify. Luminate reported that streams for Spears’ entire catalog climbed 24% in the week leading up to the memoir’s release. By October 25, Spears had acquired about 16 million streams.

On the earnings front, 41-year-old pop star pocketed between $12-15 million from the auction of publishing rights to Simon and Schuster. Even better, Spears stands to collect at least a quarter of the profits from her tell-all book.

In a press release, Simon and Schuster said the memoir is ‘a brave and astonishingly moving story about freedom, fame, motherhood, survival, faith, and hope.’ The publisher also added that the book ‘illuminates the enduring power of music and love — and the importance of a woman telling her own story, on her terms.’

Spears’ memoir is currently retailing at $22.38, and $16.99 for Kindle readers. The audio CD is selling for $29.69, and while Spears herself recorded the intro to her memoir, the audiobook is narrated by Michelle Williams.

Some of the most attention-grabbing excerpts from the book pertain to the singer’s then-relationship with Justin Timberlake, whom she dated between 1999 and 2002, and a Spears-eye-view into the singer’s controversial 13-year conservatorship.

Speaking about the book, Spears took to social media to admit that ‘writing the book was so hard,’ but ‘I have moved on, and it’s a beautiful clean slate from here.’

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CISAC: ‘Largest Segment’ Music Records 28% YoY Growth in Global Collections https://www.digitalmusicnews.com/2023/10/26/cisac-largest-segment-music-records-28-annual-growth-in-global-collections/ Thu, 26 Oct 2023 14:24:33 +0000 https://www.digitalmusicnews.com/?p=257863 CISAC Global Collections Report 2023 released today shows that music collections rose by 28% to €10.8 billion.

Photo Credit: Jason Leung

CISAC Global Collections Report 2023 released today shows that music collections rose by 28% YoY to €10.8 billion. For the first time, creators’ largest income source was digital royalties — noted as being the most significant milestone for the music sector.

The International Confederation of Societies of Authors and Composers (CISAC) details in the report that €12.1 billion in total 2022 collections for creators signify a historical high point with 26.5% YoY growth. CISAC’s 2023 Global Collections Report provides comprehensive data and analysis of royalty collections across all repertoires including music, audiovisual, visual arts, literature, and drama — with all seeing collections growth in 2022.

Total collections exclusively for the music sector rose by a record annual growth of 28% to €10.8 billion. The number is 21.4% higher than the last recorded royalty pool from 2019 — after which COVID-19 triggered mayhem on creator earnings.

The current boost is driven by a consistent increase in digital income and the recovery of live and public performances — which the report notes still falls 7.9% short of pre-COVID levels of 2019 as local events and smaller venues struggle to match the recovery levels of international tours and festivals. Nonetheless, collections from live and public performances totaled €2.7 billion, which included concerts, exhibitions, and theatres. The number represents 69.9% growth for the year.

In the face of thriving streaming and subscription, digital collections reached €4.2 billion — double that of 2019 numbers. For the first time, digital royalties form a bigger revenue pool than TV and radio, making up 35% of the total.

In the report’s collected revenue breakdown (across all repertoires) based on region, Europe accounted for €6.6 billion (noting a 26.1% YoY growth), and North America’s royalty collection grew by 29.9%, totaling €2.96 billion for 2022. Collections in the Asia-Pacific region grew by 15.7%, and Africa by 10.1%. For Latin America and the Caribbean — the royalty pool exhibited 66.1% YoY growth. It’s important to note that the rise of digital income is evident across all regions, displaying monumental increases in the year 2022.

In his statement accompanying the report, CISAC Director General Gadi Oron noted that the collections for 2022 represent a remarkable return to growth, as the sector recovers fully from the three-year pandemic.

“While live and public performances have bounced back strongly, the recovery is driven most of all by digital, which has now become creators’ largest source of income. Streaming and subscription have not just revived the status quo; they have transformed the market, changed the game for creators, and paved the way for future growth,” Oran relayed.

CISAC President Björn Ulvaeus also commented on how — despite the enormous challenges the collective management system faces as it adapts to digital — the year’s results are proof of CMOs’ effectiveness. “CMOs have the backs of the creators they serve and are now delivering more money to more creators than ever before.

Ulvaeus also noted that the industry now faces ‘another very serious existential challenge.’ “Artificial intelligence will radically change the world for creators and the creative industry. It demands international leadership and a strong united front from all parts of the creative industry.”

CISAC’s Board Chair Marcelo Castello Branco commented that although collections have reached record levels, CISAC will lead the way to address issues of ‘growing inequalities and imbalances between different regions, income streams, and large and small societies.’ Castello added, “We must address these issues head-on, with CISAC leading the way. This means improving systems, resolving data problems, advocating for creators’ rights, and maintaining the solidarity of our community.”

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Twitch Now Allows Users to Simulcast Streams on Any Platform or Service https://www.digitalmusicnews.com/2023/10/22/twitch-now-allows-users-to-simulcast-on-any-platform-or-service/ Sun, 22 Oct 2023 15:49:45 +0000 https://www.digitalmusicnews.com/?p=257488 Twitch Now Allows Users to Simulcast on any platform or service

Photo Credit: ilgmyzin

More Twitch streamers will now appear on other platforms. The live streaming platform dropped the latest announcements and guidelines at the TwitchCon in Las Vegas, alongside updated safety-related policies to tackle doxxing and swatting.

Since August, Twitch users could push their content on social media platforms like Instagram or TikTok, but the latest policy change opens streamers to competitor platforms — such as YouTube and Kick.

Streamers under contract with Twitch were earlier banned from concurrently streaming on other platforms. This led several streamers to jump ship, moving to YouTube and Kick. Streamers like xQc, Amouranth, and Nickmercs had signed major agreements with Kick earlier this year.

According to the new simulcasting guidelines, all competitor services are now open to streamers, ‘unless you have an agreement with Twitch that requires exclusivity.’

Streamers must also ensure that ‘the Twitch user experience is not compromised’ — which means that their stream’s video quality on Twitch must match the quality of their simulcast on other platforms or services. This condition of maintaining users’ experience of the simulcast also includes streamers’ ‘engagement with the Twitch community, for example, via chat.’

Users also ‘should not provide links, or otherwise direct their community, to leave Twitch for your simulcast on other services.’

Lastly, streamers are barred from using ‘third-party services that combine activity from other platforms or services on your Twitch stream during your simulcast, such as merging chat or other features.’ Third-party services are allowed for personal use, and users can still place links to sites on the About section of their channels.

Following this update, users who had terminated their Partner agreement with Twitch for another service are now eligible to reinstate their partner status.

On other safety-related announcements, Twitch’s off-service conduct policy now officially covers doxxing and swatting.

Doxxing (publishing an individual’s name, address, or other personal information) and swatting (making a prank call to dispatch emergency services to someone’s home) have plagued the live-streaming community for a long time.

With this latest update in policy, Twitch will suspend or ban the account of any streamer or user doxxing or swatting any individual — whether it’s done on the platform or offline.

Moreover, streamers and mods will now be able to send anonymous warnings to users that don’t follow the rules. Offenders will be unable to type in the chat box without acknowledging the warning.

Even though many streamers had enforced an informal three-strike system for such offenses by chatters, this channel-level chat warning should make Twitch communities safer spaces for all users.

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YouTube Could Soon Rollout an AI Tool for Creators That Generates Artists’ Voices for Content https://www.digitalmusicnews.com/2023/10/19/youtube-could-soon-rollout-an-ai-tool-for-creators-that-generates-artists-voices-for-content/ Thu, 19 Oct 2023 23:35:58 +0000 https://www.digitalmusicnews.com/?p=257299 YouTube Could Soon Rollout an AI Tool for Creators That Generates Artists’ Voices for Content

Photo Credit: Michal Czyz

According to Bloomberg, YouTube originally planned to release the voice-generation tool at its Made On YouTube event. However, finalizing deals with record companies for the rights to popular artists’ voices is taking longer than expected.

YouTube is reportedly still finalizing licensing deals with the Big Three — UMG, SME, and WMG. Once the agreements are locked in, YouTube will use licensed artists’ voices to train their AI models, and the resulting AI-powered tool will allow creators to generate and use artists’ voices in their content.

According to Bloomberg, a rollout of the beta version of the tool would require individual agreements to cover the rights to voices. However, confidential sources have revealed that major record labels continue to negotiate the agreement terms before signing off on any deal.

In beta, YouTube’s new creator AI tool would be backed by licensing deals with major labels. Artists can choose to opt-in for YouTube’s training model, after which a select pool of creators would gain the ability to generate these artists’ voices for their content. After the tool is broadly released to all YouTube users and creators, a licensing agreement on the backend will protect them from claims of infringement.

Alphabet-owned YouTube has created several AI products over the years, but will require cautious navigation of legalities if it plans to follow through with this latest tool. Last month, YouTube released a new suite of AI tools for creators, allowing generation of backgrounds for content, and automated dubbing in multiple languages. The tools allow creators to expand their reach by refining content presentation, and monetize videos by targeting non-English-speaking audiences across multiple geographical regions.

For creators, monetization of content continues to be the primary objective. Alongside YouTube’s latest AI tools, companies like Identifyy (owned by HAAWK) are allowing creators to harness the advanced features of Content ID, so they can match and monetize their content across platforms like YouTube — and even Meta.

As AI gains popularity, all major labels have communicated their interest in embracing AI. But it’s a tricky landscape, and the music industry sees AI’s assistive aspect alongside the threat it could pose to copyright.

Naturally, music companies have been wary of the technology. To ensure they emerge on the right side of AI, labels have sought avenues that allow them to control the anatomy and power of AI — by creating frameworks that restrict developers from training their models on copyrighted works without adequately compensating rights holders.

In the past, piracy and user-generated content wreaked havoc on the industry before streaming services like Apple Music and Spotify stepped into the picture. The industry is still reeling from the notorious Ghostwriter AI-generated song releases from Drake and Weeknd. Such preposterous releases revealed generative AI’s prowess to the industry.

Now, while major music industry players set out rules and guidelines for AI, the industry is seeing rampant copyright infringement lawsuits. AI’s intersection with creative works that utilize likenesses to artists, their images, and their creations has become the bane of the industry’s existence. Streaming services have also readily accepted removal requests by labels for content that features AI-generated vocals that sound like popular artists.

With YouTube’s latest suite of AI tools and this reported voice generation tool that’s still in the works, YouTube appears to be positioning itself as a partner that allows labels to properly harness AI.

AI’s role within music industry processes now appears inevitable. Artists realize these models could be the key to novel avenues for creative expression and revenue.

However, sources reveal artists fear that participation in the YouTube tool would place immense power in the hands of creators — who could use their voices to create and sing lyrics, or make statements that are detrimental to their brand.

Other vital details to iron out include how YouTube would train the model and how artists would exercise the power to opt-in or stay out of the AI model training dataset. There’s also a question of whether artist compensation would arise from allowing the use of their voice as an input into the model, or from the output generated from the YouTube tool. Or, will they be compensated for both? Sources have hinted that YouTube is leaning toward paying a lump sum licensing fee to ensure simplification of payouts.

Labels are also keen to be seen as adapters and promoters of the latest tech and AI models — and have exhibited interest in being part of the innovations and progression in the AI realm.

But this motivation could possibly arise from fears of being left behind, or rendered obsolete in the face of rising AI tools and related developments. According to Bloomberg, YouTube is a reliable early partner to take charge of this space. And even though the deal terms are complicated, rights holders are keen to sign off on a deal. There are also talks of fears among labels that they ‘could get left behind’ if they don’t come to the table with licensing deals now.

In August, UMG and YouTube had announced they will jointly develop AI tools, announcing ‘AI music principles‘ to launch a ‘Music AI Incubator.’ With artificial intelligence content and unauthorized soundalikes making waves, the strategic deal culminated in an AI framework to control how AI affects artists, and ensures that artist compensation remains protected as the technology develops.

In a blog post titled An Artist-Centric Approach To AI Innovation on YouTube’s official Blog, UMG CEO Sir Lucian Grainge had emphasized how ‘music has always been fueled by dynamic exchange,’ adding, “There will surely be give-and-take as we work through AI’s opportunities and challenges. It’s this spirit of exchange — collaborative and competitive — that has always driven creative progress, and fills me with anticipation and optimism for music yet to come.”

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Reservoir Inks Global Publishing Deal With Five-Time Grammy-Winner Joe Walsh https://www.digitalmusicnews.com/2023/10/17/reservoir-inks-global-publishing-deal-with-five-time-grammy-winner-joe-walsh/ Tue, 17 Oct 2023 12:21:21 +0000 https://www.digitalmusicnews.com/?p=257035 Independent music company Reservoir Media, Inc. (NASDAQ: RSVR) has signed a global publishing deal with five-time Grammy-winning artist James Walsh.

Photo Credit: Ross Halfin

Independent music company Reservoir Media, Inc. (NASDAQ: RSVR) has signed a global publishing deal with five-time Grammy-winning artist Joe Walsh. The deal includes hits from Walsh’s catalog as a solo artist and as a member of groups like the Eagles and the James Gang, as well as future works.

In an email today to DMN, Reservoir announced a global publishing deal with guitarist, singer, and songwriter Joe Walsh. Reservoir’s Executive Vice President, Global Creative Director Donna Caseine hailed Walsh as ‘a member of one of the most influential and best-selling bands of all time.’

“Joe’s expansive catalog is one that will continue to connect with listeners for a long time to come. It is an honor to partner with Joe, and we look forward to supporting him in all his future endeavors,” said Caseine.

Walsh entered mainstream music as the frontman and hitmaker of James Gang, co-wrote tracks for the Eagles, and earned acclaim as a solo artist.

Adding to the statement announcing the publishing deal, Walsh said, “It is such a pleasure to be partnered with a team who are hands-on and personal and have shown their passion for and dedication to my work. I look forward to a great partnership and future with Reservoir.”

Walsh’s first album as a member of the Eagles, Hotel California, has been certified 26x-Platinum and sold over 32 million records worldwide.

Kansas-native Walsh also co-wrote tracks across the Eagles’ albums The Long Run and Long Road Out of Eden, with hits like In The City. In addition to his success with the Eagles, released several solo albums, including The Smoker You Drink, The Player You Get, and But Seriously Folks, which feature co-writes by Walsh, including the hits Rocky Mountain Way, Life’s Been Good, and A Life of Illusion.

Walsh’s first three albums as part of the James Gang appeared on the Billboard Top 200 in the late 60s and early 70s. The albums featured multiple hit tracks co-written by Walsh, such as Funk#49 and Walk Away.

Reservoir’s deal with Walsh represents another one in a stream of many publishing agreements and catalog acquisitions the company has announced this year. In 2023 alone, publicly-traded female-founded Reservoir secured the rights to several veteran musicians’ catalogs.

Just last week, Reservoir announced it had acquired the catalog of songwriter and producer Rudy Perez. That announcement was preceded by Reservoir’s catalog acquisitions of Rock artist Greg Kihn, members of the band The Spinners, writer/rapper Armani White, hip hop producer Mannie Fresh, living jazz icon Sonny Rollins, and ‘Runaround Sue’ singer-songwriter Dion DiMucci.

Launched in 2007, New York-based Reservoir has grown to represent over 150,000 copyrights and 36,000 master recordings, with titles dating back to 1900. Reservoir also represents recorded music through Chrysalis Records, Tommy Boy Records, and Philly Groove Records, and manages artists through its ventures with Blue Raincoat Music and Big Life Management.

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Taylor Swift: The Eras Tour Smashes Box Office Records on Its Opening Weekend https://www.digitalmusicnews.com/2023/10/15/taylor-swift-eras-tour-smashes-box-office-records-on-its-opening-weekend/ Mon, 16 Oct 2023 05:00:39 +0000 https://www.digitalmusicnews.com/?p=256891 Taylor Swift at the Box Office: The Eras Tour Headed Toward a Record $100 Million Opening Weekend

Still from the concert film Taylor Swift: The Eras Tour

After the concert film grossed a whopping $39 million on Friday, distributor AMC Theaters estimates The Eras Tour to claim a total between $95 and $97 million at the end of its opening weekend. Earlier estimates hovered between $90-$110 million.

According to AMC theaters, The Eras Tour raked in between $95 and $97 million at the domestic box office. The Eras Tour is playing at 3,850 theaters in North America, and an estimated 4.8 million people have watched the film. The official tally on Monday will reveal whether Swift captured the top spot of openings in October. Joker ($96.2 million) currently holds that record.

Box office analysts and Hollywood studios had estimated blockbuster domestic scores for The Eras Tour, and the film did not disappoint. Even though the concert film didn’t reach the $100 million domestic gross projected initially, numbers coming through place The Eras Tour in the top leagues.

Friday’s $39 million opening had officially crowned The Eras Tour as the second-best domestic opening at the October box office. The cinematic concert film was second only to Joker, which grossed $39.4 million on its opening Friday, and ahead of 2021’s Venom: Let There Be Carnage, at $37.4 million, as reported by Deadline.

Taylor Twist: The Eras Tour is the top-grossing concert movie ever made and the widest-released concert film ever. Even though The Eras Tour appears to have missed the $100 million bullseye, it’s currently neck-and-neck with Joker.

Swift has buried 2011’s concert film Justin Bieber: Never Say Never, which set a domestic record with a lifetime gross of $73 million. It grossed $26 million overseas, claiming a global total of $99 million. Michael Jackson’s posthumous documentary/concert film This Is It grossed $72 million in North America during its run in theaters.

Produced by Taylor Swift alongside mega-circuit AMC theaters, with production costs between $10-20 million, The Eras Tour has definitely delivered. Estimates for Saturday had placed grosses at $32.3 million (17% lower than Friday’s haul, which included $2.8 million raked in from Thursday’s previews).

During the week leading up to the release, Swift’s in-theater concert film had already raked in over $100 million in domestic pre-sales, with another $50 million internationally, according to data from EntTelligence. In terms of sheer opening night sellouts, that was higher than Greta Gerwig’s Barbie.

Friday’s moviegoers were 82% female, 63% of ticket buyers were between 18 and 34 years old, and 17% of those who turned up in full force were teenagers, according to the Hollywood Reporter.

This primarily female audience gave the movie a rare A+ CinemaScore in exit polls. Only 86 films have received an A+ CinemaScore since the company began in 1986, which include the likes of Spider-Man: No Way Home, Black Panther, 1991’s Beauty and the Beast, Avengers: Endgame, Titanic, and E.T. The Eras Tour also boasts a 99% Rotten Tomatoes audience score.

The film has brought with it a lot of other firsts. The Eras Tour represents the first time in modern history that a theater circuit — instead of a Hollywood studio — has distributed a movie. The Eras Tour has already secured the record for being the most significant start for a film distributed by a movie theater chain, AMC.

Paul Dergarabedian, chief box office analyst, said The Eras Tour weekend performance cannot be overstated. He also noted that Swift’s reputation and the unprecedented nature of the release led to a massive outpouring of interest in the film, which undoubtedly contributed to some overblown expectations of a $100 million plus weekend, adding, “But that should not detract from the enormity of this box office achievement. Given its outlier status and unique path to the multiplex, it is made all the more impressive and unexpected that lands in the wake of the Barbenheimer big screen phenomenon.”

Analysts had earlier called the film a ‘unicorn,’ referring to how its unique position and the backing of an incredibly devoted fanbase made box office score estimations highly challenging. Box office analyst Shawn Robbins has said that the film’s debut is an undeniable tent-pole level success despite the challenges of predicting what it might achieve, adding, “Swift, her fans, and theatrical exhibition should all be celebrating the results.”

AMC predicts a global weekend start around the $150 million mark.

The Eras Tour will ultimately take the spot for the seventh or eighth-best opening of 2023 after the actors’ strike pitched some tough economic weeks at the box office.

According to Deadline, The Eras Tour had secured an interim agreement with SAG-AFTRA, allowing Swift to post on social media and appear at the movie’s world premiere — where she delivered a three-minute speech alongside shoutouts to her band, dancers, and fans.

“I’ve always had fun doing this,” said Swift, adding, “I can’t believe I get to do music as a career. I’ve never had this much fun in my life as I have had on The Eras Tour. It is far and away just the most electric experience of my life.”

The Eras Tour is only playing in theaters Thursday-Sunday for the three weekends following its release. The cinematic concert clocks in at 169 minutes, taking fans on a nostalgic trip down memory lane, covering selected performances of tracks from Swift’s ten albums.

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Too Lost Now Features Directly-Embedded beatBread Financing — With Fast-Tracked Funding to Users https://www.digitalmusicnews.com/2023/10/13/too-lost-now-features-directly-embedded-beatbread-financing-fast-flexible-funding/ Sat, 14 Oct 2023 06:55:13 +0000 https://www.digitalmusicnews.com/?p=256880 Too Lost Now Features Directly-Embedded beatBread Financing — Offers Fast, Favorable, and Flexible Funding to Users

Photo Credit: Scottsdale Mint

Music distributor Too Lost will now feature a direct integration of beatBread — a funding platform geared towards independent artists, labels, and distributors. The two companies originally paired up in 2021, working together to advance millions of dollars of growth capital.

Too Lost is a long-term partner of Digital Music News. We’re excited to share this latest news from the company.

Building on the success of the two-year initiative, the integration brings beatBread’s chordCashAI automated advance customization tools directly into the Too Lost platform. Too Lost-distributed artists and label owners can now access fast-tracked advances, and customize their deal terms directly via their Too Lost account.

BeatBread offers advances between $1,000 to $2 million per artist, with even larger financing options offered via the beatBread investor network. According to Too Lost, available funding options will be updated automatically with each payment cycle. All advances will be repaid from a share of the artist’s streaming and airplay revenues, over a period of time chosen by the artist.

Speaking to DMN about the Too Lost integration, beatBread CEO Peter Sinclair relayed that Too Lost has been leveraging beatBread’s financial resources and technology to stimulate massive growth during the last two years. “We are excited to help Too Lost power the next stage of their growth journey.”

“We are always looking to help pro-artist companies grow. We provide flexible options that enable our partners to confidently deploy their own capital, beatBread’s capital, or a combination of both.”

Sinclair further said, “This embedded technology shows our commitment not only to fund independent artists and labels, but also to partner with innovative artist service companies who share our mission to accelerate the music industry’s rapid transition to creator independence.”

Too Lost helps independent music creators distribute, monetize, and protect their music across the globe. The indie distribution platform has distributed millions of recordings for over 250,000 artists and labels, generating over 5 billion streams per month for its users. On the back of those achievements, Too Lost has more than tripled its revenues during the last year alone.

Gregory Hirschhorn, cofounder and CEO of Too Lost, also commented on the platform’s beatBread partnership and integration, saying, “beatBread has been a significant growth catalyst for us, and we look forward to partnering with them to power this next phase of Too Lost’s growth. There’s even more coming out of this partnership in the future, so stay tuned.”

New York-headquartered music and technology company Too Lost provides SaaS solutions for indie musicians. Too Lost-distributed artists include Pink $weats, Ali Gatie, CG5, JT Music, Alina Baraz, YG, Aaron May, ILOVEMAKONNEN, and Dave East.

With the direct integration, Too Lost artists gain greater financing customization and control. beatBread’s technology allows independent labels, distributors, and artist service companies to provide deeper financial support to their artists under their own brand, and inside their own digital experiences.

The funds are advanced to artists on the basis of existing catalogs, newly-released music, and unreleased tracks.

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IMPF Proposes Four Ethical AI Guidelines: Publishers Aim to ‘Foster a Transparent, Collaborative Relationship With AI Tech Companies.’ https://www.digitalmusicnews.com/2023/10/09/impf-proposes-four-ethical-guidelines-to-foster-a-transparent-collaborative-relationship-with-ai-tech-companies/ Tue, 10 Oct 2023 05:00:29 +0000 https://www.digitalmusicnews.com/?p=256390 IMPF Proposes Four Ethical Guidelines: Publishers Aim to 'Foster a Transparent, Collaborative Relationship With AI Tech Companies.'

Photo Credit: Jordan Whitfield

The Independent Music Publishers International Forum (IMPF) has proposed four ethical guidelines for AI developers.

What are the rules for AI? Digital Music News is assembling a critical forum of music industry leaders to address this very topic. Join major labels, publishers, artists, and leading music tech players on October 25th in Los Angeles — tickets here.

Composed of 200 of the world’s most significant independent music publishing companies, IMPF is the global trade and advocacy body for independent music publishers worldwide. Members include Concord Music Publishing, Big Machine Music, Downtown Music Publishing, and Reservoir.

The IMPF informed DMN via email today that it has released four ethical principles to foster higher transparency among songwriters, music publishers, and developers that are training AI music models.

IMPF’s latest move to ‘guide’ generative music AI comes in the midst of the industry’s rapid acceptance of AI, alongside frequent copyright infringement litigation and discourse surrounding AI models’ lack of transparency. Despite the evident boom of generative AI acceptance and practical use within the music industry, there have been calls to ensure AI developers maintain accurate records of music utilized in training AI. Organizations in the EU had also recently called for mandatory artificial intelligence training disclosures, saying, “AI innovation and effective copyright protection are not mutually exclusive.”

Against this backdrop, the IMPF proposed four principles that apply specifically to generative AI. The move aims to ensure the ethical use of music during the training of AI applications by developers, and create an environment of collaboration among all parties involved.

In a document detailing the guidelines, IMPF states, “The protection of human writers’ copyright and livelihood should be explicitly acknowledged and provided for in any AI-related activities, commercial negotiations or legislative initiatives. Applying generative AI should be based on principles of legality, accountability, and transparency.”

  1. Seeking express permission for the use of music in the machine training process: “Superseding social interest exists which would justify an exception to this human right of intellectual property which protects not only the writers’ economic interest but also the expression of their creative personality.”
  2. Keeping records of the musical works used in the machine training process: “The process of ingesting existing musical works constitutes the best opportunity to know the creative elements used by AI applications. It is relevant for any licensing, should the writer or rightsholder choose to allow the use, to ensure that any remuneration can be accurately distributed to the writers or rights holders.”
  3. Labeling human created and AI generated works: “We suggest a clear differentiation between human-created musical works which benefit from copyright protection and machine-generated music which does not. Such clear demarcation of AI-generated musical works will ensure a level playing field for human-created music while protecting consumer choice.”
  4. Delineation between assistive AI and fully generative AI application: “We strongly urge differentiating between human creation and technical generation, in particular by clearly labeling AI-generated musical works as such.”

 

Annette Barrett, President of IMPF, said, “We have established these four key ethical principles to strike a careful balance between progress and protection, to assert creative rights, and, ultimately, to forge a healthier relationship between the creative and technology industries.”

Barrett also emphasized that despite the debate — and often panic — about the rapid development of artificial intelligence and its implications for the creative industries, the technology is here to stay.

Barrett added, “[AI] will only get more sophisticated. In many cases, it will actually enhance our work and lives. We should not fight these advancements, but it would be negligent to give tech developers free reign when it comes to the use of artistic human work — which carries its own irrefutable, intrinsic value — to enable machine learning.”

IMPF’s new principles are one of the industry’s more extensive attempts to control artificial intelligence. The guidelines surface on the first day of the second IMPF Global Music Entrepreneur and Creative Industry Summit in Palma de Mallorca, Spain. The event is taking place on October 8th to 11th, and is expected to have over 340 music industry professionals in attendance today.

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PPL Pays £12.7 Million ($15.4 Million) in Neighboring Rights Royalties for Q3 2023 https://www.digitalmusicnews.com/2023/10/02/ppl-pay-out-millions-neighboring-rights-royalties-q3-2023/ Mon, 02 Oct 2023 15:16:48 +0000 https://www.digitalmusicnews.com/?p=255837 UK’s leading Collective Management Organization PPL paid out £12.7 million ($15.43 million) to over 25,500 performers and recording rights holders.

Photo Credit: TraceyAPhotos

In its Q3 distribution, UK’s leading Collective Management Organization PPL paid out £12.7 million ($15.43 million) to over 25,500 performers and recording rights holders.

PPL’s Director of International Laurence Oxenbury commented on the Q3 distribution, highlighting how cross-border collaboration continues to be a priority for the CMO ‘as we continue to work on maximizing the reward for those who create the music which keeps our world turning.’

Oxenbury communicated his delight at seeing the third multi-million-pound payment of 2023 going out to members, adding, “For many of the performers and independent labels included in this international distribution, this payment represents a consistent source of income when the challenges of earning from music are well-documented.”

Becky Hill, Digga D, Ellie Goulding, Emeli Sandé, Gregory Porter, Gotcha, and Trevor Horn are among the thousands of musicians that receive international royalties from PPL.

The quarter’s payment includes international revenue from 69 CMOs from organizations in Belgium, Denmark, France, Spain, and the US.

The £12.7 million payout also includes £1.9 million ($2.31 million) from Video Performance Limited (VPL) for the use of music videos played across MTV channels in Europe, Africa, and the Middle East.

PPL is the UK music industry’s premier CMO for performers and recording rights holders. It ensures members across genres and territories are paid when their music is played in the UK and overseas territories. PPL also specializes in metadata management, which allows the industry to better understand and analyze ownership and performance rights of a specific recording.

PPL has secured 109 agreements with overseas organizations across Africa, Australia, Europe, and North and South American territories. The CMO covers 98% of the global neighboring rights value and ensures its members are represented in the world’s leading music markets.

In 2022, PPL announced it had recorded the highest level of revenue in the company’s 89-year history. The CMO had collected £272.6 million ($331.3 million) across all revenue streams, and distributed royalties to over 165,000 performers and recording rights holders.

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Saudi Arabia Is Investing Billions to Boost a Homegrown Music Industry — With the ‘Saudi Music Commission’ at the Center of the Effort https://www.digitalmusicnews.com/2023/09/17/saudi-arabia-music-industry-initiative/ Mon, 18 Sep 2023 05:23:35 +0000 https://www.digitalmusicnews.com/?p=254470 At the 2023 All That Matters (ATM) conference in Singapore, CEO of the Saudi Music Commission, Paul Pacifico, revealed that the establishment 'seeks to unleash the creative and commercial potential of music in Saudi Arabia.’

The Saudi panel at the 2023 All That Matters Conference: (r-l) Paul Pacifico, CEO of Saudi Music Commission, Haya Alhejailan, Musician from Saudi Arabia & Carlo Nohra, COO of Saudi Pro League (photo: Digital Music News)

CEO of the recently-formed Saudi Music Commission, Paul Pacifico, revealed that the organization ‘seeks to unleash the creative and commercial potential of music in Saudi Arabia.’

During a discussion panel at the 2023 All That Matters (ATM) conference in Singapore, Pacifico highlighted his opinions on how the Kingdom of Saudi Arabia (KSA) aims to become a powerful player in the music industry. The discussion centered around music progress in the Kingdom after Crown Prince Muhammad bin Salman officially established the Saudi Music Commission in February of 2020.

Controversy has shrouded similar non-oil expansions by the country. KSA has been criticized for using sports and culture to deflect from more critical events occurring in the Kingdom.

Pacifico admitted that the ongoing controversy and criticism was a serious concern when he was asked to run the commission. He added that he sees the initiative as an opportunity to redefine the Kingdom’s global music presence.

The presence of a Commission focused on expanding Saudi music represents a major shift by the country. Until five years ago, KSA prohibited music. Now, according to Pacifico, public performances are encouraged and promoted. “Things are changing in KSA, which is why the Kingdom wants to build an entire music segment,” Pacifico relayed.

Haya Alhejailan, a female Saudi musician, also shared her first-hand experience witnessing performance arts reform within the Kingdom. Alhejailan explained how, in the past, she could only play her guitar in the privacy and secrecy of her home. Now, she performs on festival stages alongside her band.

To provide avenues for the promotion of musicians in the region and build an ecosystem that helps them grow, the Kingdom has made hefty investments in music.

KSA is one of the key players in the dynamic MENA region, where recorded music revenue grew by 23.8% in 2022. Naturally, the music industry’s fastest-growing region has become a significant focal point for the global music industry. This progression is a beacon of light for artists who have struggled with the challenges and lack of opportunities presented by the KSA’s former policies.

After a desert site outside Riyadh hosted one of the world’s largest raves in November 2022, the city now sees more than $64 billion in entertainment investment. Much of that investment fund will go towards promotion of the live music industry.

Not long ago, musical opportunities were altogether inaccessible for young Saudi musicians. Surfing this wave of new investments, the Kingdom’s youth now foresee a future in establishing their musical careers. They may also be in a position to demand more performance venues and musical resources.

KSA’s surprising new inclination and the Saudi Music Commission’s apparent commitment to it spell possible opportunities for Saudi artists. But this burgeoning industry also represent opportunities for the global music industry.

If KSA continues its leap toward music growth, it requires experienced music professionals and technology — instructors, labels, and music instrument manufacturers — to help it succeed.

On that note, Pacifico revealed that the Kingdom’s plans to train and hire thousands of new music teachers and introduce music to children as early as kindergarten. Pacifico added that KSA’s sincere commitment is what compelled him to become part of the ‘massive change.’

Prince Salman’s aim to create a thriving music industry is part of the ruler’s larger ambition to diversify the Kingdom’s economy beyond oil — which currently accounts for more than half of the country’s revenue.

In 2016, Prince Salman unveiled the Kingdom’s Vision 2030 plan, which sought to transform the country from a nation heavily relying on oil exports to one nurturing an ecosystem where talent thrives. The Kingdom has since launched efforts to place creativity, youth, and women at the hub of all its initiatives.

In tandem with Vision 2030, KSA also established the General Entertainment Authority to highlight KSA’s goals for its economic future. One of its many objectives was to increase household spending on entertainment activities within the Kingdom. With a focus on that aspect, the ruler launched widespread policy changes, beginning with removing restrictions on public entertainment events. Since then, the country, with a population of 34.8 million, has reported substantial economic and social growth.

The 2023 ATM conference took place from September 11th to September 13th.

Since its inception in 2006, the ATM conference has taken place a week before the Formula One Singapore Grand Prix every year. Industry professionals gather on the island to discuss ‘matters’ of sports, gaming, marketing, Web3 — and among others — music.

This year, ATM conference attendees included CEO of Primary Wave Larry Mestel, cofounder and co-CEO of Beatdapp Andrew Batey, CEO of Chartmetric Sung Cho, and representatives of other major companies like TikTok, Venice Music, Bandwagon, WMG, UMG, SME, Believe, YouTube, Spotify, Meta, Google, Luminate, Netflix, and many others.

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Songtradr Is Now the Largest Shareholder in Publicly-Listed Tech Company Jaxsta (ASX: JXT) https://www.digitalmusicnews.com/2023/09/17/songtradr-largest-shareholder-in-publicly-listed-tech-company-jaxsta/ Mon, 18 Sep 2023 04:45:46 +0000 https://www.digitalmusicnews.com/?p=254570 Songtradr Is Now the Largest Shareholder in Publicly-Listed Tech Company Jaxsta

Songtradr CEO Paul Wiltshire. Photo Credit: Songtradr

B2B music rights and licensing marketplace Songtradr now holds 14.04% of Jaxsta’s shares, making it the largest shareholder of the Sydney-based credits database platform. The announcement emerged after Songtradr completed the conversion of its Tranche #1 convertible note (announced in 2020) into Jaxsta (ASX: JXT) ordinary shares.

On Friday, September 15th, a statement was issued to the Australian Stock Exchange revealing Songrtradr’s rescripted position on Jaxsta’s shareholder table. The event occurred just days after Jaxsta launched a round of leadership promotions for the completion of its new look C-suite.

Via the statement, Songtradr CEO Paul Wiltshire relayed that the conversion is a ‘reflection of Songtradr’s ongoing confidence in Jaxsta’s future.’ Wiltshire also communicated Songtradr’s intention to remain a long-term shareholder in Jaxsta, adding that he looks forward to continuing to build their ‘working relationship and shareholding in the future.’

Jaxsta’s CEO, Josh Simmons, also added to the official statement, explaining how the ongoing relationship with Songtradr has been an instrumental force behind the many modifications Jaxsta has implemented during the last 15 months.

Simmons emphasized that Jaxsta and Songtradr relationship ‘is highly beneficial to the company and shareholders going forward,’ adding, “This conversion solidifies the ongoing work and the trust in the future of Jaxsta.”

Jaxsta’s resources allow artists and music professionals to showcase their work and song credits like a digital resume. With the Songtradr partnership, Jaxsta’s Pro database can access Songtradr’s neighboring rights collection service to identify, manage, and collect neighboring rights royalties effectively. The neighboring rights market is a lucrative business valued at AUS$3.58 billion ($2.6 billion).

Songtradr’s more prominent position on the shareholder list was inevitable. It was spurred into action in April 2020 after the platform initiated its strategic investment with Jaxsta.

Songtradr had announced an AUS$1.42 million convertible note investment, added to another AUS$3 million in 2022.

The Songtradr-Jaxsta team-up provided Jaxsta with the crucial capital it needed to commercialize its professional platform. The company is currently the only music business listed on the Australian Stock Exchange, and news of the partnership caused Jaxsta shares to spike a whopping 285% on the ASX.

In the latest statement, Wiltshire praised the ‘significant transformation’ Jaxsta has undertaken over the last 12 months. He highlighted the ‘refinement of the Jaxsta product offering, the launch of Vinyl, the acquisition of Vampr, and the disciplined management of reducing costs.’

Wiltshire is referencing Jaxsta’s enormous business moves earlier this year— the acquisition of Vampr, a social media network for musicians (which was originally founded by guitarist Baz Palmer and current Jaxsta CEO Josh Simmons), and Vinyl.com, an online record store with extensive information on all artists and contributors.

The acquisitions led to a significant economic and structural shakeup for Jaxsta. Shareholders received 89 million JXT shares, plus options and $250,000 in cash, propelling a leadership revamp that ultimately led Simmons into the CEO seat in June.

Jaxsta also secured a $3 million capital raise plugged by WiseTech Global (ASX: WTC). WiseTech founder and CEO Richard White now owns 9.64% of the Jaxsta stock, a close second after Songtradr’s 14.04%.

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UK Musicians’ Census: Artists Average $25,881 in Annual Music Earnings, Supplement Income with Freelance Gigs and ‘Regular’ Jobs https://www.digitalmusicnews.com/2023/09/11/census-reveals-uk-musicians-average-annual-earnings/ Mon, 11 Sep 2023 18:29:28 +0000 https://www.digitalmusicnews.com/?p=253981 According to the first-ever UK Musicians' Census, the average annual income of a UK musician is merely £20,700.

Photo Credit: Ian Taylor

Insights from the first-ever UK Musicians’ Census reveal the demographic makeup of UK musicians and prevalent pay gaps, barriers to career progression, and financial challenges.

In a project from Help Musicians and the Musicians’ Union, alongside research agency Walnut, a survey of nearly 6,000 musicians maps how UK artists are doing with a career in the industry — by revealing details of revenue, lifestyle, and pay gaps.

Released September 2023, the census’ results shed light on a troublesome element: rampant financial struggle under the facade of a ‘glamorous’ music industry career.

According to the report, the average annual income of a UK musician is merely £20,700 (currently $25,881). 23% of respondents indicated it was impossible to support themselves and their families by relying solely on a career in music. This discrepancy has led musicians to seek external sources of income to supplement their music earnings. These external income sources include a constant bid for freelance projects, or finding ‘regular’ employment.

Of the musicians supplementing their income, 62% said they generated additional earnings by seeking employment outside the music industry. 75% of those with another income source (in addition to music) reported that the only reason behind their quest for ‘external’ employment was an attempt to make ends meet.

46% of musicians reported that financial obstacles and limitations hinder their musical efforts, and 44% said that a lack of sustainable income restricts their career growth.

While citing other barriers to a thriving music career, 30% named cost of equipment as the biggest barrier, 27% said the high cost of transport was an issue, and 18% claimed the cost of training was holding them back from making the most out of their music passions.

Of course, there are artists who earn 100% of their income by creating music. 40% of musicians reported earning all their income from music, averaging £30,000 ($37,510) annually. 25% of these musicians reported earning more than £41,000 ($51,262) annually, and 3% responded that they made more than £70,000 ($87,521) per year.

But many musicians working fulltime in music reported taking on self-employed music projects, and their average total revenue from their craft is similar, £38,750. However, the fact that these music-employed artists are also obligated to seek out freelance projects points to a tragic reality — even a fulltime music career isn’t a guarantee of financial stability, and most respondents have resorted to topping up lower annual earnings with extra work. Additionally, 17% of all musician respondents reported being in debt.

The report noted that of the 3% outlier high earners, 79% were men, while only 19% were women.

The census and its insights highlight several other pay gaps (besides gender), that play integral roles in determining a UK musician’s average yearly income. These included disability, ethnicity, LGBTQ, and employment status.

Regarding qualifications related to music education, 50% of respondents had a music degree, and 27% stated they were self-taught.

Musicians’ Census Financial Insight Report is supported by a vast number of organizations across the sector who have input into the project and will also benefit from its insight. These include the Arts Council England, Association for Electronic Music (AFEM), Association of British Orchestras, Attitude is Everything, Black Lives in Music (BLiM), Drake Music Org, Drake Music Scotland, English Folk Dance and Song Society (EFDSS), Featured Artists Coalition, Ivors Academy, Music Managers Forum, PiPA, PPL, PRS Foundation, Punch Records, Royal Society of Musicians of Great Britain (RSM), Safe In Sound in NI, She Said So, The F List, The Independent Society of Musicians (ISM), and UK Music.

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$468.8 Million Deal: Concord Is Acquiring the Entirety of Round Hill UK-Listed Royalty Fund https://www.digitalmusicnews.com/2023/09/08/concord-acquiring-round-hill-royalty-fund/ Fri, 08 Sep 2023 15:11:28 +0000 https://www.digitalmusicnews.com/?p=253873 For $468.8 Million, Concord Is Acquiring the Entirety of Round Hills UK-Listed Royalty Fund

Photo Credit: Maklay62

Round Hill Music Royalty Fund (RHM) revealed it has agreed to a cash takeover offer from Los Angeles-based Alchemy Copyrights — which trades as Concord.

On Friday, Round Hill Music (RHM) —the UK-listed fund operated by Round Hill Music — and Concord revealed details of the mammoth acquisition. The deal values the entire issued and to-be-issued share capital of RHM at $468.8 million.

Bob Valentine, CEO of Concord, stated, “Concord has a global team of sync, licensing, marketing, copyright, and royalty experts well positioned to maximize the value of this portfolio for all of the songwriters and artists within it.”

Over the last ten years, Concord has deployed an impressive $2 billion in capital to acquire music rights and companies. Its most significant investment remains the $550 million acquisition of Imagem in 2017 and a 2022 acquisition of music rights from Phil Collins and members of the band Genesis, for approximately $300 million.

RHM boasts longstanding investments in royalty-generating evergreen music copyright assets. Its investments in music rights consist of 51 catalogs and over 150,000 songs, with a portfolio that includes tracks from Celine Dion, James Brown, Bonnie Tyler, Phil Collins, BackStreet Boys, and Louis Armstrong. RHM also owns a stake in the Carkin catalog, with hits from Johnny Cash, Aretha Franklin, Ella Fitzgerald, Meatloaf, Air Supply, Bonnie Tyler, Elvis Presley, Peggy Lee, and George Harrison.

In the announcement today, the two companies revealed that under the terms of the acquisition, Round Hill’s scheme shareholders will receive $1.15 per share in cash. This value represents a 67% premium to RHM’s closing price on Thursday. On Friday morning, its shares had surged 60% to $1.10 in London.

Robert Naylor, Chairman of RHM, believes that the recommended offer represents excellent value for shareholders. “The Board is pleased to present this opportunity for liquidity at a premium to both the share price and the IPO price, as well as at a narrow discount to economic net asset value per share,” he commented.

In RHM’s statement to the market, the company elaborated on its significant de-rating over the last year ‘driven by the inflationary and higher interest rate environment, which has impacted most listed alternative investment companies.’

“The RHM Board believes that the Acquisition is in the best interests of RHM Shareholders by providing RHM shareholders with an opportunity to realize the value of their RHM shares for cash at a significant premium, and a value greater than the highest price at which the RHM shares have traded since the company’s IPO in November 2020,” read the statement, adding, “Concord has followed the progression of RHM since IPO and believes that RHM’s assets complement Concord’s long standing objective to acquire high quality and long-term music assets.”

“Concord believes that the quality of RHM’s assets is consistent with Concord’s existing holdings, and creators connected to the rights acquired will benefit from the services of Concord’s existing creative and administrative support teams globally.”

“The RHM Board intends to recommend unanimously that scheme shareholders vote in favor of the Scheme at the court meeting and that RHM shareholders vote in favor of the resolution at the general meeting.”

Bob Valentine praised RHM’s efforts while commenting on the acquisition, stating, “Since its IPO, RHM has built an impressive portfolio of music rights, which generate revenue across various income streams and have demonstrated their ability to stand the test of time. As one of the world’s leading music companies with a proven track record of strategic catalog expansion, Concord has a global team of sync, licensing, marketing, copyright, and royalty experts well-positioned to maximize the value of this portfolio for all of the songwriters and artists within it.”

Valentine also highlighted that Concord’s offer will enable ‘RHM shareholders to realize their investment at an attractive premium to the undisturbed share price.’

Meanwhile, Round Hill wasn’t alone in experiencing a double-digit stock-price boost following the deal’s announcement. Competing song fund Hipgnosis (LON: SONG), which has in recent months grappled with much-publicized operational hurdles as well as investor calls to divest certain catalogs, saw its own shares spike over 16% to a year-to-date high of £0.93 (currently $1.16).

A subsequent dip caused SONG to finish the day at a little over £0.92 ($1.14), which nevertheless drove the Merck Mercuriadis-operated fund’s market cap to £964.95 million ($1.20 billion). While time will tell whether an acquisition of Hipgnosis Songs Fund is also in the cards, today’s close to $500 million agreement for Round Hill’s holdings suggests that a purchase isn’t outside the realm of possibility.

Despite a continued (capital-related) pause on new investments for Hipgnosis, the entity’s vast collection of music IP encompasses the work of Timbaland (108 songs), Journey (103 compositions, 389 masters), Barry Manilow (917 songs), Chrissie Hynde (162 songs), 50 Cent (388 songs), the Red Hot Chili Peppers (220 songs), Shakira (145 songs), Jimmy Iovine (259 songs), and a multitude of other well-known acts.

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Spotify Is Cracking Down on White Noise Creators, Removing Them From Its Lucrative ‘Ambassador Ads’ Program https://www.digitalmusicnews.com/2023/09/05/spotify-cuts-ambassador-ads-for-white-noise/ Tue, 05 Sep 2023 14:09:00 +0000 https://www.digitalmusicnews.com/?p=253606 Spotify has finally made the move to cut off white noise podcasters from its Ambassador ads program

Photo Credit: Alphacolor

On Spotify, white noise creators can make up to $18,000 per month recording ambient sounds meant for background listening. According to a recent report from Bloomberg, however, these podcast aberrations will no longer be eligible for specific ads.

Spotify has finally made the move to cut off white noise podcasters from its lucrative ads program, according to a new report. These ambient sounds account for 3 million daily consumption hours on the platform, after being boosted by Spotify’s algorithmic push for content with ‘talk’ vs. music.

Although Spotify had originally incentivized these curators and podcasters to join the platform, white noise took listeners’ time away from major artists. The more listeners play ambient white noise in the background, the more they stay out of the music ecosystem.

Realizing how much listener attention white noise podcasts were hoarding, Spotify is removing these podcasts from its self-funded Ambassador Ads program.

The Ambassador Ads program provides spots for Spotify that podcasters can utilize for promotions. The streaming behemoth compensates hosts to read out ads that will encourage more creators to join the platform. In particular, this funded ad-support through Spotify’s tools led to one division of curators discovering explosive success.

A Bloomberg report in June 2022 noted that via Spotify’s self-hosted podcast platform, white noise podcasters could earn as much as $18,000 per month. These earnings are generated primarily through ads that Spotify itself placed, in turn reducing Spotify’s annual gross profit by $38 million every year.

Since dubbed ‘Spotify’s $38 million white noise problem,’ the streaming giant is pulling the plug on these podcasts — which provide little in terms of actual ‘curation.’

Listeners play these sounds in the background to assist with mind clarity and focus, usually while working or studying. Spotify believes that the nature of white noise podcasts means their marketing dollars were ill-placed, because users did not engage in the session.

On Friday, the streaming giant sent an email to artists highlighting integral updates to its Ambassador Ads program.

According to the Bloomberg report, Spotify informed curators about the removal of white noise tracks from the program. Moreover, Spotify also lifted the eligibility requirement for the Ambassador Ads program that applies to conventional podcasters. Curators will now require 1,000 unique Spotify listeners over the past 60 days to qualify.

Modification to the program will take effect on October 1st. This decision directs the audience towards ‘comparable programming,’ making more ‘economic’ sense for Spotify’s bottom line. This decision is expected to increase Spotify’s annual gross profit by $38 million.

But Spotify isn’t pulling the plug on all revenue streams of white noise podcasters.

These ambient sound creators can still earn through paid subscribers, listener support, and automated ads with shows. However, Spotify will no longer allocate its budget to supporting them through Ambassador Ads.

There is chatter of a similar conversation happening elsewhere in the music industry. Universal Music Group’s CEO Lucian Grainge and Warner Music’s CEO Robert Kyncl have both voiced their displeasure at the disparity in royalty payouts. Both Grainge and Kyncl have suggested that a shake-up is due for the way royalties are calculated by streaming services.

Warner Music Group CEO Robert Kyncl criticized the fact that songs with ‘noise’ share the royalty pool with mega artists. Kyncl added, “An Ed Sheeran stream is not worth the same as a stream of rain falling on a roof.”

Last week, Spotify had also announced its plans to add more podcasts to participate in its automated ads program. This move would involve ‘the company inserting third-party ads into shows automatically, much like ads seen on YouTube.’ But on Friday, Spotify also clarified that it will ‘split the revenue on those placements in half with podcasters, versus the flat rate based on ad impressions that it has historically used.’

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Steve Harwell, Lead Singer of Smash Mouth, Has Died at 56 https://www.digitalmusicnews.com/2023/09/04/steve-harwell-smash-mouth-hospice-care/ Tue, 05 Sep 2023 02:24:33 +0000 https://www.digitalmusicnews.com/?p=253560 Smash Mouth singer Steve Harwell

Photo Credit: Olaf Gradin / CC by 2.0

According to a Tweet by rock band Smash Mouth, Steve Harwell has passed away. Just yesterday, Steve Harwell’s representative Robert Hayes had revealed that Steve was ‘resting at home being cared for by his fiancé and hospice care.’

Hayes had further stated, “Although Steve is here with us still, sadly, it will only be for a short time. We would hope that people would respect Steve and his family’s privacy during this difficult time.”

Earlier today, rock band Smash Mouth posted an announcement that read, “Steve Harwell was a true American Original. A larger than life character who shot up into the sky like a Roman candle. Steve will be remembered for his unwavering focus and impassioned determination to reach the heights of pop stardom. Rest in peace knowing you aimed for the stars, and magically hit your target. Rest easy.”

Steve Harwell died at his home in Boise, Idaho. Born January 9th, 1967, Harwell was fifty-six years old.

Several years ago, the singer was forced to depart from the band that revolved around his voice and persona. Harwell had battled health problems since 2015, which was the stated reason behind his retirement in October 2021. After exhibiting concerning behavior during his performance with Smash Mouth in Bethel, New York, the singer retired to focus on his health.

At the time, Smash Mouth’s rep said that the singer left the group to ‘focus on his physical and mental health,’ adding, “Despite Steve’s best efforts to work through these ailments, he is heartbroken to share that it has become impossible for him to continue doing what he loves most, performing in front of the band’s millions of fans around the world.”

Smash Mouth’s rep had also mentioned that Harwell ‘has suffered profusely over the years with several health issues,’ including cardiomyopathy and Wernickes encephalopathy, a neurological condition that ‘has greatly impacted his motor functions, including speech and impaired memory.’

At the time of announcing his retirement, Harwell gave a statement to reminisce about his time as the band’s frontman.

He said, “Ever since I was a kid, I dreamed of being a Rockstar performing in front of sold-out arenas and have been so fortunate to live out that dream. To my bandmates, it’s been an honor performing with you all these years, and I can’t think of anyone else I would have rather gone on this wild journey with.”

“To our loyal and amazing fans, thank you. All of this was possible because of you. I’ve tried so hard to power through my physical and mental health issues and to play in front of you one last time, but I just wasn’t able to. I am so grateful to each and every one of you who has helped Smash Mouth sell over 10 million albums worldwide, put us on top of radio charts, and those who have kept All Star relevant as one of the top memes on the internet today,” Harwell said in 2021.

“I cannot wait to see what Smash Mouth accomplishes next,” Harwell had said, “I’m looking forward to counting myself as one of the band’s newest fans.”

Harwell co-founded Smash Mouth in 1994, and the band gained fame with hits such as ‘All Star,’ ‘Walkin’ On the Sun,’ and a cover of The Monkees’ ‘I’m a Believer,’ which was featured in the 2001 animated film “Shrek.”

Hayes also said, “Steve’s iconic voice is one of the most recognizable voices of his generation. Steve loved the fans and loved to perform.”

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Burning Man 2023: Organizers Plan Festival’s Finale ‘Burn’ as One Dies, and Thousands Remain Stranded at Nevada Festival Site https://www.digitalmusicnews.com/2023/09/04/burning-man-2023-stranded-death/ Mon, 04 Sep 2023 16:18:39 +0000 https://www.digitalmusicnews.com/?p=253554 Burning Man 2023

Torrential rain and severe flooding have left one person dead and thousands stranded at the Burning Man 2023 Nevada desert site. Despite challenges, organizers intend to proceed with the festival’s finale ‘burn’ on Monday.

Torrential rains turned roads and grounds into mud, leaving thousands stranded at the Burning Man 2023 festival. Participants, known for their ‘radical self-sufficiency,’ faced unexpected challenges, including food and water conservation. Revelers navigated through mud, some barefoot or using plastic bags as makeshift footwear. A no-driving order was issued when the rain started on Friday, with over half an inch of rain falling overnight.

Organizers closed vehicle access on Saturday, advising those attempting to enter to return home. Persistent rain on Sunday trapped approximately 73,000 Burning Man attendees in the Black Rock desert.

Diplo, who was at the festival, managed to leave with Chris Rock. “Just walked 5 miles in the mud out of Burning Man with Chris Rock, and a fan picked us up,” he tweeted Saturday afternoon.

The event started on August 27 and was supposed to end on Monday. Despite challenges, organizers intend to proceed with the festival’s finale: burning a 40-foot effigy.

Due to muddy conditions and rain, equipment transport became impossible. The climax of the artistic celebration, the annual burning of a man-like figure, was planned for Sunday night but didn’t occur. Officials now plan to burn the event’s namesake structure at 9 p.m. on Monday, followed by another large art piece later in the evening. The burning of the temple structure will take place at an undecided time on Tuesday.

This announcement marks the second postponement of the burn, initially scheduled for Saturday night.

According to an information representative stationed at the on-site information tent, it usually takes about 12-24 hours for the ground to become suitable for driving after the last rain. The information authority mentions that when the roads reopen, the Burner Bus services will operate on a first-come, first-served basis.

The Burner Bus that shuttles to Reno and San Francisco — responsible for ferrying approximately 20,000 attendees to the event — has been temporarily postponed. When the shuttle service resumes, passengers will be grouped by their scheduled departure times, prioritizing those whose departure times have already passed. The event’s airport also remains closed.

Despite the challenging weather conditions, some Burning Man revelers are still in high spirits.

Music plays in various camps, and impromptu dance parties occur under tents and in the mud. Barefoot individuals or those with plastic-covered shoes can be seen around the city. Videos on social media show costumed participants sliding through the muck.

“When you get pushed to extremes, that’s when the most fun happens,” Brian Fraoli, a 45-year-old veteran ‘burner,’ told Reuters. “Overall, it was an amazing week, and next time we will be more prepared,” he said.

Information is relayed to attendees via the city’s radio stations, and a citywide cheer is expected upon gate reopening.

Moreover, while misinformation regarding an Ebola outbreak has circulated on social media, experts dismiss it as unlikely, with weather-related risks like hypothermia now being more relevant.

President Biden was briefed on the situation on Sunday. White House officials have been coordinating with state and local authorities, The New York Times reports.

According to CNN, The Pershing County Sheriff’s Office is investigating one person’s death, which took place during the event. According to the Sheriff’s office, the victim was found on the playa, and attempts to revive them were unsuccessful. Moreover, the Sheriff notes that the cause of death is unclear but doesn’t seem weather-related.

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Jimmy Buffett, Legendary ‘Margaritaville’ Singer, Dies At 76 https://www.digitalmusicnews.com/2023/09/02/jimmy-buffett-legendary-margaritaville-singer-dies/ Sat, 02 Sep 2023 12:47:03 +0000 https://www.digitalmusicnews.com/?p=253551 Singer and businessman Jimmy Buffett passed away on the night of September 1st.

Photo Credit: Jimmy Buffett

Singer and businessman Jimmy Buffett passed away on the night of September 1st. Buffett is best known for his hit song ‘Margaritaville.’ Margaritaville spawned the branding empire that the industry now associates with Buffett.

“Jimmy passed away peacefully on the night of September 1st, surrounded by his family, friends, music, and dogs. He lived his life like a song till the very last breath and will be missed beyond measure by so many,” read a statement shared on the Jimmy Buffett website. He was seventy-six years old.

“Growing old is not for sissies, I promise you,” Buffett said in May when he was forced to cancel his Charleston, Sound Carolina concert. Back then, the musician was hospitalized after undisclosed health issues during his tour.

At that time, Jimmy thanked fans for their support, saying, “I also promise you that when I am well enough to perform, that is what I’ll be doing in the land of She-Crab soup. You all make my life more meaningful and fulfilled than I would have ever imagined as a (tow)-headed little boy sitting on the edge of the Gulf of Mexico.”

Quoting Mark Twain, Buffett also wrote, “Challenges make life interesting. However, overcoming them is what makes life meaningful.”

Born on December 25, 1946, in Pascagoula, Mississippi, Jimmy Buffett began his career as a country singer in Nashville. He worked with a cover band before going solo.

In the early ’70s, he secured his first record deal but didn’t gain much attention with his debut album. He then moved to Key West, Florida, and embraced the beach-bum persona. Signing with ABC-Dunhill Records, his 1973 album, ‘White Sport Coat and a Pink Crustacean,’ started to get him noticed.

But Buffett’s breakthrough came with his 1977 album ‘Changes in Latitudes, Changes in Attitudes’ featuring the hit ‘Margaritaville.’

Buffett’s career spanned five decades, during which Buffett released many albums, headlined numerous tours, and had 13 songs on the Billboard Hot 100, including Margaritaville in the Top 10. Jimmy Buffett’s most recent album was 2020’s ‘Songs You Don’t Know By Heart.’

Buffett made his debut on the richest celebrities list in 2023. His net worth is north of $1 billion.

The Margaritaville mogul built a fortune through his decades of touring and music royalties. A significant chunk of his valuation comes from his global licensing operation, Margaritaville Holdings. The venture stamps the Buffett brand on beach-themed restaurants, resorts, casinos, and hundreds of other branded products.

In 2017, Jimmy Buffett’s Margaritaville Holdings LLC partnered with real estate firm Minto Communities. Together, the companies are building Latitude Margaritaville—the first ‘active adult communities in some of the nation’s most popular destinations.’

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APM Music Inks Partnership With AI-Startup Incantio to Improve Catalog Discovery https://www.digitalmusicnews.com/2023/08/31/apm-music-partnership-ai-startup-incantio/ Thu, 31 Aug 2023 17:39:40 +0000 https://www.digitalmusicnews.com/?p=253362 APM Music Has Partnered With AI-Startup Incantio to Improve the Music Discovery Of Its Catalog

Photo Credit: APM Music

With the APM Music and Incantio partnership, the CEO of APM Music aims to achieve the goals of ‘illuminating artists’ work.’ Incantio implements AI technology to recommend music for licensing.

Adam Taylor, CEO of APM Music, explained how the music technology startup Incantio will assist APM Music in ‘illuminating artists’ work’ by allowing more accurate matches in music searches. The tie-up will provide more efficient music discovery via Incantio’s AI-powered technology.

“We have a tradition of partnering with technology companies which align with our goals. I am pleased to announce a new partnership with Seattle-based Incantio, an AI company whose founder is coming into the tech space after a long career in the music industry. By enhancing human abilities for music searching and editing through new technology, we can better serve our libraries, composers, and clients,” said Taylor.

Danny Newcomb, cofounder and CEO of Incantio, said, “APM has a great catalog of music, and we are excited to work with them both for their long experience in working with content creators as well as building a successful production music business,”

Incantio startup aims to ‘amplify human creativity, [by] building a marketplace based on recommendations that connect musical artists with content creators.’ Incantio’s core focus is to improve the music discovery process, leveraging AI recommendation tools to surface relevant tracks.

Jointly owned by Sony Music Publishing and Universal Music Publishing Group, APM Music is the largest aggregator of production music in North America, featuring a catalog of one million plus tracks produced by the industry’s most respected and admired libraries, including KPM Music, Bruton, Sonoton, Cezame, and Kosinus.

The partnership is APM Music’s most recent move to continually augment and refine its search capabilities, providing new opportunities to track within its significant catalog. Last month, APM Music inked a similar partnership with the personalized gaming music platform Reactional Music to allow developers to search for and access fully licensed, high-quality production music through the Reactional Music platform as they build their games.

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Universal Music Group Acquires UAE-Based Chabaka Music, Its Second Major Move In The Fast-Growing MENA Region https://www.digitalmusicnews.com/2023/08/30/umg-chabaka-acquisition-mena-region/ Wed, 30 Aug 2023 18:37:46 +0000 https://www.digitalmusicnews.com/?p=253261 UMG has acquired Chabaka Music, a marketing and distribution agency that provides services in the MENA region

Photo Credit: Universal Music Group

UMG has acquired Chabaka Music, a digitally-focused music marketing and distribution agency that provides services in the Middle East and North Africa — the MENA region.

Universal Music Group confirmed the news this morning in an email to Digital Music News. “The acquisition of Chabaka complements UMG’s current service offering and footprint in the fast-growing and dynamic MENA market, which saw growth in recorded music revenues of 23.8% in 2022. It will allow UMG to expand its services and reach within the independent label and artist community,” the label wrote.

The acquisition marks another step towards UMG’s strategic goal of tapping into ‘one of the fastest-growing music markets in the world.’ Following the acquisition, Chabaka becomes part of UMG’s Virgin Music Group and will work alongside MENA’s local Virgin and UMG teams.

Chabaka is part of the CHBK Group, which also owns Concast and Boomerang Studios. Key members of the Chabaka team, including cofounder and CEO Ala’a Makki, will retain their positions. Cofounder Tarek Makki will continue to serve as advisor while continuing his leadership of other companies within CHBK Group.

Patrick Boulos, CEO of UMG in MENA, believes the region represents untapped potential and opportunity, and Chabaka will give UMG both scale and opportunity ‘especially when combined with UMG’s world-leading global platform.’

Boulos added, “Chabaka is a unique collection of visionary leaders, artists, and labels. I am particularly pleased that Ala’a Makki and his team will join us and drive the next chapter of Chabaka’s success as part of the UMG family.”

Ala’a Makki also spoke about the tie-up and the steady growth in MENA’s music markets. “These are exciting times for the region, and we are thrilled to announce the partnership between Chabaka and UMG.”

Tarek Makki, cofounder Chabaka, said, “With UMG’s global platform, expertise, network, and Chabaka’s deep-rooted local experience and presence, we’re all set to bring an extraordinary and unique offering to the market.”

The acquisition marks Universal Music Group’s second major venture in the MENA Region.

In 2021, UMG paired with entrepreneur Wassim Slaiby to launch Universal Arabic Music. Back then, UMG stated that it aimed to ‘create new opportunities to advance Arabic music and culture with global partners, platforms, and brands.’

In a bid to achieve that goal, UMG also promoted Frédéric Voillemot to CFO and EVP of Business Development for Africa, the Middle East, and Asia.

The music industry within the MENA region has been attracting heightened international interest.

Alongside UMG’s 2021 debut of Universal Arabic Music, other major labels also dove into the region. Warner Music invested millions in Rotana Music, acquired Dubai-based distributor Qanawat Music, and launched Warner Music Israel. Meanwhile, Sony Music announced a talent-focused exclusive partnership with Egyptian production and artist management company, Craft Media.

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Mick Jagger and Keith Richards Move to Dismiss ‘Living in a Ghost Town’ Lawsuit https://www.digitalmusicnews.com/2023/07/05/exclusive-mick-jagger-and-keith-richards-lawsuit/ Wed, 05 Jul 2023 13:31:05 +0000 https://www.digitalmusicnews.com/?p=244858 The Rolling Stones have filed a 'Motion to Dismiss' the copyright infringement lawsuit by Spanish songwriter Sergio Garcia Fernandez.

Screengrab of the official YouTube video of The Rolling Stones’ 2020 track “Living in a Ghost Town”

The Rolling Stones have filed a ‘Motion to Dismiss’ the copyright infringement lawsuit by Spanish songwriter Sergio Garcia Fernandez. The legal filing outlines several reasons for dismissal, including Plaintiff’s choice of improper venue, failure to state a claim, and lack of personal jurisdiction over a Europe-based rights management company.

In March, Spanish songwriter Sergio Garcia Fernandez filed a copyright infringement lawsuit in a Louisiana federal court. Fernandez, professionally known as ‘Angelslang’ claimed that ‘recognizable and key protected elements’ from his songs “So Sorry” (2006) and “Seed of God” (2007) appear in The Rolling Stones’ track “Living in a Ghost Town” (2020). Fernandez demanded a jury trial against Defendants Mick Jagger, Keith Richards, UMG INC., BMG Rights Management LLC, and Promopub B.V.

Now, DMN has obtained a legal filing submitted late last week by the attorneys of Mick Jagger and Keith Richards. Dated June 30th, the document lists several reasons why Judge Eldon E. Fallon should dismiss the copyright infringement lawsuit in the Eastern District of Louisiana court.

Within the court filing, The Rolling Stones declare, “Plaintiff’s complaint is replete with deficiencies regarding jurisdiction, venue, and forum that warrant dismissal.”

“Fernandez’s lawsuit claims that in 2013, he allegedly shared a CD containing the non-US works written six or seven years earlier with an unnamed immediate family member of Mr. Jagger. The Defendants dispute the allegations of copyright infringement made by Plaintiff.”

The 26-page court document also notes that Fernandez is a Spanish citizen suing Defendants over alleged infringement of non-US works (compositions and recordings). “[Works which] weren’t authored in the US, or registered with the US copyright office.”

“The court should dismiss Plaintiff’s First Amended Complaint (FAC) because it fails to adequately plead a copyright infringement claim. Plaintiff has failed to allege an exemption to the copyright precondition for his non-US works. This warrants dismissal of the FAC in its entirety.”

Other reasons listed as grounds to dismiss include lack of jurisdiction. The filing explains, “The court cannot exercise personal jurisdiction over Defendant Promopub B.V.”

“Defendant Promopub is a Dutch private limited company with no contacts in the United States. Promopub holds copyrights claims in certain musical compositions authored by Jagger and Richards, collecting and distributing publishing revenue generated by the musical compositions.”

“[Promopub] does not conduct any business in the US. All the books and records relating to such publishing revenue and all of Promopub’s employees are located in the Netherlands.”

The motion to dismiss also questions the Plaintiff’s choice of venue, stating, “Venue in the district is improper as none of the Defendants reside, or may otherwise be found, in this district.”

Fernandez filed the copyright infringement lawsuit in Louisiana, and The Rolling Stones claim that “The only individual with any ties to Louisiana is Plaintiff’s counsel, who is based in New Orleans. The location of his office is not relevant to establishing a local interest or controversy.”

It further adds, “Contrary to the allegations in the FAC, Mr. Jagger and Mr. Richards are both UK citizens. Mr. Jagger is not domiciled in the US, and Mr. Richards is domiciled in Connecticut. The Rolling Stones have not performed in Louisiana since a performance in the Superdome on their worldwide tour in 2019. Previously, they performed in this district only three other times, in 1978, 1981, and 1984. They have not directed any of their activities purposefully or specifically towards this district.”

The rock band also added, “The Accused Work was written and recorded outside of this district, and neither of these Defendants directed any contacts concerning the Accused Work to this district.”

“The more appropriate forum for this case would be a court in Europe because Plaintiff, a Spanish citizen, and domiciliary, asserts infringement of his non-U.S. works against Defendants who all have a presence in Europe. In short, both the private and public interest factors weigh in favor of dismissal.”

“Although each of the above reasons warrant dismissal, should the court not dismiss the FAC, the court should transfer the venue to the Southern District of New York. It was improper for Plaintiff to bring this case in this district when he could have brought it in the Southern District of New York.”

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Schneider Retreats From YouTube Content ID Court Battle After Failing to Secure Class Action Status https://www.digitalmusicnews.com/2023/06/13/schneider-youtube-lawsuit-dismissed/ Tue, 13 Jun 2023 16:21:36 +0000 https://www.digitalmusicnews.com/?p=241195 YouTube and Schneider said in a joint court filing that they agreed to end the Content ID lawsuit 'with prejudice'

Photo Credit: Javier Miranda

Just a day before the June 13th trial for the now-infamous YouTube Content ID lawsuit, Grammy-winning composer Maria Schneider has officially stepped back. After failing to secure the much-talked-about class-action status, the war is over and the case has been voluntarily dismissed.

In a strange turn of events, YouTube and Schneider said in a joint court filing that they agreed to end the case ‘with prejudice,’ which means that the case cannot be refiled.

Grammy-winning jazz composer Maria Schneider had sued YouTube back in 2020, accusing the leading video-sharing platform of structurally permitting infringement of some of her works. Schneider’s lawsuit claimed that YouTube ‘limits access to Content ID’ for ‘ordinary’ copyright owners like her, allegedly enabling piracy and events of repeat infringement. Meanwhile, production houses and labels can access the system’s advanced features — safeguarding their content from infringement.

YouTube had vehemently denied the allegations, saying it goes ‘above and beyond’ to protect copyrights, adding that its copyright management tools are so powerful they ‘must be used with care.’

On major content-sharing platforms, savvy creators typically prioritize monetization over the accumulation of users and fans. With a focus on this aspect, companies like Identifyy (owned by HAAWK) are assisting creators in successfully matching and monetizing their content on sub-platforms like Facebook, Instagram, and YouTube — all by leveraging the capabilities of Content ID.

While Schneider’s lawsuit initially appeared to many as the turning point that would forever alter the copyright infringement landscape — and YouTube — the climax has been quite the buzzkill.

During the last few weeks, a series of smaller wins for YouTube quickly turned the tables. The death blow to Schneider’s lawsuit occurred last month when Judge Donato denied the plaintiffs’ request for class action status, noting that “Every copyright claim is subject to defenses that require their own individualized inquiries.”

With the June 13th trial date looming, Schneider’s legal team made another attempt to attain class-action status, appealing to the Ninth Circuit to halt court proceedings while Donato’s ‘erroneous’ ruling was theoretically overturned.

This last-minute leap for class-action certification has spelled suicide for the lawsuit, leading to Schneider retreating from battle.

The joint filing dated June 11th states, ‘Plaintiffs Maria Schneider, Uniglobe Entertainment, LLC, and AST Publishing, LTD, and Defendants YouTube, LLC and Google LLC, hereby stipulate to the dismissal of the action. All claims that Plaintiffs raised or could have raised in this action are dismissed WITH PREJUDICE. Each Party will bear its own costs, expenses, and attorneys’ fees.’

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Is the YouTube Content ID Lawsuit Fading Away? Maria Schneider Makes Another Attempt for Class Action Status as Trial Date Looms https://www.digitalmusicnews.com/2023/06/09/schneider-youtube-class-action-lawsuit-appeal/ Fri, 09 Jun 2023 16:31:19 +0000 https://www.digitalmusicnews.com/?p=240715 Schneider Makes Another Attempt For Class Action Status Against YouTube

Photo Credit: Gerd Altmann

The YouTube lawsuit that originally had creators on the edge of their seats is now losing its glamor. Plaintiff Maria Schneider, a Grammy-winning jazz musician, now faces the prospect of trying a case that will do little to move the needle on Content ID.

With mere days until the June 12 trial, Schneider is making one more desperate attempt to certify the case for class action status. Schneider’s legal team has appealed to the Ninth Circuit for case proceedings to be paused until their appeal against Judge Donato’s May ruling is heard.

Maria Schneider’s Content ID lawsuit came into the spotlight last year, appearing to be the savior that could redefine the copyright infringement landscape. But to the despair of many, the case has progressed quite disappointingly. YouTube seems to be emerging unscathed, and creators’ dreams of universal access to Content ID might remain just that — a dream.

When Schneider’s team first requested class-action status, they stated it would include 10,000 — 20,000 claimants. But Judge Ronald Donato ruled that “Copyright claims are poor candidates for class-action treatment.”

Schneider’s legal team believes this ruling was “erroneous” and should be overturned. They are now requesting the Ninth Circuit to halt the upcoming court proceedings until a decision is reached regarding the class action certification.

If the lawsuit proceeds as scheduled on June 12, and the district court’s ruling against class certification is not reversed, Schneider’s lawyers argue that the plaintiffs will be forced to make individual claims. According to them, this will result in significant costs associated with duplicate trials.

Schneider and other plaintiffs argue that YouTube does not adequately assist independent creators in preventing the unauthorized distribution of their content on the platform.

The lawsuit alleges that while YouTube’s Content ID is a sophisticated rights management system, it is only accessible to large copyright-holding companies. Meanwhile, independent creators must manually monitor and manage the unlicensed use of their content. Plaintiffs allege that the manual system provided by YouTube is flawed, implying that the Google-owned company fails to fulfill its obligations under copyright law to prevent infringement of works on its platform.

Unless Schneider’s appeal to the Ninth Circuit comes to fruition, the lawsuit’s original ambition of forcing YouTube to offer universal access to the Content ID management system, seems highly unlikely.

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Musician Maria Schneider Cannot Certify a Class Action Against YouTube, Judge Rules https://www.digitalmusicnews.com/2023/05/23/class-action-maria-schneider-youtube-lawsuit/ Tue, 23 May 2023 16:59:46 +0000 https://www.digitalmusicnews.com/?p=239175 Musician Maria Schneider Cannot Certify a Class Action Against YouTube, Judge Rules

On Monday, YouTube gained a small victory in the ongoing battle against Schneider’s infringement claims. Attorneys for Schneider had urged Judge Donato to let the case proceed as a class action, but Donato ruled, “Copyright claims are poor candidates for class-action treatment.”

In the long-running David vs. Goliath courtroom confrontation, Goliath scored another win. Federal Judge James Donato ruled in favor of YouTube, writing, “Every copyright claim turns upon facts which are particular to that single claim of infringement. Every copyright claim is also subject to defenses that require their own individualized inquiries.”

With a trial date set for June 12, attorneys for Schneider had urged the Judge to let the case proceed as a class action, claiming that the class would include at least 10,000 to 20,000 aggrieved copyright owners. “A class action is the superior method through which YouTube’s participation in, and facilitation of copyright infringement, can be held to account.”

But in Monday’s ruling, Judge Donato said the claims against YouTube would require “highly individualized inquiries into the merits,” adding, “Whether YouTube has a license for a particular work will be a matter of intense inquiry at trial. The answer to this inquiry will depend upon facts and circumstances unique to each work and copyright claimant.”

The now highly-publicized courtroom battle began in July 2020. Grammy-winning composer Maria Schneider had alleged — among other things — that YouTube had denied ‘ordinary’ copyright owners like her full access to Content ID, thereby exposing her works to repeat infringement.

Her lawsuit claimed that YouTube is a ‘known hotbed of copyright piracy,’ and even though it has developed a premier anti-piracy tool, Content ID, the platform denies copyright owners ‘without economic clout’ access to it.

YouTube denied any wrongdoing, claiming it spent ‘over $100 million to pioneer industry-leading copyright management tools’ to prevent piracy. The video-sharing platform argued that access to Content ID is limited because these tools could cause ‘serious harm’ in the wrong hands.

If content is being monetized effectively, savvy artists typically don’t prioritize the acquisition of users. On that front, companies like Identifyy (owned by HAAWK) are focused on helping creators match and monetize their content across Facebook, Instagram, and YouTube through Content ID, irrespective of the specific sub-platform.

The last biggest development in the case occurred in January when Youtube won partial summary judgment against Maria Schneider for 27 of the works that Schneider originally claimed had been infringed upon, citing a lack of evidence.

Although Monday’s order doesn’t conclude the proceedings, the ruling is another twist that tilts the courtroom drama in favor of YouTube. The case will now proceed to trial solely based on copyrights owned by Schneider and two other plaintiffs (Uniglobe Entertainment and AST Publishing). The trial date is set for June 12.

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Assistive vs. Generative AI: What’s the Difference and What Are the Copyright Implications? https://www.digitalmusicnews.com/2023/04/21/assistive-vs-generative-ai-difference/ Fri, 21 Apr 2023 21:04:54 +0000 https://www.digitalmusicnews.com/?p=236745 A sobering chat on AI at CRS (l to r): Rahul Sabnis (CCO iHeart), Sean Peace (Founder & CEO of SongVest), David Boehme (CEO VBO Tickets), Zach Bair (CEO VNUE), Chris McCarty (VP at Pex & Head of RME), and Noah Itman (Chief Revenue Officer, Digital Music News) (Photo Credit: CRS)

A sobering chat on AI at CRS (l to r): Rahul Sabnis (EVP, Chief Creative Officer, iHeartMedia), Sean Peace (Founder & CEO of SongVest), David Boehme (CEO, VBO Tickets), Zach Bair (CEO, VNUE), Chris McMurtry (VP at Pex & Head of RME), and Noah Itman (Chief Revenue Officer, Digital Music News) (Photo Credit: CRS)

The music industry, understandably, is deeply concerned about AI’s impact on creativity — and the jobs and companies that could be eliminated in the process. But take a closer look, and the AI picture is far more complicated, with different use cases, applications, and approaches that could prove beneficial to the business. As the discussions ensue, two very distinct types of AI music creation are coming into focus: Assistive AI and Generative AI.

One of the more interesting nuances coming out of the AI debate in music is the emergence of ‘good’ and ‘evil’ applications and outcomes. It all depends on the individual perspective, but the ‘evil’ might include Generative AI — AI that’s replacing songwriters by writing lyrics from scratch and creating scores of royalty-free music that’s supposedly ‘new.’ On the flip side, Assistive AI is increasingly being cast as a ‘good’ and helpful creative tool.

Regardless of the type, AI-generated content doesn’t exactly appear from thin air. Instead, AI is great at cribbing content from thousands of successful artists and songwriters. Earlier this month, Universal Music Group put its foot down by demanding that DSPs remove Generative AI content drawing from its catalog. Moments later, UMG was putting the squeeze on YouTube, Spotify, TikTok, and others to rip down a viral ‘collaboration’ between Drake and The Weeknd, just one of several Drake-inspired AI songs to surface.

But what is ‘Assistive AI,’ and why is it arguably ‘good’? 

In a nutshell, Assistive AI applications allow enhanced musician creativity and collaboration, including the ability to quickly master songs to perfection. There are also rising applications like AI-powered sync mapping that could potentially bump the value of music IP assets by remonetizing old gems via sync opportunities.

There are early indications that artists are utilizing Assistive AI to augment their creative production processes, with generally positive takeaways.  But Assistive AI is also controversial: for example, finishing a lyric with AI is a creative accelerant. But what was the source material for the eloquent additions that rhymed?

Digital Music News recently delved into the fast-emerging AI discussion by interviewing multiple leading experts in the field at CRS in Nashville. 

DMN’s Noah Itman hosted the packed panel, which led to some thought-provoking perspectives about the bigger price we pay for using AI — and its broader, longer-term implications for the music industry.

While AI offers the magic of ‘creating something from nothing,’ AI also holds the power to put artists out of work. But does AI’s lack of emotion put it at a disadvantage?

Companies like CAA have announced broad-scale agreements with virtual talent, and Itman posed the question of whether a move like that is ethically acceptable. At a certain point, a scary question could emerge: what’s the incentive to continue working with human artists?

Chris McMurtry, VP of Product and Head of RME at PEX, noted that AI could ultimately fail to create music like humans, simply because all of its inputs are the products of human creativity. “A machine will react to what you tell it,” he said.

Zach Blair, CEO of VNUE

Zach Bair, CEO of VNUE

Zach Bair, CEO of VNUE agreed that even though AI is developing faster than anyone expected, “There’s no substitute for humanity and heart that goes into songwriting.”

Of course, there’s only so much that can be outsourced to a machine when discussing an emotional product. But AI’s true capability of interfering in music production processes, and influencing the royalties it generates for millions of artists, is only just beginning.

Recently, Ditto Music surveyed 1,299 independent artists that are actively releasing music in 2023. Surprisingly, the survey showed that 60% of musicians are already using AI to make music. Dig deeper, and the data gets more interesting.

A mere 28.5% said they would never use AI, though the reasons had absolutely nothing to do with not trusting artificial intelligence. In fact, the top two reasons for not using AI were a lack of access to AI tools and a lack of time.

These numbers paint the picture of broader AI adoption, and potentially greater creative output and positive benefits. But the broader AI future remains highly unpredictable.

“Attribution is the biggest challenge,” Rahul Sabnis, CCO at iHeartMedia,

“Attribution is the biggest challenge,” Rahul Sabnis, CCO at iHeartMedia,

Rahul Sabnis, CCO at iHeartMedia, suggests taking cautious steps with AI tools. Even in the past non-AI world, the collective music industry failed to regulate music rights effectively, and it won’t be easy in the AI world. “The [AI] genie’s out of the bottle. I’m very curious how fast this sweeps through, because it’s a wildfire coming that is about to hyper-accelerate the ability for us to do things.”

But if AI is drawing from this vast pool of music and there’s a way to fingerprint those resources, can this pave the way for artists to receive compensation for the music that’s ‘inspiring’ AI? 

According to McMurtry, fingerprinting could be the solution, as it can point to the original rights holder that inspired AI. “Essentially, you can train AI to recognize itself.”

For Assistive AI that augments artists’ skill and expertise, Bair is optimistic that copyright laws will protect artists royalties from getting stolen by AI. “Imperative changes need to take place in our music royalty system.”

While the Assistive AI train is garnering support, Generative AI is rapidly becoming problematic. When AI generates royalty-free music, with no expiry of ownership and an inability to be copywritten, Bair believes compliance gets too complicated.

With Generative AI pumping out royalty-free music in bulk, it becomes challenging to trace it back to true rights holders. “Producers and developers of that original content will have to be compensated in some manner,” Bair argued, “Because there are 100-year old copyright laws at play. At the end of the day, it’s going to have to be a legislative solution, combined with a tech solution.”

It’s also worth noting that Generative AI has its eventual limits. At some point, AI ‘creativity’ starts feeding upon itself, creating a ouroboros of bland output. Sean Peace, founder and CEO of SongVest, says that AI is only as smart as what it has heard. “AI is taking bits and pieces of existing things and mashing them up. But from a legal standpoint, the copyright does get complicated.”

But how does a system compensate the potentially thousands of creators that were sourced by the AI itself to create something ‘new?’

Peace thinks that lawyers will have a field day trying to figure that out. “It’s an interesting conundrum, because AI created it, but humans gave it the input to create it.”

And in case you wanted something more complicated: Peace also believes that in the current climate of lack of regulation and legislation, “The software developer could very well be able to put a claim on the copyright.”

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Soundtrack Loops Teams Up with Cherry Audio for Charitable ‘Humble Bundle’ Initiative https://www.digitalmusicnews.com/2023/04/15/soundtrack-loops-cherry-audio-humble-bundle/ Sat, 15 Apr 2023 15:49:07 +0000 https://www.digitalmusicnews.com/?p=236195 Soundtrack Loops, Cherry Audio power charitable Humble Bundle (Photo Credit: Humble Bundle)

Photo Credit: Humble Bundle

Soundtrack Loops produces royalty-free samples, loops, and music for films, creative artists, beat makers, producers, DJs, and music lovers. The company recently announced a charitable partnership with Cherry Audio to create a donation-focused ‘Humble Bundle’.

Proceeds from the sale of ‘Level Up Music Creators Power Pack’ will go to Music Will (formerly called ‘Kids Who Rock’).

Music Will runs the largest non-profit music program in the U.S. public school system, providing instruction, instruments, and professional training to K-12 and collegiate educators. The platform brings musical instruments and lessons to children that are less fortunate or might not have access to the critical learning tools. Its teachers currently serve over 500,000 students in more than 600 cities and towns across the country.

Soundtrack Loops’ cofounder Jason Donnelly revealed how the partnership developed with Cherry Audio’s Dan Goldstein. Speaking to Digital Music News, Donnelly said, “Together, we made it possible to provide Music Will an outlet to raise funds. It has been inspiring to see where the money is going, and how talented these kids are.”

Cherry Audio offers an extensive catalog of virtual instruments that are inspired by classic synthesizers, with high-end features that suit demanding music productions.

Speaking about Cherry Audio, cofounder of Soundtrack Loops Matthew Yost revealed, “Cherry Audio’s original synth plugin is highly coveted by music producers.” According to Yost, the synth is popular because of its ability to execute a retro or vintage synth that can sound extremely modern.

According to Humble Bundle, ‘Level Up Music Creators Power Pack’ has already raised over $10,000 for Music Will. Level Up is only available until April 26th.

For as little as a dollar, Level Up brings sample sound packs with thousands of loops, a software synth, a software euro rack synth, and Cherry Audio plugins. For $25 or more, buyers can get the complete music production suite with pro-level DAW, virtual synths and instruments, SFX, and over 15,000 loops and samples from soundtrack loops.

The music production suite also includes Cherry Audio’s Mixcraft Recording Studio to record and mix tracks, Memory Mode synthesizer, PS-20 synthesizer, CA2600, Galactic Reverb, and Voltage Modular Ignite.

Producers get access to loops, vocals, one-shots, and MIDI for a variety of genres, types, styles and formats. They can also select their desired format before downloading, and opt for a 9-item bundle, 22-item bundle, or the top-tier 47-item bundle.

This isn’t the first time Soundtrack Loops has formed a charitable partnership for Humble Bundle, and Yost divulges the secret behind keeping sound packs interesting.

“Every time we’ve had these Humble Bundles for charity, we are always adding new stuff, we’re not regurgitating the same old content. The Level Up Humble Bundle contains state-of-the-art, high-definition sound packs, and is everything producers need for original music productions.”

If you’re planning to attend NAMM, Jason and Matty from Soundtrack Loops will be privately showing off their new VST, Double Scoop. They can be reached at jasond@soundtrackloops.com and matty@soundtrackloops.com.

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Roughly 60,000 ‘Professionally Aspiring Artists’ Generated $10,000 Or More In 2022 From Spotify (According to Spotify) https://www.digitalmusicnews.com/2023/03/09/spotify-royalty-data-2022/ Thu, 09 Mar 2023 19:37:50 +0000 https://www.digitalmusicnews.com/?p=233486  

Spotify data reveals that 29% of serious artists generated $10,000 or more in royalties in 2022. (Photo Credit: Spotify)

(Photo Credit: Spotify)

Artist numbers, rights holders’ payouts, and royalties — depending on your perspective, Spotify’s latest data dump could paint a promising picture for the future of streaming. The company’s self-reported royalty data for 2022 reveals who’s making money on Spotify (and who’s not).

So who’s actually squeaking out a living on Spotify? Out of 9 million artist profiles, Spotify says only an estimated 200,000 are ‘properly leveraging streaming as part of their career.’ These ‘professional or professionally aspiring artists’ have released at least 10 tracks, average a minimum of 10,000 monthly listeners, and conducted a commercial activity outside of streaming during 2022.

Spotify data reveals that just over a quarter (29%) of these 200,000 — roughly 60,000 serious artists — generated $10,000 or more in Spotify revenue in 2022. That’s either good or bad, depending on the perspective and subsequent number-crunching.

For Spotify, the analysis starts with an important working assumption. The streaming giant says it accounted for over 20% of global recorded music revenue in 2022— up from less than 15% in 2017. Also according to Spotify, the platform’s all-time payouts to music rights holders is approaching $40 Billion in recording and publishing royalties.

Spotify believes that during the last two decades, streaming has transformed the dynamic music ecosystem. With low barriers to entry, it has drawn passionate new musicians and creators from all over the world. Spotify’s report on its own royalty data also reveals that in 2022, only 12% of Spotify’s US streams were credited to the top 50 artists. Stats like these place the spotlight on how music industry revenue is reaching more than just mega artists and creators.

Spotify data also reveals that in 2022, a quarter of artists who generated over $10K from Spotify were self-distributed, and 35% reside in countries outside the top-ten music markets.

The number of artists generating over $100,000 per year grew 135% from 2017 to 2022. Moreover, artists reaching milestone annual-revenue levels of $10K, $100K, and 1 million, have more than doubled during the last five years.

With an ever-growing number of listeners, Spotify reports that in total, 913,000 songs have crossed the million-stream mark. In 2022 alone, 281,000 songs reached this milestone, with almost 350 songs already crossing the billion-stream mark by the end of last year.

Music catalogs also appear to have become ‘more valuable than ever.’ Spotify says catalogs ‘can still generate healthy revenues year after year.’

The company spotlights catalog musicians as ‘heritage artists,’ defined as an artist that averages more than 500,000 monthly listeners, with 80% of streams from tracks that are more than 5 years old. This exclusive group comprises 3400 artists that generated $433,000 from Spotify alone in 2022. Spotify estimates that  these heritage artists made well over $1 million in revenue across all streaming services.

With this powerful revenue-generating capability, the streaming giant is calling catalogs ‘a signal of optimism for the future value of music.’

Spotify’s royalty data is painting a pretty picture for the future of streaming and the overall music landscape, and the streaming giant says, ‘It expects growth rates shown on this site to continue.’

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German Music Industry Annual Revenues Cross the 2 Billion Euro Mark for the First Time in Two Decades https://www.digitalmusicnews.com/2023/03/02/german-music-industry-crosses-2-billion-euros/ Thu, 02 Mar 2023 19:28:52 +0000 https://www.digitalmusicnews.com/?p=232920 BVMI reports that the German Music industry generated over 2 billion euros in 2022

Photo Credit: BVMI

BVMI revealed that the German music industry generated €2.07 billion in 2022. This is not the first time the German music industry has hit the €2 billion mark — though it’s been a while.

Back in 2002, the industry made €2.21 billion, but two decades down the line, the breakdown of revenue source is completely different. According to a just-published BVMI (Bundesverband Musikindustrie) report, the €2.07 billion includes proceeds from streaming, downloads, and sales of CDs and vinyl LPs. However, 80.3% of this revenue is credited to streaming and downloading, with a mere 19.7% generated through physical music sales (mostly CDs and vinyl LPs).

BVMI is a globally recognized music organization representing over 85% of music consumption in Germany.

Germany is the world’s third-largest music market, and the €2.07 billion earnings represent a 6.1% growth in its recorded music market.

CEO of the BVMI, Dr. Florian Drücke, spoke about the streaming segment growth, saying, “An increase of 6.1% means growth for the fourth year in a row. The fact that the industry has passed the €2-billion mark for the first time in two decades is good news of far more than symbolic value. Looking at streaming, it will be exciting to see how the price hikes from the early providers we’ve seen recently will now play out in the broader market and also how short form videos will be monetized even more.”

 

The strongest market segment was audio streaming, accounting for a whopping 73.3% of total industry revenue. This represents a 14% increase from 2021.

CD sales were the second-biggest source of revenue, with a market share of 12.9%. Vinyl recorded a 6% share of sales, while downloads contributed a mere 2.2%.

Overall, digital revenue increased by 11.7% in 2022, while the physical business declined by 11.9%.

Although vinyl sales witnessed a 5.1% growth in 2022, this pales in comparison to the 20.1% growth reported in 2021. Drücke says that data has continuously placed vinyl records as a favorite among young people, adding, “From the summer of 2023, the culture pass could have a stimulating effect, both for fans and for the industry.”

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Utopia Music Sells ROSTR Back to Its Founders https://www.digitalmusicnews.com/2023/02/09/utopia-sells-rostr-back-to-founders/ Thu, 09 Feb 2023 18:03:14 +0000 https://www.digitalmusicnews.com/?p=231296 Utopia Music sells ROSTR back to its founders

Photo Credit: Utopia Music

Just one year after acquiring free-to-use music industry directory ROSTR, Utopia Music has sold it back to the company’s original founders.

During 2021 and 2022, Swiss Fintech company Utopia Music grew significantly via several back-to-back acquisitions, including music-centric finance platform Lyric Financial, data analytics platform ForTunes, music distributor Proper Music, artist services business Absolute, and music publisher and royalty admin service Sentric Music. During this acquisition spree, Utopia had also acquired ROSTR — a California-based, free-to-use music industry directory and data platform — in December 2021 ‘to strengthen its direct offering towards creators.’

Following Utopia’s recent downsizing and executive rejig, it has sold ROSTR back to its founders and says it’s ‘now focusing on serving creators through third parties via its B2B offerings.’

Speaking about Utopia and ROSTR’s new paths, Mattias Hjelmstedt, Executive Chairman and Founder of Utopia Music, said, ‘Utopia and ROSTR came together with a shared mission of making a better world for music, although we’ll be pursuing this mission on separate paths, we know ROSTR is an invaluable resource for the music industry.’

Utopia Music sells ROSTR back to its founders

Photo Credit: ROSTR

ROSTR is now an independent company owned by founders Mark Williamson and Adam Watson, both former Spotify Execs.

Mark Williamson, CEO and Cofounder of ROSTR, spoke about the reacquisition, saying, “When we were given the opportunity to reacquire ROSTR, we had to take it; we have unfinished business helping to build a more connected entertainment industry.”

The company maps the largest database of artist teams, including hundreds of thousands of relationships between artists, managers, agents, labels, and publishers.

Utopia is directing its focus on new horizons with strategic reorganization into two divisions, Music Services and Royalty Platform.

Utopia’s Royalty Platform is dedicated to building and scaling financial infrastructure and services for the music industry. This newly-minted focus of Utopia aims to enable accurate and efficient capture and processing of royalties.

“Our Utopian vision is that the music industry can fully monetize the use of music in all its forms and continue to grow as a result,’ said Hjelmstedt. ‘We’re working hard to make this a reality by focusing our efforts on building financial infrastructure and B2B services for the music industry to process and pay out royalties quickly and accurately.”

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Musicians Have Sold Over $100 Million of Merch and Music Via Bandzoogle-Powered Websites https://www.digitalmusicnews.com/2023/01/17/bandzoogle-100-million/ Tue, 17 Jan 2023 14:00:51 +0000 https://www.digitalmusicnews.com/?p=228670 Bandzoogle members surpass $100M in commission-free sales (photo credit: Bandzoogle)

Allowing artists to run 100% commission-free stores ‘on their own terms,’ Bandzoogle announced that its members have now generated over $100 million in merch and music revenue. Powering over 60,000 websites, the all-in-one platform provides the tools musicians need to build, manage, and promote their music website.

The following was created in collaboration with Bandzoogle, a company DMN is proud to be partnered with.

Probably Bandzoogle’s biggest differentiating feature: artists keep 100% of their revenue from the sale of music, merch, and tickets.

Bandzoogle CEO Stacey Bedford spoke to Digital Music News about the $100 million revenue milestone, saying, “We’re so proud that our members have reached such an incredible milestone, especially since all of that money went directly to them.”

The music website platform proudly claims that they ‘have never taken a commission from sales, helping musicians make more money from their music.’

Highlighting the importance of merch sales for musicians, Bedford also revealed that 75% of the $100 million revenue was generated via merchandise alone.

Bandzoogle launched its first eCommerce feature for musicians in 2006, but the company reported that over 50% of the $100 million revenue was generated in the last 5 years alone. This is because musicians now want to build more personalized experiences for fans that love their music, and understand the pros associated with direct-to-fan marketing and sales. These pros include more insights of — and control over — fan data.

Alongside the sale of music, merch, and tickets, Bandzoogle also offers a growing list of built-in eCommerce tools and features.

The company launched smart links and landing pages this year, and Bedford spoke passionately about providing more options to members, saying, “We’re always looking to improve our features for musicians, and having robust eCommerce options is at the top of the list.”

In 2021, Bandzoogle also integrated on-demand printing service Printful into the platform, and launched new bundling and upsell tools for artists. According to the company, Bandzoogle’s top 50 sellers in 2022 generated over 70% of their revenue selling merchandise through the platform.

Bandzoogle’s all-in-one offering includes fully customizable website design, a commission-free store to sell music, merch, and tickets, a built-in mailing list tool, detailed fan data, integrations with social networks, and more.

Monthly subscription plans start at $8.29, which include a custom domain. Artists can try Bandzoogle for free.

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What Financial Meltdown? BMG Is Potentially Splurging Another $1 Billion on Song Acquisitions In 2022 — And Scooping Deals Others Have Abandoned https://www.digitalmusicnews.com/2022/07/24/bmg-song-acquisitions-2022/ Mon, 25 Jul 2022 02:27:53 +0000 https://www.digitalmusicnews.com/?p=216950 Photo Credit: BMG

Photo Credit: BMG

BMG’s chief executive Hartwig Masuch recently spoke about BMG’s billion-dollar war chest, a herculean acquisition spree, and why the quaking economic picture doesn’t scare BMG.

A recent report in the Financial Times (subscription-only) looked into BMG’s impressive double-down on acquisition; it offers an insider view from BMG’s chief executive – who’s suddenly chest-thumping about all the cash his company has to scoop up lucrative songbooks that are still on the market.

Maybe that’s a good posture, or maybe it’s not. But tapping the brakes doesn’t seem like an option here.

In 2021, BMG Music struck a deal with KKR—a renowned financial investment giant in New York—to jointly acquire songbooks with a budget of $1 billion. There’s apparently still plenty of cash in that account, and with an estimated additional personal account of €450 million to spend on music assets, BMG is packing.

When British rock band Pink Floyd’s catalog came to auction, some big music names queued up. However, unconfirmed reports hinted that BMG had reached the advanced acquisition stage.

Does that mean BMG might announce rights to Pink Floyd’s songbook? For reference, Pink Floyd’s catalog has a rumored price floor of $500 million, placing them in a league that a small number of artists have crossed. This price-pinnacle reportedly met Springsteen in 2021 when Sony Music bought the entire catalog for $500 million. Even Sting had cashed in a relatively ‘low’ price of $300 million (reportedly) when Universal Music Publishing Group snagged his music IP earlier this year.

The past few years have witnessed an urgent frenzy to purchase music and recording rights. London-based Hipgnosis — perhaps the most high-profile music IP investment and song management company in the game — had famously spent over $2.2 billion on catalogs by the 2021 fiscal year-end and reportedly a considerable sum since. Now, for obvious reasons, that frenzy is cooling down.

The numbers show that BMG now stands among a limited number of mega-investors currently on the market for recording rights. With interest rates rapidly rising, smaller players appear to be scaling back on music IP purchases.

So what exactly triggered this ‘diminishing demand’ for music catalogs?

Four months ago, as post-Covid inflation started raging and the Federal Reserve quickly raised US interest rates, the resulting economic breeze gave investors a whiplash. Toss in a scary stock market plunge and multi-billion-dollar  crypto wipeout, and cash splurging calmed down. BMG rivals began “letting go of deals due to cold feet,” according to Masuch, and BMG used this opening to launch the full scale of its hunt.

According to Masuch, “suddenly, people get a little cautious” in this current economic climate.

He compared recent times to the post-financial crisis of 2010 when investors began fearing the future and profitability of the music industry. Now, as concerns around an impending US recession grip the nation in a headlock, investors are wary of pouring money into music IPs.

But with record-low interest rates during the last few years, and streaming platforms breathing new life into the music industry, some mega-investors have been redefining music as a mainstream financial asset. BMG’s Masuch even compared it to oil or gold, calling music an “absolutely must-have asset in a broader portfolio.”

Explaining the extent of investors’ cold feet, Masuch added, “We execute, every week right now, a deal that already was tied down by one of the investment vehicles — because suddenly they’re not able to execute.”

With anxious investors turning their backs to music, Masuch explained how more prominent labels like BMG, Universal, Sony, and Warner have an advantage: the infrastructure and expertise required to ensure that music catalogs can extract the most money.

BMG’s plan to devour rights to major music catalogs is on a fast track. On July 20th, BMG acquired the rights of French musician Jean-Michel Jarre—who has sold over 85 million albums. But this deal marks BMG’s second major acquisition this week. On July 19th, BMG also bought the music interests of Scottish rock band Simple Minds.

During this strategic–and somewhat steroidal–acquisition spree, BMG revenue is sailing high. Compared to 2021’s €663 million in revenue, the Bertelsmann-owned company has noted a 25% spike in just the first five months of 2022. This ‘growth spurt’ can also be an added vehicle that drives BMG’s acquisition game.

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Ukrainian Couple Gets Stiffed by Ticketmaster After Spending €447 on Coldplay Tickets https://www.digitalmusicnews.com/2022/07/22/coldplay-tickets-ukrainian-couple-ticketmaster/ Sat, 23 Jul 2022 00:34:13 +0000 https://www.digitalmusicnews.com/?p=216932 Yevhenii Zhmud and his wife, Anastasia, never made it to their dream Coldplay concert in Berlin (photo: Yevhenii Zhmud)

Yevhenii Zhmud and his wife, Anastasia, never made it to their dream Coldplay concert in Berlin (photo: Yevhenii Zhmud)

A Ukrainian couple hit by war have been repeatedly reaching out to Ticketmaster, Live Nation, and even Coldplay for a refund after the crisis left them unable to make it to their dream concert. Nobody responded.

When Anastasia Zhmud from Odessa, Ukraine, purchased tickets to see Coldplay perform in Berlin, she was eagerly awaiting fulfilling a lifelong dream — seeing her favorite band playing live in concert.

After purchasing two tickets for herself and her husband, Yevhenii Zhmud, on January 5th, and spending a total of €446.90 (including service charges), the unthinkable happened. Russian forces invaded Ukraine, making it impossible for the couple to make it to Coldplay’s Music of the Spheres World Tour concert in Germany.

With political turmoil and economic meltdown running rife in Ukraine, Anastasia contacted Ticketmaster and Live Nation Entertainment requesting that the tickets be refunded or resold — and communicated a dire need for the funds to survive the crisis in their country.

“My wife has been in love with Coldplay since childhood, and for the New Year, we bought tickets for the concert in Berlin on July 13th,” Yevhenii told DMN. “But it was hard to get to the concert — today it’s completely unrealistic.”

“We didn’t want the tickets to disappear, and we knew it was better to let someone else go. Plus, we really needed the money from the tickets.”

According to emails shared with Digital Music News, it appears that Anastasia’s correspondence to Ticketmaster and Live Nation began in June, with three weeks to go for the Coldplay concert. During this time, Anastasia and her husband anxiously awaited the resale of their tickets and the much-needed refund, but received no response.

Ticketmaster is a subsidiary of Live Nation Entertainment. Earlier this year, CEO and President of Live Nation, Michael Rapino, condemned the Russian invasion. The company became one of the first music giants to support sanctions imposed on Russia.

According to a statement issued to media on March 2nd, 2022, the live music company said, “Live Nation joins the world in strongly condemning Russia’s invasion of Ukraine. We will not promote shows in Russia, and we will not do business with Russia. We’re in the process of reviewing our vendors so we can cease work with any and all Russian-based suppliers.”

Live Nation’s strong condemnation of the Russian invasion suggests that the company would provide assistance to the Ukrainian couple—making an exception and refunding the war-hit couple’s Coldplay tickets. But despite endless email requests and calls, the couple didn’t receive even one response.

A receipt of the Zhmud's purchase of two Coldplay tickets.

A receipt of the Zhmud’s purchase of two Coldplay tickets.

After her repeated emails and calls to Live Nation and Ticketmaster, Anastasiia tried to contact technical support on the website, but to no avail. Even when she reached out to Live Nation via Instagram, no representative responded.

On July 12th, after once again sending an Instagram DM to Live Nation, Anastasiia received an automated email. This email listed the contact details for Live Nation, which led to another dead end.

Earlier this month, Digital Music News reached out to a Live Nation representative for comment, requesting an update on the couple’s ticket refund request. After our second attempt, the representative agreed to look into the matter; more than a week after that exchange, neither Anastasia nor Digital Music News have received a response.

Anastasia even took it upon herself to reach out to Coldplay regarding the matter — without success.

The band simply told her to contact the place where she purchased the tickets – i.e., Ticketmaster.

Coldplay has sold more than 4 million tickets for its current Music of the Spheres World Tour. Last month, the band became one of only 11 acts to earn more than $1 billion in career touring receipts, according to a tally compiled by Billboard.

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iHeartRadio Will Power Vinfast Electric Vehicle Models in the US https://www.digitalmusicnews.com/2022/07/21/iheartradio-vinfast/ Fri, 22 Jul 2022 05:41:32 +0000 https://www.digitalmusicnews.com/?p=216878 Interior of the Vinfast VF9 (Photo: Vinfast)

Interior of the Vinfast VF9 (Photo: Vinfast)

Vietnam’s leading manufacturer of automobiles Vinfast launched its global EV brand in November 2021. Their VF 8 and VF 9 electric crossovers will integrate iHeartRadio into the infotainment screen.

iHeartRadio currently offers thousands of live radio stations, podcasts, and streaming of music playlists. Speaking to Digital Music News, a representative of Vinfast said, “VinFast and iHeartRadio are combining forces to include the iHeartRadio app in every VF 8 and VF 9 sold in the US.”

This Vinfast-iHeartRadio partnership comes weeks after NYIAS 2022 (the New York International Auto Show), where the automaker had announced a partnership with Amazon Alexa for their infotainment console.

While addressing that partnership, Vinfast deputy CEO of product development Franck Euvrard said, “Our focus is to connect intelligence globally and collaborate with world-leading partners to provide customers with the best products and services.”

This recent partnership with iHeartRadio appears to be another strategic step in that direction. Vinfast’s infotainment system reportedly integrates a development process that allows Vinfast to upgrade offerings with intuitive features and services throughout the EV’s lifecycle.

This appears like a sensible move, considering Vinfast is entering a highly competitive, high-volume, yet price-conscious market. In the US and markets worldwide, car manufacturers are racing to deliver electric vehicles into the market. Spiking oil prices and stepped-up environmental concerns are helping to buoy the trend and broadening electric-power infrastructure.

Hong Sang Bae, CTO at Vinfast, spoke about how their development process allows the company to offer scalability and “to carry out our mission to offer one of the best intelligent mobility experiences to our customers.”

On July 14th, Vinfast unveiled six California showrooms, plus dealerships in Santa Monica and Commerce, with the remaining four showrooms located in Berkeley, San Mateo, San Diego, and Corte Madera. Eventually, Vinfast plans to have 30 of these across the state.

The company plans to launch a line of five electric vehicles. According to Forbes, three of these will reach the US market by mid-2023.

A groundbreaking event for Vinfast’s first North American plant will take place in Chatham County, North California, by the end of 2022. Reportedly, the first production phase has a budget of $2 billion.

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Scaling UTA—Private Equity Firm EQT Invests to Become Second-Largest Shareholder https://www.digitalmusicnews.com/2022/07/20/uta-eqt-investment-united-talent-agency/ Wed, 20 Jul 2022 17:26:24 +0000 https://www.digitalmusicnews.com/?p=216668 Photo: United Talent Agency (UTA)

Photo: United Talent Agency (UTA)

A victory in its aim to scale, UTA CEO Jeremy Zimmer announced EQT’s investment yesterday—a move he claimed: “would help us drive growth while protecting our culture.”

As one of the most powerful talent agencies in the entertainment world, UTA boasts an impressive roster of the most talented actors, musicians, athletes, gamers, literary artists, and influencers. With clientele that includes Johnny Depp, Harrison Ford, Owen Wilson, and Susan Sarandon, the agency represents, collaborates for content production, acts as an advisory, and tackles marketing for the world’s leading brands.

CEO Zimmer said the influx of EQT cash represents “an artist-first approach and growth trajectory, and will help fuel the next phase of investments in talent, innovation, and international expansion.” Zimmer called EQT “the perfect partner for UTA’s next phase of growth.”

Divulging criteria for EQT’s interest, Kasper Knokgaard, EQT partner and Global Head of the Services Sector Team, said, “EQT invests in industry-leading platforms that are well-situated for sustained growth and align with our values.” Knokgaard also emphasized they know where EQT can create significant advancement and that “UTA checks all the boxes.”

UTA leadership will still hold controlling stakes, with EQT’s share coming from Investcorp, an international investment management company.

This deal makes EQT the second-largest shareholder in UTA, and achieves this mark by seizing not just Investcorp’s minority share but also purchasing stakes from other existing shareholders.

The UTA-EQT deal will close by the end of this month. For now, financial terms remain under wraps.

It’s important to note that UTA has benefited tremendously from the Investcorp partnership. Since Investcorp bought minority UTA stakes in 2018 with some institutional co-investors, the agency tripled its operating earnings EBITDA, all via organic growth and fierce acquisition moves.

UTA employee count is now nearly 1900, doubling during the last four years. In its strategic move to scale, UTA also acquired Digital Brand Architects, KLUTCH Sports Group, an advisory firm MediaLink, boutique agency The Curtis Brown Group, and Media Hound—a data analytics powerhouse.

These muscle moves allowed UTA to spread its wings into sports representation, influencer management, and brand consulting.

Speaking about EQT’s partnership with UTA, Head of Private equity Investcorp, Dave Tayeh, said, “We are proud to have been part of UTA’s consistent innovation and substantial growth over the past four years; and we look forward to their continued success.”

Zimmer also acknowledged Investcorp’s role in UTA’s progress over the years. “[Investcorp] have supported our growth in every way and were a thoughtful and steady hand as we navigated the pandemic. I’m grateful to them and look forward to achieving continued success in future partnerships.”

Talent agencies have recently dived headfirst into leveraging private equity cash to scale operations.

Last month, Nashville-based CAA acquired ICM Partners for $750 million, while California big-shot WME went public last year after seizing a similar private equity investment.

In a battle to see how big they can get, agency ambition for victory emerges from the entertainment world’s rapid flow onto the digital realm. Entertainment giants have invested heavily in direct-to-streaming moves, and discovering balance in subscriptions vs. other business models.

This entertainment evolution has stimulated a robust demand for exceptional-quality content and extraordinary creative talent. As a result, agencies like UTA are on a mission to progress rapidly and scale up—claiming top-shelf talent to become the best-in-class representation and production platform. Private equity cash plays the role of both savior and fuel to realize this ambition.

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Is BTS Breaking Up or Not? Member J-Hope Says They “Didn’t Mean It” After All https://www.digitalmusicnews.com/2022/07/19/is-bts-breaking-up/ Tue, 19 Jul 2022 18:42:49 +0000 https://www.digitalmusicnews.com/?p=216560

After a decade-long run, BTS announced plans to take a break and pivot to the second chapter of their respective careers—solo albums. But is BTS really breaking up? In a recent interview — and latest walk back — band member J-Hope said the band “are definitely not on hiatus.”

Universal Music’s Geffen Records were to release BTS members’ solo albums after the members had clarified that “BTS will become stronger that way.” But now, BTS may have ‘rethought’ the decision to break up.

After news of the K-Pop band’s breakup sent shockwaves around the world, BTS’ management company and agency Hybe suffered a massive fall in market cap—nearly $2 billion. That was a crushing blow, and exposed a serious lack of talent diversification at Hybe. But events that followed appear to have changed the trajectory and implications of BTS’ decision.

Now, it appears that the Seoul-headquartered Hybe has implemented some damage control by claiming that the band’s hiatus news was “taken out of context” and only spurred “unnecessary drama and misunderstandings.”

After Hybe’s market-cap dip, Hybe and Disney announced a partnership, which included “two exclusive series featuring BTS” — a BTS special and a show starring member V.

BTS’ now-infamous hiatus announcement also followed reports that members of the band were duty-bound to serve in the South Korean military. This service is a mandatory requirement for all Korean male before a certain age, and it isn’t clear whether the musicians would receive a waiver due to their star status and GDP contribution.

It’s worth noting that mandatory military service was once a requirement in the US — back in 1958, Elvis Presley had to serve in the military despite being a superstar icon. High-flying athletes and entertainers were also forced to serve, regardless of the net losses career-wise.

Within the wobbly BTS world, the Hybe agency market crash, subsequent Disney partnership, and South Korean military service expectation, the unfolding events are now embellished by the latest narrative that the group is not “putting a stop on BTS group projects.”

It appears as if the Kpop sensation is either backtracking on their original decision or didn’t mean it in the first place.

In an interview with Variety, BTS member J-hope sat down to discuss his ‘old-school hip-hop’ solo album Jack In The Box. In the chit-chat, he made clear that the group is “definitely not on hiatus.” According to J-Hope, “there was a little bit of loss in translation as we conveyed that message.”

J-Hope also emphasized BTS’ bolstered future, saying, “we’re on the verge of starting chapter two for BTS—and we will definitely be working on group projects as well as solo projects.” The rapper hoped there was “no misunderstanding about where we are going and what kind of directions we’re taking as a team.”

One can’t help but recall the June 14th FESTA dinner in which BTS first announced this bewildering “hiatus.” Band members had spoken tearfully about their ‘break,’ making clear that it might be a while before the group gathered again in front of cameras.

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80s Band Naked Eyes Is Suing Reservoir Media for $1.8 Million In Copyright Infringement Claim https://www.digitalmusicnews.com/2022/07/19/naked-eyes-reservoir-media-lawsuit/ Tue, 19 Jul 2022 18:04:21 +0000 https://www.digitalmusicnews.com/?p=216540

80s synth-pop band Naked Eyes has filed a lawsuit against Reservoir Media Management for copyright infringement.

According to legal filings reviewed by Digital Music News, the band had sent a notice of termination to Reservoir, ending their rights to all tracks effective May 9th, 2022. According to the lawsuit, Reservoir continued to ignore the termination date and infringed on sound recordings from the group.

Rob Fisher and Peter J. Byrne are the founding members of the synth-pop outfit. The complaint, filed on July 14th, 2022, states, “This action is brought upon the grounds that Reservoir—without any viable or tenable legal grounds for doing so—has stubbornly and willfully refused to comply with Naked Eyes’ Notice of Termination duly served under section 203 of the Copyright Act.”

Naked Eyes is a British new-wave band that rose to the spotlight in the 1980s. Two college friends from Bath, England—Peter Byrne and Rob Fisher—claimed 4 US top 40 singles as a group, including the ultra-successful remake of “Always Something There to Remind Me” and “Promises Promises.” After Rob’s passing in 1999, Pete continued to release solo albums. The lawsuit filed in the US District Court of California lists band member Peter J. Byrne and Rob Fisher’s heir, Graham Fisher, as plaintiffs.

In 1982, Naked Eyes signed a deal involving three full-length albums, multiple singles, and compilations with EMI Records—with rights ultimately acquired after a series of handoffs by Reservoir Media Management in 2019. In the filing that demands a trial by jury, Naked Eyes sued Reservoir for statutory damages of $1.8 million, all gains and profits derived from infringement, and legal costs.

In the complaint, Byrne and Graham state that “Reservoir ignored the effective dates of termination” infringed on a range of recordings.

In the complaint, Byrne and Graham state that “Reservoir ignored the effective dates of termination and has infringed on the following sound recordings: the album entitled ‘Naked Eyes,’ which contains ten recordings” as well as “Pit Stop” and “Time Is Now.”

Effective May 9th, 2022, Naked Eyes claim to retain exclusive rights to reproduce and distribute those sound recordings, phonorecords, interactive streams, and digital downloads through subscription and non-subscription online digital music services. The allegedly infringed works are currently being distributed “via digital media” and “physical phonorecords.”

This lawsuit could culminate into a helpful precedent for artists around the world. Since the enactment of the first Copyright Act in the 1970s, legal agreements arguably contain a tenet allowing a ‘second chance’ to authors (or their heirs) to reclaim copyrights from grants that appeared ‘unwise’ later in their careers. The statute’s purpose was to protect authors from “the unequal bargaining position of authors” because they cannot judge their work’s actual value until the work is published.

Although the Copyright Act potentially gives authors a valuable ‘second chance,’ the precedent set for creators of musical works and sound recordings has been disappointing. When musicians attempt to seize this ‘second chance,’ they typically face resistance.

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‘Elvis’ Biopic Achieves a Feat Reserved for Superheroes — Grosses $100+ Million at the Domestic Box Office https://www.digitalmusicnews.com/2022/07/18/elvis-biopic-gross-100-million/ Mon, 18 Jul 2022 18:23:39 +0000 https://www.digitalmusicnews.com/?p=216434 Elvis (Photo Credit: Warner Bros. Pictures)

Photo Credit: Warner Bros. Pictures

Warner Bros. Pictures’ Elvis just rolled past $100 million at the domestic box office. Exploring Presley’s complicated relationship with his manager Colonel Tom Parker, the biopic captures Elvis Presley’s turbulent rise and fall.

According to the announcement by Jeff Goldstein, President of domestic distribution Warner Bros Pictures, the Baz Luhrmann-directed biopic Elvis has now totaled $170 million worldwide in box office collections. Elvis could very well become the second-highest grossing film of Luhrmann’s career.

Until now, Luhrmann’s most famous movie is The Great Gatsby. Released in 2012, the Oscar-nominated The Great Gatsby netted $355.6 million globally.

For Elvis, it appears that younger audiences born after Elvis’ lifetime are powering the surge. This audience has also done what it does best: created a whirlwind of exciting social media chatter about the biopic.

Engagement on TikTok more than doubled since the release, with 238 million views of content related to Elvis. On Twitter, audiences aged 25-41 present the primary demographic engaged in conversations about the film, which is 47% of the total volume. Younger audiences aged 13-34 represent 25% of the online discussion.

This diverse audience has also triggered chart-topping streaming of Elvis Presley’s digital catalog. With its cross-genre tracks in dance and hip hop, streaming is up by 90%.

Grossing $100+ million at the box office is a milestone usually reserved for superheroes and dinosaur movies. But Elvis seems to have shaken the standard.

While announcing the $100 million milestone, Goldstein said, “We are not only pleased to cross this milestone but truly thrilled to see it happen with a film like ‘Elvis.’ In today’s market and especially in the summer corridor, to see a non-branded IP with an up-and-coming lead create not just box office noise, but also result in a significant spike in other areas is so gratifying, and speaks to the quality of the film on every level.

“With strong playability, positive word of mouth, and cross-generational multiple viewings, we expect ‘Elvis’ to continue to deliver and we congratulate Baz, Austin, and everyone involved in the film and the soundtrack on its ongoing success.”

The Elvis Original Motion Picture Soundtrack remains a chart-topper, with Doja Cat’s ‘Vegas’ currently #7 on the US Spotify chart and #14 on the Billboard streaming chart.

Elvis was undoubtedly an expensive piece of entertainment to create. This Tom Hanks starrer cost $85 million to produce, with tens of millions spent on promotions.

Beating high-profile actors like Ansel Elgort and Miles Teller, a relative newcomer Austin Butler managed to bag the role of Elvis. The story dips into the dynamic of interactions between Elvis and his manager Colonel Tom Parker (played by Tom Hanks)—a rocky relationship that spanned two decades.

The biopic relays events leading up to Presley’s rise to incredible fame and stardom. Within the backdrop of that journey, the film also dives into Elvis’ relationship with Priscilla Presley (played by Olivia DeJonge).

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‘Stranger Things’ Propels ‘Running Up That Hill’ Even Higher — Official YouTube Video Now Rocks 100+ Million Views https://www.digitalmusicnews.com/2022/07/18/running-up-that-hill-kate-bush-youtube-100-million/ Mon, 18 Jul 2022 17:40:37 +0000 https://www.digitalmusicnews.com/?p=216418

After being included in ‘Stranger Things,’ English singer/songwriter Kate Bush is topping US charts and breaking UK chart records. Now, her official 1985 music video is racking up enough YouTube views to match BTS and younger artists—a phenomenal feat by an older artist, especially one that hasn’t released an album since 2011.

The ‘Running Up That Hill’ official music video has attained a massive YouTube milestone—100+ million views. Touted as a remarkable achievement for a 37-year-old song first published on YouTube in January 2011, this 100 million views mark puts Kate Bush in a league with BTS and a few other young artists.

Moreover, 63-year-old Bush’s ‘Running Up That Hill’ is approaching 500 million plays on Spotify and remains #1 on Spotify’s weekly global chart. Earnings for the track are also skyrocketing.

Surprisingly, ‘Running Up That Hill’ isn’t the only Bush song getting some love. This recent popularity is propelling Kate Bush’s other singles into the spotlight. The relatively young audience of ‘Stranger Things’ appears to be exploring Kate’s other tracks, and her 1978 debut single “Wuthering Heights” is now gaining chart momentum. Last month, the song entered US Spotify Viral 100 chart; last week, it was #4 on the US Billboard Hit 100 singles. Even Bush’s 1895 release “Hounds of Love” topped the Billboard Catalog albums ranking this week.

“Running Up That Hill” gave Kate Bush her first US top 10 37 years after it was released. In an interview with Radio 4 last month, Bush admitted, “I never imagined it would be anything like this.”

It’s highly unusual for an old song to re-enter the charts in this fashion. Originally released in 1985, Bush’s track also broke multiple UK chart records by hitting #1. After first debuting 37 years ago at #3 on the charts, Kate Bush has become the oldest artist to top a singles chart in the UK. This is also the longest a song has taken to get to number one since its release, and the event also marks the longest gap between #1 singles—with 44 years elapsed since her ‘Wuthering Heights’ 1978 release.

The ‘Stranger Things’ feature is not the first time “Running Up That Hill” appeared in a show.

In 2019, the song was included in episodes of HBO’s ‘Big Little Lies,’ Showtime’s ‘On Becoming a God in Central Florida,’ and ABC’s ‘How To Get Away with Murder’ along with the 2018 pilot of FX’s ‘Pose.’

With YouTube views continuing to rack up, it’s clear that the Netflix phenomenon “Stranger Things’ has uncovered an old treasure track to the younger audience.

After this newfound popularity, Kate Bush posted a statement on her website saying that the recent development was “really exciting.”

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