Warner Music Adopts SoundCloud’s Fan-Powered Royalties

Warner Music Group has become the first major music label to adopt SoundCloud’s fan-powered royalties payout model. Launched last year, the model is designed around what the music streaming service calls “the fan economy,” enabling artists to engage directly with fans for more control and increased monetization opportunities. The audio distribution platform allows every artist to be paid “based on fan listening behavior on SoundCloud,” with subscription and advertising revenue “distributed among the artists [the fans] listen to, rather than being pooled under the traditional pro-rata model the music industry has been using for over a decade,” explains SoundCloud. Continue reading Warner Music Adopts SoundCloud’s Fan-Powered Royalties

Streaming Now Makes Up 83 Percent of Total Music Revenue

In its year-end report, the Recording Industry Association of America (RIAA) stated that, in the U.S., recorded music revenues grew 9.2 percent to $12.2 billion at estimated retail value, the fifth consecutive year of growth. Paid subscription services, ad-supported on-demand platforms and digital radio added $10.1 billion in revenue, a 13.4 percent jump. Paid subscriptions to on-demand services such as Apple Music and Spotify represented the majority of recorded music revenue, growing 14.6 percent to $7 billion in 2020. Continue reading Streaming Now Makes Up 83 Percent of Total Music Revenue

Twitch Inks Live-Streaming Deal with Indie Music Companies

Amazon-owned Twitch, which now has 17.5 million average daily visitors, responded to the escalating problem of its users being hit with music copyright takedowns. Under pressure by the Recording Industry Association of America (RIAA) and National Music Publishers Association (NMPA), Twitch debuted a beta version of Soundtrack by Twitch, an in-platform music streaming service featuring 1+ million copyright-cleared songs by independent artists that can be used legally and free of charge as background music. Continue reading Twitch Inks Live-Streaming Deal with Indie Music Companies

Audius Music Streamer Faces Copyright Infringement Issues

Startup Audius, which relies on blockchain for its music streaming service, has received kudos from many in the industry that agree with the company’s assessment that “music platforms were at their best when they listened to what artists and fans wanted — not corporations or major labels.” Audius is positioning itself as a competitor to SoundCloud, once known as a hotspot for emerging musicians. But Audius has the same problem found on that service: unlicensed content that the company cannot remove. Continue reading Audius Music Streamer Faces Copyright Infringement Issues

Study: Streaming Music Services Continue Worldwide Growth

According to a new report from MIDiA Research and digital media association DiMA, 2017 marked the third consecutive year of revenue growth for streaming music and subscription services. Worldwide recorded music revenue increased from $16 billion in 2016 to $17.4 billion last year. Streaming revenues reached $7.4 billion, representing 43 percent of all revenue. Meanwhile, legacy music formats — including downloads and physical albums — dropped by $783 million. Streaming music subscriptions experienced significant growth in the U.S., up 63 percent from 2016 to $4 billion in 2017. Continue reading Study: Streaming Music Services Continue Worldwide Growth

Tech Giants Compete in Pursuit of Music Streaming Audiences

Apple, Pandora and Amazon are among those ramping up efforts to differentiate their music services in order to win over subscribers and artists. Second to Spotify’s dominance is Apple Music, which has taken off after an initially bumpy start. Pandora is another major competitor, boasting 74.7 million active listeners of its free music stations, which operate much like traditional radio. SoundCloud reports that it reaches 175 million monthly listeners in more than 190 countries, and Google plans to combine its Google Play Music “All Access” on-demand streaming service with YouTube Red. Continue reading Tech Giants Compete in Pursuit of Music Streaming Audiences

Sony Inks Deal Pioneering Stem Licensing for DJs, Remixers

For years, to create remixes of popular songs, DJs and remixers have used stems — isolated instrument tracks and vocals — but not legally. Now, Nashville-based startup Remix Hits has signed a landmark deal with Sony Music that will allow DJs and other remixers to purchase and download licensed, and therefore legal, stems. Remix Hits, which is also in discussions with Warner Music and Universal Music, has created a hit song stem marketplace. The licensing model includes a revenue sharing plan for rights holders. Continue reading Sony Inks Deal Pioneering Stem Licensing for DJs, Remixers

Spotify Turns to Podcasts to Expand Content, Boost Ad Sales

Spotify has inked an agreement to promote podcasts in its app and on bus ads, in exchange for the hosts of those podcasts publicizing Spotify on social media and during their shows. “Reply All,” “Pod Save America” and “The Bill Simmons Podcast,” which cover a range of topics from sports to politics, are the three podcasts that have signed on. With this agreement, Spotify is experimenting with putting resources into programming other than music. Apple currently is the leader in podcast subscriptions. Continue reading Spotify Turns to Podcasts to Expand Content, Boost Ad Sales

Westergren to Step Down as CEO of Music Service Pandora

Pandora co-founder and CEO Tim Westergren plans to step down from his position running the 17-year-old streaming music pioneer. The company has yet to select a replacement. Earlier this month, satellite company Sirius XM announced it would invest $480 million in the web radio service for a 19 percent stake in the company and three board seats. Despite a user base of 80 million, “Pandora has struggled to generate enough advertising revenue to cover the cost of the free service,” reports Recode. “Meanwhile, music listeners have begun gravitating to the on-demand subscription services of Spotify, Apple and others, which offer ad-free access.” Continue reading Westergren to Step Down as CEO of Music Service Pandora

Pandora Premium Looks to Take On Spotify and Apple Music

Fifteen months after Pandora acquired Rdio’s key assets, the company is launching its anticipated $10-a-month on-demand music service. Pandora Premium, which begins rolling out in the U.S. today, offers access to tens of millions of songs and the ability to save tracks offline. While it still touts the playlisting engine powered by data and people that made its curation approach famous, the service is aiming to distinguish itself from other offerings such as Spotify, Apple Music and SoundCloud by focusing on personalization features, a new design and ease-of-use. Continue reading Pandora Premium Looks to Take On Spotify and Apple Music

Copyright Holders Demand DMCA Update, Addition of Filtering

According to the Recording Industry Association of America and 14 other groups, the 19-year-old Digital Millennium Copyright Act (DMCA) needs to be updated. They’re telling the U.S. Copyright Office that new piracy controls are required. Currently, ISPs that “expeditiously” remove copyrighted content when alerted by rights holders get legal immunity or so-called safe harbor. But the RIAA and others say this process is not sufficient, as the pirated copy reappears instantly, requiring yet another takedown notice. Continue reading Copyright Holders Demand DMCA Update, Addition of Filtering

Stem’s Royalty Model Finds Popularity with Indie Music Scene

Debuting a year ago, Stem has become successful distributing the music of independent artists to streaming services and divvying up royalties among the multiple collaborators that are typical in indie music. Up until Stem’s appearance, alternative distribution companies like TuneCore and CD Baby distributed indie music, but weren’t able to split royalties between artists and producers, leaving that onerous task to the main performer. Instead, Stem requires each collaborator to agree on percentage splits. Continue reading Stem’s Royalty Model Finds Popularity with Indie Music Scene

Could Twitter Better Serve Communities as a Social Nonprofit?

While Twitter has shown its potential as a communication and news-sharing platform, and continues to experiment (for example: streaming deals with the NFL and a SoundCloud partnership), the company has struggled to turn a profit and satisfy investors. With all the recent hype surrounding a possible acquisition, NPR asks if “it’s worth pondering the idea of Twitter getting out from under the pressures of Wall Street and turning itself into a nonprofit.” Rather than bending to the relentless pressure of competing for growth and profit, pursuing ad revenue and adjusting how its algorithms sort tweets, the platform could possibly prove most useful to journalists, politicians and grassroots movements if it was “free of investor pressure.” Continue reading Could Twitter Better Serve Communities as a Social Nonprofit?

Amazon to Take On Spotify and Apple with New Music Service

Amazon plans to compete with the likes of Spotify and Apple Music when the company launches its own on-demand music service early next year. Some reports suggest the service may be called Amazon Music Unlimited, and would not come with the annual $99 Amazon Prime subscription, but would likely run a separate $10 per month. “The company will also launch its Echo-based music service, which will cost $5 a month, within the next few weeks,” reports The Verge. “That service will allow Echo owners to access Amazon’s music library on-demand just like the more expensive offering, but playback will be restricted to the smart assistant.” Continue reading Amazon to Take On Spotify and Apple with New Music Service

Amazon, Pandora Ready Launch of Music Streaming Services

This year, for the first time, streaming music topped digital downloads as the largest source of music revenue in the U.S. The two biggest sources are Spotify and Apple Music, but SoundCloud, Deezer, Tidal and Google Play are also active. Now, both Amazon and Pandora are readying their entries into this crowded market. Both companies have almost locked-up licensing deals with the largest record labels. Amazon plans to launch its on-demand service as early as September, and Pandora will unveil its service later this year. Continue reading Amazon, Pandora Ready Launch of Music Streaming Services