Universal Music, Facebook Sign Licensing Deal

22 December, 2017, 01:25 | Author: Delbert Rhodes
  • The groundbreaking deal means¬†artists such as Taylor Swift Selena Gomez Kayne West and Mariah Carey can be used as soundtracks to user videos uploaded to the site

"There is a magnetic relationship between music and community building", said Tamara Hrivnak, Head of Music Business Development and Partnerships, Facebook. Over time, this could expand to users being able to access the archives of UMG music as part of the social platforms.

Per The Verge, Facebook has also been in similar talks with Warner Music Group and Sony Music Group. One service that music industry fans may need to take a closer look at is if they find Lady Gaga's "The Cure", Kendrick Lamar's "Humble", or OneRepublic's "Apologize" on YouTube Red, the social media network's premium service.

Through this new arrangement, users can upload and share homemade videos that feature music from the UMG library backdrop and, assuming the content itself doesn't upset viewers, the clips won't be yanked for breaching copyright.

Facebook, based in Menlo Park, Calif., is trying to get people to watch and share more videos on its platform. The move will soon bring UMG's music catalog to Facebook, Instagram, and Oculus.

We have more questions, of course.

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What sort of advance payment was involved here, given Bloomberg's claim in September that Facebook had set aside "hundreds of millions" for its initial licensing deals? The agreement works across all of Facebook's platforms, including its newsfeeds, Instagram and Oculus, according to a joint press release.

For years, artists have complained that streaming services don't adequately pay them for their music.

YouTube, a division of Alphabet Inc.'s Google, is the world's largest destination for online video and sells music-streaming subscriptions.

Can it create new, social-infused music formats - think what Musical.ly did with the 15-second lip-synch clip, although Dubsmash also deserves credit there - that will actually generate revenue for artists, songwriters and their rightsholders? In November 2015, Facebook hit 8 billion average daily video views, double the figure reported just seven months earlier.

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