Another SXSW Music week has come and gone, and now you’ve had time to get all those BBQ stains out of your clothes and organize all those new biz cards you got, right? Good, neither have we… Here’s a recap of some recent goings on. Read more…
All posts tagged Spotify
More from Dive Into Media: Vevo, Spotify & Neil Young
Vevo CEO Rio Caraeff, made the first public statements regarding the video site’s profitability at the digital media conference this week, putting it plainly, “We are making money, yes,” with a reported $150 million in revenue last year. Read more…
Round Up: Grooveshark bites itself, Spotify announces apps, major label moves & more…
Catching up after a turkey hangover, some of what’s happening around the biz… Read more…
Digital Round Up: Spotify teases with press event invite ala Apple + Universal Music vs. Grooveshark again
Taking some cues from the Apple playbook, Spotify sent out media invitations yesterday for a global press conference next week in New York on November 30th, with plenty of intrigue including phrases like “major development” and “new direction for the company.” Read more…
And then there were 3… EMI split, where does it lead?
Universal Music Group and Sony Music continue to dominate the music biz storylines this year with the unpredictable conclusion of the EMI auction, Read more…
Quick Bytes: (Give It To Me Baby) Digital Royalties Lawsuit Against Universal Music to Proceed, Tunecore Launches Publishing Admin Service & More…
A federal judge is permitting a class-action lawsuit against Universal Music Group to move forward that involves a group led by Rob Zombie and the estate of Rick James. The issue at hand is digital royalties and the difference between treating downloads purchased at digital retailers like iTunes as a “sale” or a “license” as is relates to the artits’ split. This case follows similar litigation involving UMG and Eminem recordings, which was settled last year… Tunecore has launched a new songwriter publishing administration service that will register copyrights, collect royalties and issue licenses for users. The new service is among other recent entrants to the previously absent sector of expanded publishing admin for independent artists. More info can be found here… Spotify user numbers might be skyrocketing with the new Facebook integration, but it isn’t the only one – monthly users at MOG have quadrupled following the pairing up with the social network… Meanwhile, some are asking where the native Facebook music player app has gone, and what this means (if anything), for future music apps after it disappeared from the site this week… RIM will be launching its new BlackBerry Messenger music service this week… And Apple missed the ‘late October’ launch for its new iTunes Match service that was announced back in June, with no word from the company as to when it can be expected. [UPDATE: It appears that iTunes Match is still in the 'testing' phase.]
Digital Round Up: New Music Economy, Steve Jobs Bio Reveals iTunes Dealings & more…
swimming upstream
An article on Rollingstone.com has been getting passed around this week, as magazine contributor and author of music biz treatise, Appetite for Self-Destruction, Steve Knopper, took a stab at outlining the “new economy” of music sales. Streaming-music services in particular are a hot topic recently among artists, record labels, music-tech start ups and those who observe and comment on all of their goings-on. Among the choice quotes from the piece includes one from Jeff Price, founder of TuneCore, who commented on the confusing nature of streaming royalty rates, saying “It is beyond complicated. It took me literally three months to understand this thing,” while MOG founder David Hyman chimed in on the record labels distribution of streaming royalties to artists, “Once they get that wad of money, how do they distribute it internally? I have no idea”… The biography of Steve Jobs and its contents has been another widely discussed subject recently, with various story lines that cross into the music industry sector as well, including the Jobs experiences dealing with major labels. A New York Post item today points to Apple‘s iTunes negotiation with former Sony Music boss Andy Lack, as particularly difficult, with Lack asking for royalties on each iPod sold, and Jobs criticizing him for not understanding his own business. Meanwhile, other more obvious iTunes related revelations are made, such as the reason that The Beatles only recently appeared in the digital marketplace was due to ongoing and unresolved contractual issues between the group and EMI… Elsewhere, Twitter has made its first specialized music hiring, in former Disney Music Group marketing manager Tatiana Simonian… AOL SVP of business development Jared Grusd is reportedly heading to Spotify… In a surprising move, Coldplay has opted to not make their new album Mylo Xyloto (pronounced “@&*%^$”) available on streaming services like Spotify, Rdio, MOG, Rhapsody and others, in what could be seen as a stance similar to holdout artists whose material still isn’t available on iTunes and other digital retailers… And more clues about Google‘s upcoming launch of a music store comes this week with evidence of an expanded Android mobile landing page for the new Google Music service.
Digital Round Up: New Google Music plans revealed, Rhapsody stands up to Spotify & more…
Going beyond beta
Back as a hot topic in the music + tech arena this week is Google Music, which follows the company’s halfhearted initial step into the cloud-music sector earlier this year with Music Beta. Now it appears that Google will be launching a digital music store in the coming weeks, but with a “twist,” as it is being reported, following Android chief Andy Rubin‘s appearance at the AsiaD conference this week. Cnet reports that the twist will likely be social features, which will enable sharing capabilities among users – social enhancements are being touted as a big driver behind Spotify and similar services recent rapid growth. According to multiple reports, the only major label close to an agreement with Google right now for the new music service is EMI, while a number of independent labels are apparently already onboard. Other bits concerning the new Google Music talk include whether or not it will have a ‘mirroring’ component or ‘scan and match’ that finds music already on a users’ computer – a feature that Apple‘s upcoming new iCloud music offering will feature. Or as noted by Evolver.fm – if Google follows up their digital store by offering their own streaming-music subscription service, it could achieve the same outcome. Currently users of Music Beta have to upload their music to Google’s cloud-based music locker. While seemingly late to the game in all this, some observers are noting what a huge advantage and launching pad Google-owned YouTube will be for any new music service they bring, as the video site continues to reign as the largest free music site around… Following the recent acquisition of Napster, veteran music-subscription service Rhapsody continues on the publicity trail, with executives recently interviewed by Business Insider among others and speaking at this week’s CMJ Music Marathon conference. The biggest question has been about sustainability and relevance in light of all the new similar services, mainly Spotify, and how they plan to compete. But Rhapsody maintains that their business is healthy, they received a boost from all the press surrounding the aforementioned European startup’s launch in the U.S., and with the new Napster customer-base and planned wireless and cable provider deals, they’re doing just fine, and without a free offering to entice new users, for now… And how much of all the optimistic talk surrounding the bourgeoning on-demand and streaming music territory is hype vs. substance? A new report from the NPD Group, studying music listening habits, does show that in America at least, newer ways of accessing music are gaining real ground on traditional radio and CD listeners, with possibly the most revelatory statement being that “a tipping point is approaching when vehicles and portable devices move from a tethered connection to a more integrated one” – read more in the press release… In other quick items… Pandora has named its first chief marketing office in Simon Fleming-Wood… New music service Beyond Oblivion Inc., also known as Boinc and partially owned by News Corp., is reportedly close to finalizing licensing agreements with the four major label groups… Jimmy Iovine isn’t the only Universal Music exec with a penchant for high-end audio, as music industry veteran and co-CEO of Sanctuary 5B Artist Management, Carl Stubner, has been named to the advisory board of high-definition audio company Max Sound… And the popular music curating and aggregating site The Hype Machine has reached 1 million users.
Digital Round Up: More Spotify, Rhapsody + Napster, Rdio goes free & more…
There seems to be quite a bit of optimism lately in the realm of digital music and what the future holds for subscription services. So far 2011′s album sales are already up from the previous year, with a big bump from digital, and at least one major label is claiming that they’ve finally figured out “free”. Glassnote artist Mumford & Sons became the third artist ever to sell 1 million digital albums, and even MTV has announced a second O Music Awards show, celebrating music and technology, which is set for October 31st… Spotify was quick to release new user data within only a couple months of launching its service in the U.S., and while they are clearing unclear in terms of paying versus free and how many are U.S.-only as opposed the world-wide, the overall statement is that a lot of people are trying out the service. The announcements in the music arena made during Facebook‘s recent f8 conference also helped boost the outlook of not only Spotify, but a number of other digital music services including MOG, Rdio and iHeartRadio that were also included in the social networks big changes. And while most eyes remain on the Swedish-start up, the competition continues to counter with new moves of their own. Rdio announced this week that it will be launching a free on-demand streaming service, that has no ads, and an unspecified limit on free-listening, which follows a similar move by MOG… Meanwhile, Rhapsody has acquired Napster from Best Buy, in a purchase that will raise the longtime streaming service’s plateauing numbers… Elsewhere, Apple revealed during their press event on Tuesday that its new iCloud service will be extended to Europe, following recent reports that the company was seeking worldwide music rights from labels and publishers… And after only a few months as the new owners of MySpace, Specific Media held presentations for top-level advertisers at Radio City Music Hall on Monday, trying to generate excitement for the site, which will be focused primarily on music and video content. Creative partner and investor, Justin Timberlake (who has also been tapped to play Neil Bogart in an upcoming biopic of the Casablanca Records co-founder) was on hand for the presentations as well.
Bits & Pieces: Live Nation + UMG, Facebook’s f8 Conference & more…
Monday afternoon saw the official news of a major deal that has been in the works for months that unites Live Nation Entertainment and Universal Music Group in a new pact joining UMG’s management properties, including Sanctuary, Twenty First Artist (and presumably the new producer management arm Twenty First Republic that was formed earlier this year with World’s End) and 5B Artist Management, all under LN’s Front Line Management… Apprehension by banks to finance private-equity firms in buyouts and mergers is growing, according to an WSJ article this week, and that might mean the stable of bidders for EMI is shrinking. It might also mean the likelihood of the music group being sold intact is also lessening… Tomorrow is Facebook‘s big f8 conference, where they will announce many new features and major redesigns, and music fans are looking forward to the expected integration of new streaming services like Spotify, MOG and Rdio. Some are expecting Pandora to be added to that list as well, given the redesigned and relaunched player from the web radio service today, which includes among other things increased sharing capabilities and the removal of the cap on free-listening hours. Exactly how seamless the integration of media services into the social network is unclear, as MediaMemo points out, FB was originally planing on allowing users to access music and video services without ever leaving the site, however now that has changed. Announced speakers and panelists at the conference will include CEO’s from Spotify and Turntable.fm along with Clear Channel Chairman‘s Bob Pittman who has been busy promoting iHeartRadio and manager Troy Carter among many others… Elsewhere, video site Vimeo has launched a Music Store in a new partnership with Audiosocket, that will help video creators easily find and license music… R.E.M. is calling it quits after three decades… Van Halen is reportedly ending their longtime relationship with Warner Bros. Records and heading to Columbia Records… And Jeremy Summers has been named EVP/Chief Marketing Officer at Interscope Geffen A&M.
Digital Music Round Up: Turntable.fm seeks label deals, MOG & Rdio go free, iHeartRadio vs. Pandora & more…
MOG launches free music service
In addition to revealing more details about investors in the recent funding round, Turntable.fm has also announced that the company is indeed seeking licensing deal with the four major label groups as well as indie labels. This would help the service grow internationally according to CEO Billy Chasen, presumably in addition to offering new and more robust features that licenses would allow for. It appears Turntable is attempting to forge a new kind of licensing deal with labels, something that would fall in between the low-rates that web radio services like Pandora pay and higher ones paid by on-demand services like Spotify… Music streaming service MOG launched a new free ad-supported version of the service called FreePlay yesterday, in a what can be seen as a direct move against Spotify. The concept puts a twist on the freemium model, by giving free-users a “gas tank” of music, which they can refill in perpetuity through various actions like listening, sharing with friends, making playlists, and exploring MOG. A possible leg-up for the new service, will be utilizing its large blog-directory, MOG Music Network, with integrated blogs now able to share songs and playlists with readers via FreePlay tools… Rdio is also releasing a free version of their music service, though details are still few. It’s expected that more information will be disclosed when Facebook reveals its new music-plans next week at its f8 conference; Rdio along with MOG and Spotify are all expected to be partners in the new FB music features – Deezer is also expected to be announced as a Facebook Music partner in Europe… On the heels of all the streaming-music announcements this week, the results of a new study commissioned by mp3-retailer eMusic were released, and they show that 91% of those polled still prefer to own their music, while 76% use streaming services to discover music before buying. More details from the study are here… Meanwhile, Clear Channel has seriously bolstered its online radio service iHeartRadio after recently acquiring Thumbplay, and the company is quickly taking shots at Pandora, who until now has not faced any serious competition in the non-interactive web-radio space. Clear Channel media chief Bob Pittman told Forbes that he doesn’t see Pandora’s business as a “free-standing platform,” and that more functionality will continually be added to iHeartRadio, including possible features similar to Turntable.fm.
More Bits & Pieces: Warner Music gets new CEO, Blackberry Messenger music?, new Spotify numbers & more…
'chairman of the bored'
Today came the announcement that Edgar Bronfman Jr. will be exiting his role as CEO of Warner Music, a post he has held since 2004. He’ll remain on as chairman of the board at Warner Music Group, while Stephen Cooper will take up the reins as new CEO. Cooper’s track record, primarily as an interim CEO with a focus on turning around troubled companies, includes stints at Metro-Goldwyn-Mayer, Krispy Kreme Doughnuts and Enron, among others. It’s expected that Bronfman’s focus will transition to the current bid for EMI Group, continuing his long-desired goal of combining the two companies. If merger efforts fail, his continued involvement at Warners is questionable… Research In Motion is reportedly working on a new music service that will utilize the popular BlackBerry Messenger service, with some major labels supposedly already onboard, though it’s unclear exactly which ones. The service as it’s being described, though not by RIM, would be far from robust, but it’s being characterized as possible positive note for the struggling smartphone maker… A legal fray that has the Village People‘s original lead-singer attempting to regain copyright control over his share of a number of works including “Y.M.C.A.” may prove to be telling in the coming battle over “termination rights,” that will pit many big-name artists against labels – a storyline that hit the mainstream media this week… Music and imagery from The Beatles are featured in a new anti-piracy video as a part of the UK-based Why Music Matters campaign. There’s a bit of irony here, as pointed out by Peter Kafka on AllThingsD, in that the Fab-Four’s music is still only (legally) accessible digitally in one place, that being iTunes, where it was first made exclusively available 10 months ago. With a plethora of other new digital music services out there, one can wonder how long it will be before the group’s music will be more widely available… Elsewhere, Music Ally has obtained a report that provides insight into Spotify‘s subscriber numbers, particularly for the period following new restrictions on free accounts that were in acted earlier this year. Get the details HERE, but essentially with the changes, the number of free user accounts dropped by over 1.5 million, while the paying user base increased by roughly 1/3 of that amount. The conversion of users from free to paying isn’t insignificant, and that’s good news for Spotify, who has to pay royatlies regardless of whether a user pays for the service or not, but losing over 1 million potential listeners is not exactly good news for artists… And a group music publishers who joined a class-action lawsuit against YouTube-owner Google in 2007, came to a settlement this week, a resolution that in part will see pubcos given the opportunity to enter into a licensing agreement to receive royalties for musical works included in videos on the site. According to at least one person familiar with the situation, artists should expect to start receiving accounting for YouTube royalties from publishers right around the time they start receiving it from the record labels.
Bits & Pieces: Bug Music For Sale Again, First Round Deadline for EMI Bids Set & more…
The owners of Bug Music are once again shopping for a buyer according to a report by Bloomberg this morning, with a target price of between $330 and $400 million for the publishing company. Acquired by a group of investors led by Spectrum Equity in 2006, the pubco was on the block as recently as last year, and while a sale was never completed, presumably due to lack of a high enough bid, insiders share that BMG Rights Management came close to completing a deal. It’s likely that they’ll be among bidders again this time, along with the 30 interested companies, according to the report, including Sony/ATV, which signed NDA’s to receive an offering book for Bug… Of course a higher profile auction is Citigroup‘s unloading of EMI, which has an early August deadline for first round bids now expected, according to reports today. Warner Music has been the front-runner in early EMI sale talks, along with the KKR/Bertelsmann-backed BMG (read our pt.1 and pt.2 posts on that scenario), though a New York Post piece yesterday has Warner’s debt impeding a successful acquisition, and in speaking with the Financial Times over the weekend, Bertelsmann CEO Hartmut Ostrowski cautioned his company wouldn’t get involved in a bidding war for EMI and is only interested in offering a reasonable price. Those in the know still expect both companies to be on the shortlist over the coming weeks… In related news, it was announced today that Access Industries officially completed their acquisition of WMG… And elsewhere, charter sponsors for the U.S. unveiling of Spotify, including Chrysler, Coke, and News Corp’s The Daily, reportedly paid $1 million each to be included in the launch, with their branding prominently displayed in the service, and each getting 10,000 membership codes to giveaway as well.
