Among Peloton’s biggest risk factors for continued growth? Its ability — or inability — to secure licenses for the music used in its workout videos. Peloton forms agreements with record labels, music publishers, performing rights organizations, artists and other copyright owners for those rights — a complex and time-consuming process that leaves Peloton vulnerable to the financial demands of rightsholders.
Source: Peloton Wants to ‘Sell Happiness’ With IPO, But Faces Serious Music Licensing Risks