Finance

According to Round Hill CEO Josh Gruss, the driving force behind Round Hill’s ability to snaffle market share for contemporary US radio hits lies in investing in new music. “We’re grabbing a lot of market share on radio, really punching above our weight. That’s what a real publisher does; if you’re just a check-book publisher, you’re just buying catalogs – you’re not relevant in the current radio charts.”

Source: As Round Hill’s market share of US hits climbs, company tells music biz: Don’t call us a check-book publisher

IMPALA, which represents many of the world’s biggest independent record labels in Europe, has published a must-read new report containing a number of suggestions the industry should consider for overhauling the way streaming works. One of the most contentious parts of the manifesto centers on streaming services that offer rights-holders reduced royalties for guaranteed plays or “privileged treatment in algorithms or other features”.

Source: Indie labels call for end to streaming ‘payola’ – as IMPALA unveils 10-point plan to reform sector

China’s largest music-streaming company also relayed in its fourth-quarter earnings analysis that revenue grew by 14.3 percent, compared to the same three-month stretch in 2019, to nearly $1.28 billion. A 29 percent year-over-year hike (to $423 million) in income from online music services – including a 41.9 percent uptick in subscription earnings.

Source: Tencent Music Topped 56 Million Paid Users in 2020’s Fourth Quarter

The jungle of music rights acquisitions has become a crowded and expensive place. But the game just changed again – as an 800-pound gorilla enters the fray. BMG and investment giant KKR have announced an alliance that will see them team up to acquire and manage music copyrights.

Source: A new catalog acquisition juggernaut is born, as BMG and KKR strike deal to jointly buy music copyrights

When the major music companies publish their quarterly figures, analysts all too often take a blinkered view – exclusively assessing the impact of streaming and duly limiting their focus to revenue from recorded music. This is plain wrong: streaming services pay record labels, but they also pay CMOs who in turn also pay other licensors.

Source: The Global Value of Music Copyright reached a record high of $31.6bn in 2019, up $2.1bn on prior year. Streaming makes up 47%. — Tarzan Economics

SVODs have for years ignored beyond-family password sharing, viewing it as a variation on sampling that ultimately pays off in sufficient conversions. But facing intensifying competition and near saturation in the U.S. market, Netflix has recently begun testing methods to deter unauthorized password sharing, including some offers that include a 30-day trial.

Source: Video Insider: Password Sharing ‘Costs’ Streamers $25B Per Year In Potential Revenue, $6B for Netflix: Analyst

From June through Friday, some 29,800 NFTs involving musicians have generated $42.5 million in primary sales, with an average per-unit transaction value of $1,427, according to a database compiled by music-technology researcher Cherie Hu. So far, most buyers are crypto-savvy speculators helping send prices soaring. The music business is hoping the market will develop for real fan participation—at fan-accessible valuations.

Source: Musicians Turn to NFTs to Make Up for Lost Revenue

Authors have made it abundantly clear that they fear the fallout if the deal goes ahead. When it was first announced last November, the Authors Guild in the US was quick to register its objections. The acquisition would “creat[e] a huge imbalance in the US publishing industry”, it warned, calling on the US justice department to step in.

Source: Authors fear the worst if Penguin owner takes over Simon & Schuster

Investors are pouring millions of dollars into land. But these lush fields and rolling hills only exist within videogames. Just as physical land appeals to pension funds and family offices, digital real estate is luring both investors and dedicated gamers, said Craig Russo, the co-founder of Polyient Games, an investment fund and startup incubator focused on the intersection of gaming and so-called nonfungible tokens.

Source: NFTs Are Spurring a Digital Land Grab—in Videogame Worlds

As more and more artists have learned in the nearly 15 years since Spotify first launched, the way that it pays out streaming royalties is very, very complex, based on a dizzying number of factors that add up differently for each artist. On Thursday morning, the company made a welcome step toward demystifying that process by unveiling “Loud and Clear,” a relatively straightforward explanation of the way its payment system and related factors work.

Source: Spotify Unveils ‘Loud and Clear,’ a Detailed Guide to Its Royalty Payment System