Investment giant Apollo Global Management is backing Sony Music Group to the tune of $700 million to help the company fund music acquisitions, it was announced Friday (July 26). The deal could provide the financial assistance needed for Sony’s planned acquisition of Queen‘s recording and music publishing catalogs. Sources have told Billboard the band is seeking $1.2 billion for its catalogs and ancillary income stream.
Source: Sony Music Receives $700M from Apollo Global for Music Investments
Major video game makers – like Activision, Warner Bros and Walt Disney – are facing a strike by Hollywood performers over the use of artificial intelligence (AI). It follows a year and half of talks over a new a contract between the companies and a union representing more than 2,500 video game performers.
Source: Video game performers go on strike over artificial intelligence
According to Spotify: “If the MLC were entirely successful in this case, the additional royalties that would be due in relation to the period March 1, 2024 to June 30, 2024 would be approximately €46 million ($49.5 million) of which approximately €35 million relates to the three months ended June 30, 2024, plus potentially penalties and interest, which we cannot reasonably estimate.”
Source: Spotify estimates that it would have to pay out $50m if the MLC wins its bundling lawsuit
On the earnings call Tuesday, Spotify’s Ek argued that, despite there being “things that we’re arguing about,” the company has largely had a healthy relationship with the music business – and it’s in Spotify’s interest to see the industry grow stronger. “We are spending a lot of time and effort in making sure that it keeps growing,” Ek said. “That is our primary thing that we’re doing as a company.”
Less than a year ago, the drive for AI regulation was gaining significant momentum, marked by key milestones such as the AI Safety Summit in the U.K., the Biden Administration’s AI Executive Order, and the EU AI Act. However, a recent judicial decision and potential political shifts are leading to more uncertainty about the future of AI regulation in the U.S.
DJ Calvin Harris sold his catalog that includes more than 150 songs and collaborations with some of the world’s biggest stars, including Rihanna, Dua Lipa, Sam Smith, Frank Ocean, Ariana Grande, Big Sean, Khalid, Pharrell Williams, and Travis Scott. Sony/ATV continued administration services for the catalog. Now more than four years later, Shamrock Capital Advisors has engineered a large deal including film, television show, and song rights from Vine Alternative Investments in New York
Music industry giant Downtown Music Holdings is reportedly exploring a potential sale and has been in talks with private equity firms and at least one major music company. Downtown, which oversees popular platforms like CD Baby and FUGA and represents high-profile artists such as John Lennon, Yoko Ono, Miles Davis, and Wu-Tang Clan, has experienced changes in recent years. The company has been shifting focus in recent years from owning copyrights to providing services for copyright holders.
Source: Downtown Music holds talks with PE firms, major music company regarding sale (report)
Microsoft has relinquished its seat as an observer on the board of ChatGPT maker OpenAI, as regulators on both sides of the Atlantic scrutinize the partnership between the tech giant and the artificial-intelligence startup. In a letter sent Tuesday to the AI company led by Sam Altman, Microsoft said it resigned with immediate effect because it believed OpenAI’s board had gained stability, meaning Microsoft’s involvement was no longer necessary.
Source: Microsoft Quits OpenAI’s Board Amid Antitrust Scrutiny
Sound recording performance rights, also known as neighboring rights income, reached $2.7 billion in 2023, representing 9.5% of the global recorded music market. While ‘Old Europe’ has traditionally been the hub of these types of revenue streams – namely, rights from TV and radio broadcasting; aligned digital uses such as simulcasting, webcasting and satellite radio; and sound recordings played in public venues – a significant shift is underway.