Record Label
Mixcloud Signs Licensing Deal With Warner Music Group
Music streaming service Mixcloud has signed a licensing agreement with Warner Music Group, its first deal with a major record company.
According to Mixcloud’s press release, the agreement will help enable a new offering in which fans can subscribe to creator channels “for a more interactive listening experience.” The deal will also “help audio creators on the platform monetise their content.”
Founded in 2008, Mixcloud offers around 12 million radio shows, DJ sets, and podcasts, which are produced by over 1 million creators. However, the platform uses a statutory radio license, which limits the content that creators can use. Some creators have experienced copyright takedowns in recent years, similar to that of SoundCloud and other platforms.
Nico Perez, co-founder and director of content at Mixcloud, said in the press release:
“Since the beginning, we have worked with rightsholders to both monetise long-form audio and champion the importance of curation in the streaming industry. As we embark on direct licensing relationships with the major labels, we are committed to doing what is best for artists, curators, music fans, and the industry.”
Ole Obermann, EVP of business development and chief digital officer at Warner Music Group, added:
“This deal is a good example of our willingness to experiment and lead in embracing differentiated new business models. As streaming opens up access to a vast universe of music, we are seeing a complimentary rise in fans’ engagement with curated experiences, such as playlists, on-demand radio shows, and DJ sets.”
Billboard reports that Mixcloud is in discussions with Sony Music, Universal Music Group, and independent rights organization Merlin about striking similar license deals to that of Warner.
Facebook Steps Up Efforts to Reach Deal With Music Industry
Facebook is stepping up efforts to reach a licensing agreement with the music industry, according to sources who spoke with Bloomberg.
A deal would allow music to be added to user-generated videos without getting flagged for copyright infringement. It would also potentially open the door for Facebook to obtain more videos from the labels themselves.
With nearly two billion users, Facebook provides a massive opportunity for the industry. It could mean billions of dollars in revenue. Licensed videos would also benefit Facebook, which wants to dethrone YouTube as the leader in online video.
Last month, Facebook hired Tamara Hrivnak, a former key music executive at YouTube. Hrivnak now leads Facebook’s global music strategy and business development.
However, Bloomberg says the talks with Facebook are “complex” and that “a deal could be a couple months away or more.”
“Facebook must also finish a system to police copyright-infringing material akin to Content ID, the system used by YouTube,” Bloomberg writes. “Videos on the site already feature a lot of music for which artists don’t receive royalties — a major source of tension.”
The Financial Times reported in January that Facebook is developing a content ID system, but did not say when it would be completed.
Watch Bloomberg’s report below:
Related: Facebook Developing Content ID System to Fight Copyright Infringement
Facebook Developing Content ID System to Fight Copyright Infringement
Facebook is developing a content identification system to fight copyright infringement, reports the Financial Times.
According to a source that spoke with Billboard, the system is similar to YouTube’s Content ID, which identifies videos containing copyrighted music. When the system finds a match, YouTube does what the copyright holder asks it to do with the video: mute it, block it, leave it alone, or monetize it with ads.
The report follows an increase in copyright enforcement on Facebook, which has resulted in blocked videos and in some cases disabled accounts. Both pre-recorded and live videos have been affected.
The stepped up enforcement has been a rude awakening for DJs, as Facebook had long been a haven for mixes and turntablism routines. Takedowns and disabled accounts had been relatively rare, compared to YouTube and SoundCloud.
Facebook’s new content ID system will likely result in a further increase in blocked videos and disabled accounts.
“[Facebook sees] the huge amount of traffic music content is responsible for on their platform and [doesn’t] want to be on the wrong end of an artist fight,” a music industry source told Billboard. “They also see that there’s a potential opportunity to position themselves as friendly to content creators as opposed to YouTube, so they are working fast to get this right.”
Billboard also reports that Facebook is currently in talks with major labels to license content, though the Financial Times cited a source saying a deal would not be done before the spring.
“The reality for Facebook and YouTube is that more and more they are transitioning from tech platforms to media companies,” the source told Billboard. “And the more they look like media companies, the more they are going to have to act like them and respect creators and pay for content.”
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