UnitedMasters Forges Direct Deal With TikTok After Merlin Negotiations Collapse
Written by djfrosty on October 24, 2024
UnitedMasters has reached a new multi-year licensing agreement with TikTok. News of the deal comes just weeks after Billboard broke the news that TikTok “walked away” from talks to renew its license with Merlin, a collective that negotiates digital licensing deals for more than 30,000 indie labels and distributors.
Instead, TikTok noted that it wished to forge deals with most of the labels and distributors individually and cited previous issues with Merlin’s members delivering “fraudulent content” as the reason why they were not renewing with Merlin. Merlin read this move as TikTok “fragmenting” its membership to try to “minimize” licensing payments for indie music.
UnitedMasters — which has worked with more than 2 million independent artists, including FloyyMenor, Brent Faiyaz, BigXthaPlug, Tobe Nwigwe and Anycia — will include its full, expansive catalog in the new deal. The agreement will also provide additional commercial opportunities for UnitedMasters artists via TikTok’s Commercial Music Library.
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A press release states that TikTok and UnitedMasters “share the vision and understanding that commercial use of music on platforms offers significant revenue and promotional opportunities for artists” — and that having access to TikTok’s Commercial Music Library will give UnitedMasters talent access to new revenue and promotional streams for their talent.
Beyond just TikTok, licensing music for commercial purposes is a crucial focus for UnitedMasters. Previously, it has landed its artists deals with major brands like Bose, Walmart, ESPN, Coca-Cola, IKEA, Dove and more.
“Our partnership with TikTok provides UnitedMasters artists unparalleled access to a vast global audience, while TikTok creators and users gain early exposure to some of the most impactful independent music today,” said Steve Stoute, founder/CEO of UnitedMasters, in a statement. “TikTok recognizes the power of music and creativity, which is why we are excited to formalize this partnership.”
“TikTok has proven that it’s a launchpad for artists, turning viral moments into chart-topping hits,” Stoute added. “With this partnership, I look forward to seeing our artists thrive on TikTok and extend their reach and influence across the music industry. We’re building a future where they can own their success and grow their careers on their own terms.”
“We want to make the world’s best music available to our global community of over a billion music fans,” added Ole Obermann, head of music business development at TikTok. “That’s why we are so excited to be entering into a direct deal with a prominent independent label like UnitedMasters, with its deep, diverse roster of independent artists. Together, we’re ready to amplify these voices and bring their music to a global stage, unlocking new opportunities for discovery.”
Merlin’s license with TikTok is set to expire on Oct. 31. Labels or distributors that have not reached an individual agreement with TikTok by then will become unlicensed and removed from the platform.