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When licensing negotiations between TikTok and the Universal Music Group collapsed at the end of January, many official recordings from UMG artists vanished from the platform. UMG chief digital officer/executive vp Michael Nash told financial analysts in February that the company had been “providing notices to effectuate the muting of millions of videos every day for the last two weeks.” Yet a number of songs connected to UMG — or its publishing wing, Universal Music Publishing Group — remain available on TikTok anyway.
Some are user uploads, which might theoretically be harder to find and take down or mute. Others are official tracks, including recent releases from prominent stars and fast-moving viral hits. And much of Taylor Swift’s catalog returned to TikTok on Thursday (April 11), raising the question of how other artists may be able to find workarounds while the licensing dispute continues.
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One possible reason that some songs are staying on TikTok: Several artist lawyers tell Billboard they are devising contractual carve-outs to allow their clients to keep their music on the platform. Others note that even though they haven’t added these clauses to recording agreements yet, it has become a topic of conversation with their clients.
“Some labels are allowing some of their artists to exclude newly created music from the grant of rights until the label has a deal in place” with TikTok, says David Fritz, founding partner at Boyarski Fritz. “Because the issue is so new, we are developing on the fly to meet the needs of talent — songwriters and artists — that want their music on TikTok. This is an issue, and workaround, that came about solely as a result of UMG taking down its catalog from TikTok.”
Reps for UMG and TikTok declined to comment.
Some artists have invested years of their life building a following on TikTok. (Predecessor Musical.ly was acquired by Bytedance in 2017 and then relaunched in the United States as TikTok the year after.) For more than two months now, they’ve been unable to share official recordings with those fans on the platform — the same fans who may have earned them their major-label deal in the first place.
“Some artists are concerned about this,” says Josh Binder, founding partner at Rothenberg Mohr & Binder. “They don’t want to be uncompetitive, unable to use TikTok to muster up an audience.”
“TikTok is mostly used as a new-music discovery tool — discover a clip on TikTok, listen to it on a DSP,” Fritz adds. “So those who are trying to get their music discovered are the most concerned” about being unable to promote new songs on the app.
In 2022, MIDiA Research found that TikTok was the second-biggest driver of music discovery for Gen Z, after YouTube. In recent months, TikTok popularity has helped little-known acts like Dasha, Good Neighbours and the Red Clay Strays explode at streaming services — leading to major-label deals — and contributed to breakout hits for Djo, Flo Milli and Benson Boone, among others.
UMG pushed back against the idea that TikTok has a lock on discovery during its most recent earnings call. Chairman/CEO Lucian Grainge told financial analysts that TikTok was “not a material part of the multidisciplinary jigsaw where we promote and market our music globally.” And UMG CFO/executive vp Boyd Muir said that UMG would “focus on accelerating [its] partnerships” with other social media platforms, including Meta, Snap and YouTube, to provide alternative promotional avenues for its artists.
But the job of an artist lawyer — a good one, at least — is to help their client get what they want. Labels typically aim to control as many rights as they can for as long as they can. In the modern music business, artists have more ability to push back; because they can generate momentum on their own, without a record company’s help, more aspects of a record deal are negotiable. “You can cherry-pick what you want to be in your contract to some degree,” Scott Booker, the longtime manager of The Flaming Lips, recently told Billboard.
As with any negotiation, artists’ ability to get their preferred terms comes down to their leverage — for stars especially, there are few rules that can’t be bent — and the skill of the lawyers involved. “If you successfully reserve the right to license to TikTok directly in your contract with UMG, you would be able to do so directly or via a third-party service,” says Leon Morabia, a partner at Mark Music & Media Law. “It would be a difficult point to win in a deal, but it is contractually feasible.”
Josh Love, partner at Reed Smith, says he has been able to get “a carve-out” in the past that allowed an artist “to do a direct license with a DSP” — a digital service provider like TikTok or another social media or streaming service — “if the label or distributor is ever not licensed with that DSP and [the artist] wants to remain on the platform.” This is meant to act as interim coverage for an artist; if the label or distributor were to form a new licensing agreement, that would likely supersede that deal made between the artist and the DSP in the meantime.
Some clauses that are already in record deals could also be expanded by artist attorneys to ensure their clients’ music remains available on TikTok. “Release commitments,” for example, are put in place to “force the label to guarantee that a record will be released within certain months after delivery so that the artist’s record doesn’t get ’shelved,’ with the artist stuck in the deal,” says Gandhar Savur, a music attorney.
These clauses have become increasingly comprehensive, stretching “to cover commitments by the label over more specific aspects of the release — the exact countries in which the album will be distributed, formats that the album will be released in such as vinyl and digital, and even including specific major DSPs by name like Spotify and Apple Music.” After negotiations between UMG and TikTok unraveled, Savur continues, “it would be a natural response that artist attorneys will gradually start to require release commitments to cover all platforms generally so that if a label is not licensed with a particular platform for any reason, the artist can deal with that platform directly.”
Savur believes that artists who are signed to labels that are distributed by UMG, rather than signed directly, probably have more latitude to try to deal with platforms like TikTok on their own. “Although I believe that what Universal is doing overall is a good thing for the industry, Universal-distributed labels might be more sympathetic to their artists’ desire to stay on TikTok because the increased streaming and ticket sales [that] result from any tracks going viral on the platform can be a big win for the artist and label alike,” Savur says.
If the UMG-TikTok deadlock rolls on, Fritz says, “smart lawyers” with leverage will find “a workaround that enables their clients to continue to use the most popular discovery tool while the large-scale license gets worked out.”
Much of Taylor Swift‘s discography is back on TikTok on Thursday (April 11), returning a little over a week before the anticipated release of her new album, The Tortured Poets Department, due out April 19.
Official audio for hits like “All Too Well (10 Minute Version) (Taylor’s Version),” “Cruel Summer” and “Style (Taylor’s Version)” are among the songs now available for users to make videos with on the short-form app. It appears that there are no official audio for Swift’s songs released before her album Lover, meaning the original recordings from Fearless, Speak Now and Red — recorded for the Big Machine record label — are not available, though her recent re-recordings of those albums are.
Swift’s catalog was pulled from TikTok at the start of February after the parent company for her record label and publisher, Universal Music Group, announced that it was letting its licensing agreement with TikTok lapse, citing that the app was not willing to pay for the “fair value” of music, as well as other concerns like AI and artist safety. That affected songs by many of music’s biggest stars, including Swift, Drake, SZA, Olivia Rodrigo and more, who all have recording and/or publishing contracts with the company.
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For Swift, the ownership of her Big Machine catalog has been the subject of much conversation in recent years. Her first six albums — covering her self-titled debut in 2006 through 2017’s Reputation — were sold to Scooter Braun in 2019 after the manager and entrepreneur’s Ithaca Holdings acquired Big Machine in a deal worth more than $300 million.
That sparked a backlash from Swift, who vowed to re-record each of those albums in order to re-release them and own the recordings herself; she has since released “Taylor’s Version” re-recordings of Fearless, Red, Speak Now and 1989. In 2018, Swift signed a deal with UMG to license her future recordings to Republic Records, and has since released four additional albums through that deal, the copyrights to which she also owns. While it’s unclear why her recordings are back on TikTok, it’s notable that the tracks that she owns are the ones that are available.
In a letter to its artists on Jan. 30 explaining the licensing spat, UMG wrote, “With respect to the issue of artist and songwriter compensation, TikTok proposed paying our artists and songwriters at a rate that is a fraction of the rate that similarly situated major social platforms pay.”
TikTok fired back at UMG’s announcement hours later, saying, “It is sad and disappointing that Universal Music Group has put their own greed above the interests of their artists and songwriters.”
In addition to her label deal with Republic Records, Swift has been signed to Universal Music Publishing Group (UMPG) as a songwriter since 2020; previously, she was signed to Sony Music Publishing as a songwriter. Her frequent collaborator, Jack Antonoff, was also signed to Sony Music Publishing until he switched to UMPG in August 2023.
Reps for TikTok, Universal and UMPG did not immediately respond to requests for comment.
NewJeans is asking an American court to force Google to unmask an anonymous YouTube user so that the person can be criminally prosecuted under South Korea’s strict libel laws for posting “false and defamatory videos” about the K-pop band.
In court documents filed last month, attorneys for NewJeans requested that a California federal judge issue a subpoena requiring Google to reveal the user’s identity. The band wants the info because they are seeking criminal charges in South Korea – a far more serious penalty for defamation than exists under U.S. law.
“The applicants are members of a female K-Pop group, who have come under attack by an anonymous individual posting false and defamatory videos on YouTube,” the group’s lawyer wrote in the March 27 petition, which was obtained by Billboard. “Unfortunately, without the YouTuber’s personally identifiable information the criminal case cannot be fully prosecuted.”
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The band’s target is the anonymous owner of a YouTube account called “7th Grade in Middle School,” which attorneys for NewJeans say has “engaged in name-calling or other mocking behavior” and has posted as many as 33 defamatory videos that have been viewed more than 13 million times. They cited one particularly “derogatory” post, which allegedly claimed that NewJeans member Min-ji Kim was the “eldest daughter of a Vietnamese farmer.”
HYBE, the parent company of NewJeans’ label ADOR, did not immediately return a request for comment on the legal proceedings. The recent court filings, which were refiled in court last week, were first reported by The New York Times.
The case illustrates striking differences between U.S. and South Korean protections for free speech. Under American law, defamation is a civil wrong that can lead to damages, but one that’s sharply limited by the First Amendment. To win such a case, public figures like the members of NewJeans would need to prove that the YouTube user knowingly made false statements, a burden that’s intentionally difficult to satisfy.
In South Korea, on the other hand, defamation is a criminal offense that can be “punished by imprisonment with labor for up to seven years,” and even fully true statements can face criminal penalties. In 2015, a United Nations watchdog called out South Korea‘s “increasing use of criminal defamation laws to prosecute persons who criticize government action.” In 2022, a U.S. State Department report warned that public figures in Korea had used the country’s libel laws to “restrict public discussion and harass, intimidate, or censor private and media expression.”
NewJeans isn’t the first K-pop group to use those laws. In 2019, HYBE (then Big Hit Entertainment) filed criminal defamation cases over BTS, alleging the targets had behind “personal attacks” on the band. In 2022, Big Hit did so again over “malicious postings” about BTS, asking the group’s famous fan “army” to help gather evidence. YG Entertainment, the label behind Blackpink, has also filed its own complaint against “internet trolls,” accusing them of “spreading groundless rumours about our singers.”
According to the recent U.S. court filings, NewJeans’ label ADOR filed a criminal complaint with police in Seoul in March, but the case has stalled because they cannot identify the actual person behind the YouTube account. The group’s attorneys say they sent a request for such information to Google, but that the American tech giant has refused to hand it over.
A spokesman for Google declined to comment when reached by Billboard on Thursday. In a policy statement regarding government requests for personal information, the company says: “Google carefully reviews each request to make sure it satisfies applicable laws. If a request asks for too much information, we try to narrow it, and in some cases we object to producing any information at all.”
The Association of Independent Music has announced the departure of chief executive Silvia Montello, citing personal reasons. Montello began leading the London-based indie sector trade body in early 2023 following the exit of Paul Pacifico, who left for the Saudi Music Commission. Taking over on an interim basis is Gee Davy, who now occupies three C-suite spots as AIM’s chief executive, operating and policy officer.
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Davy, who joined AIM in 2017, previously handled day-to-day leadership of AIM in between Pacifico’s departure and Montello’s arrival. “With the trust of the inspirational team and board, and our excellent senior management at my side, I am looking forward to delivering on AIM’s commitment to support the UK’s innovative independent music community and level the music playing field,” Davy said.
Montello joined AIM less than a year after becoming the first-ever female CEO of the Association for Electronic Music (AFEM), the global non-profit representing electronic music companies. Prior to AFEM, she held senior roles at the U.K. arm of Universal Music, where she worked as director of catalog marketing between 2006 and 2010, and BMG, where she served as group senior vp of recordings operations and integrations from 2014 to 2016. She was subsequently appointed senior vp of operations at the then-Kobalt-owned artist services company AWAL, a post she held from 2017 to 2020.
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“It’s unfortunate that we are losing Silvia so soon into her tenure, but on behalf of the board I wish her well in her next endeavours,” said AIM chair Ruth Barlow. “The board and I are working closely with Gee and the AIM team as we continue to support and promote the independent music sector, delivering and creating value for our community via our membership events and activities schedule, industry affairs work and beyond.”
AIM represents more than 1,000 U.K. indie labels, artists and music companies, including Beggars Group, Domino, Warp and Ninja Tune. The U.K. is the world’s third biggest recorded music market behind the U.S. and Japan with sales of just under $1.7 billion in trade value, according to IFPI’s 2023 Global Music Report.
Bobo Producciones, the production and promotion company that for the past few years has produced the successful “90’s Pop Tour” in Mexico and the United States, this week expanded and launched new management, A&R and marketing departments in addition to a record label: Bobo Music.
“We are very excited about everything that is coming this year for our company. We continue to look for opportunities and expand strategically, especially in the Latin market in the United States,” Ari Borovoy tells Bilboard Español. The former member of pop group OV7 — which had its heyday in the 1990s — heads Bobo along with his brother, Jack Borovoy and Sonia Salvador.
For its expansion, the company brought in veteran music industry executives, including Humberto Calderón, who has headed marketing and A&R at BMG and Universal Music; Sabo Romo, the renowned musician, producer and founder of legendary rock band Caifanes; and Eliseo Reyna, who has been a key player in conceiving successful concept albums such as Rock En Tu Idioma and Rock En Tu Idioma Sinfónico.
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“Bobo’s strength and growth in Mexico, the United States, Spain and Latin America will be materialized with our offer of development and consolidation of artists,” says Calderón.
The team aims to develop new projects and expand marketing and production to strengthen the company’s work. Bobo has more than 15 years of experience in musical events and managing Mexican stars including Pedro Fernández, Lupita D’alessio and Sentidos Opuestos, among others.
The company’s most recent success is the 90’s Pop Tour, which last year toured 10 cities in the United States and Mexico, including a stop at Madison Square Garden. The tour has begun its sixth season, featuring Paulina Rubio on four dates, including a May 3 stop in Querétaro and another on May 18 in Mérida. The tour includes a cast of stars from the 90s, such as Caló, The Sacados, Magneto, Kabah, JNS, Ana Torroja, Mercurio and Sentidos Opuestos. In addition to performing their beloved hits that made history in Spanish language music, they also collaborate on new versions with their colleagues.
A U.K. Parliament committee has issued fresh calls for a “fundamental reform” of music streaming to address what it describes as “pitiful returns” for songwriters and publishing rights holders.
A report from the Culture, Media and Sport (CMS) Committee published Wednesday (April 10) calls upon the British government to “do more to make sure music makers are paid fairly” and to press ahead with a package of sweeping copyright reforms.
Those reforms include changing the revenue split between recording and publishing rights from music streaming, currently set at around 55% for recording and 15% for publishing. That weighting “does not reflect the importance of songwriters, composers and publishers in the music streaming process,” says the committee. Its members want government ministers to bring forward a consultation with fans, creators and industry stakeholders to “incentivise an optimal rate” for publishing rights that will “fairly remunerate creators for their work.”
Other recommendations in the CMS report include the introduction of a statutory “private copying” levy like what exists in other European countries such as France, Germany and Italy. That would require a small tax to be charged on the purchase of electronic devices and blank media that can be used to store songs, which is then paid out to artists and songwriters via collecting societies. The introduction of such a scheme would generate between £250 million ($313 million) and £300 million ($376 million) a year, claims the CMS committee, and safeguard reciprocal payments from other markets where private copying mechanisms exist.
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“Not only does a lack of such a scheme in the U.K. prevent British creators from receiving payments from the domestic market, but it has also put their payments from abroad under threat,” says the report, calling for the introduction of a private copying levy within the next 12 months.
On the subject of artificial intelligence, the CMS committee echoed its previous demands for stronger enforcement of creators’ rights against AI developers using copyright-protected works for training purposes without consent or fair compensation.
“We are concerned that the status quo simply favours AI developers, given creators’ concerns that their IP is already being used in AI development without licence or any practical means of recourse,” states the report, which criticizes the government’s lack of progress on establishing a code of practice around the use of AI and intellectual property.
More support also needs to be given to freelancer staff and the self-employed working in creative industries, such as the music business, in response to long-held complaints around contracts and working conditions, say committee members.
The CMS report is the latest chapter in a long and ongoing series of government-led interventions into the U.K. music industry fueled by artist discontent over low payments from streaming, beginning with a 2020 Parliamentary inquiry into the music streaming business. That probe wrapped the following year by calling into question the major record labels’ dominance of the industry and declaring that the music streaming business “needs a complete reset.”
Numerous government-led working groups, investigations and initiatives followed, including studies looking at “equitable remuneration” and the impact of AI on the music industry. A working group focused on creator remuneration is due to meet for the first time this month.
Despite the progress that has been made, CMS committee chair Dame Caroline Dinenage MP said the U.K. government “needs to move further and faster to ensure music makers really are properly rewarded for their work.”
“If creators are no longer to be the poor relations, the government needs to play catch up by plugging the gaps in outdated copyright and intellectual property regulations,” said Dinenage in a statement accompanying Wednesday’s report.
In response, Jo Twist, chief executive of British labels’ trade body BPI, said the committee was right to highlight creators’ concerns around generative AI, which she called “unquestionably the most significant issue facing the creative industries today,” but said the report fails to recognize that, “with the support of their labels, more U.K. artists are succeeding in the streaming economy than ever before.”
“In an increasingly competitive global industry, their approach risks limiting investment and harming the U.K. talent of the future,” said Twist in a statement.
Umbrella trade group the Council of Music Makers, whose members include the Musicians’ Union and Music Managers Forum, was more positive about the committee’s findings. In a statement, the organization said the report provides a good summary of the issues and some of the proposed solutions to improve creators’ remuneration, but cautioned that for real progress to be made, “we need stakeholders from across the music industry to stop denying reality and to, instead, come to the table with solutions, whether that’s the copyright reforms proposed by MPs or a negotiated agreement.”
When he first started his own agency, Andrew Kelsey worked out of a tiny, windowless office in San Francisco’s Mission District. He had no experience as an agent, but he did have a passion for underground electronic music and an ambition to get bookings for artists who were making it.
Twenty years later, Kelsey has a staff of 18, offices in San Francisco and Brooklyn — both of which boast natural lighting — and a roster of more than 140 house, techno and indie electronic artists whose “underground” sound has, over the last two decades, become the prevailing style of commercial electronic music in the United States.
Kelsey’s agency, the independently owned and operated Liaison Artists, now books 5,000 shows a year, including at major festivals like EDC Las Vegas, Ultra Music Festival and Coachella, where this weekend, Liaison artists Carlita, Folamour, The Blessed Madonna, Bicep, ANOTR, Eli & Fur, Ame and Innelea are all slated to play.
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“I thought it was going to be big,” Kelsey tells Billboard over Zoom, “but not this big.”
As tastes have shifted toward the style of music Liaison has always championed, the agency has grown in tandem. The company doubled in size just before the pandemic, then doubled again when live shows returned. The staff now includes eight agents, including Kelsey and his partner, Mariesa Stephens, who joined the agency in 2008 after meeting Kelsey through the Bay Area nightlife world.
Following the pandemic, veteran agents Emma Hoser and Meryl Luzzi joined the team, bringing in clients including house titan Jamie Jones, techno pioneers Adam Beyer and Nicole Moudaber and artists from the revered Anjunabeats and Anjunadeep labels. Beyond the agents, Liaison employes four accountants and several coordinators who, Kelsey says, “make the machine run.”
There was no machine to speak of when Kelsey moved to San Francisco in 1998. He arrived with one bag from his native Buffalo, N.Y., where he’d booked clubs while earning a criminal justice degree and interning at the courthouse. (“I just had a moment of like, ‘this is miserable,’” he now says of the experience. ”) In San Francisco, he found a thriving electronic music culture and knew he had to be a part of it.
But with minimal experience, there was no clear “in.” Eventually, Kelsey hustled his way into an internship at Urb Magazine, a job for which he’d “bomb the city with materials” like CDs, posters and show flyers. This led to a four-year run doing distribution at Om Records, where – after observing the label’s in-house booking agent – he decided he wanted to be an agent, too.
When his boss at Om told him no, Kelsey “quit on the spot and started an agency with no experience,” he says. He made inroads by seeking out the music he liked and persuading a few artists that, with his “absolute dedication to working hard and just making it succeed,” he could represent them. Liaison officially launched in 2004, with Kelsey signing his first big artist, Claude VonStroke, in 2006.
Around that time, Kelsey spent a summer traveling to festivals throughout Europe, then did a five-month stint in Berlin, where he was converted to the religion of techno. (He also opened a Liaison office in Berlin from 2007-2009.) The experience in Europe “just changed my life,” he says. “It was another epiphany of wanting to bring that music to the U.S.”
At that time in the United States, the house and techno scene mainly existed at warehouse parties and smaller clubs in cities like New York and Los Angeles. Then-nascent festivals like EDC Las Vegas and Ultra Music Festival in Miami were booking the genres, but Kelsey says most festival stages for this music were “1,000 capacity with no production, in the mud, on the side, just a complete afterthought. There wasn’t even any hospitality onstage, just a couple of warm beers in a dirty cooler.”
Then everything changed. The EDM boom of the early to mid-2010s brought electronic music to mainstream consciousness in the United States, where it became a major economic force. When the boom’s bombastic “mainstage” sound cooled off, it was replaced in popularity by house, techno and the many subgenres that exist under these two styles. That’s when things shifted for Liaison.
“I’d say in 2015, it really started moving,” says Kelsey. Suddenly, artists who’d previously been playing 500 capacity clubs were getting booked for much larger stages. San Diego’s CRSSD Festival launched in 2014 to service the sound, and Coachella launched its club-style Yuma Stage in 2013, with that space growing from 1,500 to 7,000 capacity over the last 11 years. Anjunadeep showcases used to max out at 500 people; now they happen at Colorado’s 10,000-capacity Red Rocks Amphitheater.
Andrew Kelsey and Mariesa Stephens
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Chicago’s ARC Music Festival, which features house and techno exclusively, launched in 2021, with longtime Liaison client Honey Dijon headlining in 2022. This weekend the artist (who won a 2023 Grammy for her work on Beyoncé’s dance-oriented Renaissance) will also play Coachella’s new Quasar Stage, which will host three to four extended dance sets.
“I remember watching the festival change, with [Coachella co-founder] Paul [Tollett] and company putting underground dance music artists on [the festival’s massive] Sahara stage, which was kind of the next organic step for this music,” says Kelsey. “I feel like all the major promoters have been in lockstep… We used to do 200 capacity shows together and all grew together with this music.”
With this growth has come revenue, and competition. In the earlier days, Stephens says a $40,000 fee for a bigger name underground artist “was often the ceiling.” These artists were usually relegated to 2,000 capacity rooms and smaller side stages at major festivals.
Now, “the entire game has changed,” Stephens continues. “Underground artists are selling out Madison Square Garden and 25,000 cap stadiums” and playing festival headlining sets for tens of thousands of people. She says “artist fees have certainly followed suit.”
Naturally, major agencies have expanded their rosters to include these formerly niche sounds.
“I’d be lying if I said it wasn’t deeply competitive,” Stephens says. “For many years, the majors were less of a concern for us, but there has been a major shift recently where the music Liaison has been nurturing since our inception has become wildly popular, and things did change.”
While some of Liaison’s artists “did leave in search of greener pastures,” she continues, “they were few and far between, and most of our core artists have been very loyal to us.” (With Liaison specializing in North and South America, all of its artists have different agencies in Europe and the rest of the world which Liaison works in partnership with.)
Kelsey says it’s Liaison’s authenticity and its passion for, commitment to and knowledge of this type of music that inspires artists to stay.
“Liaison embodies the perfect blend of underground authenticity and mainstream appeal,” says Dominik Ceylan, managing partner of Temporary Secretary, a German artist management group with clients, including Dixon and Ame, who are represented by Liaison in North America. “If you’re passionate about music and see your booking agency as an integral part of an ecosystem dedicated to nurturing artists and helping them thrive, Liaison is your go-to partner.”
Currently, the agency is particularly focused on developing artists’ brands, with Dixon’s Transmoderna and Bicep’s Chroma – both of which feature custom multimedia experiences — giving Liaison the chance to “bring an artist’s vision to life in a very 360-degree way,” says Stephens. As one of the few Black agents in electronic music, she’s also particularly excited about developing Francis Mercier’s Deep Root Records family of artists. “Going to parties filled with black and brown faces [is] deeply inspirational for me,” she says
Both Stephens and Kelsey agree that the market for the music they specialize in only seems to be growing, with its name at this point only used for lack of a better word.
“There’s really,” Kelsey says, “not much underground about it.”
They love artists, they’ve got money to burn, and they’re the music industry’s new obsession: Say hello to superfans.
In January alone, Warner Music Group CEO Robert Kyncl called for “stok[ing] the blue flames of superfans” and additional “direct artist-superfan products and experiences”; Universal Music Group CEO Lucian Grainge highlighted the value of “superfan experiences and products”; and Spotify hinted at future “superfan clubs” in a blog post.
The following month, leaders at Interscope and Live Nation shouted out superfans. That was all before Joon Choi, president of the Korean fan platform Weverse, one-upped everyone by telling Music Business Worldwide that “the potential for growth in the superfan business and economy is limitless.” Stoke those blue flames right, and they’ll never stop burning.
All this runaway enthusiasm about superfans “goes back to that Goldman Sachs article,” says Mike Biggane, a former UMG executive and founder of Big Effect, which is developing technology designed to help smaller artist teams. Last summer, the financial institution posited that superfans — Luminate defines this group as listeners who “engage with artists and their content in five-plus different ways” — could inject more than $4 billion into the music industry by 2030.
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Goldman’s report also noted that the music business struggles “to fully monetize its content.” Nearly everyone listens to music, but the industry’s value pales next to that of gaming, for example. Games “have been more agile in terms of innovating and adopting ways to generate new revenue streams,” says Ben Sumner, managing director at Feel for Music, which helps games and brands with music supervision.
But for labels and streaming services, collecting new revenue from superfans may be easier said than done. “People are trying to find a simple way to mine fandom,” says Mike Pelczynski, one of the architects of SoundCloud’s “fan-powered royalties,” a payout system that aligns streaming revenue more closely with fandom. “It’s good for investors to hear, but it’s not simple. Every platform is different.”
Not only that: “So much of the conversation is about how to extract more out of the superfan, which I think is a big mistake,” says Bernie Cahill, founding partner of Activist Artists Management. “If you take care of them, you will get far more value out of that relationship than you will by selling them another piece of vinyl or a T-shirt.”
Pelczynski believes that “superfans want to be closer to, and most importantly seen by, their favorite artist.” They also clearly gain from their connections with like-minded enthusiasts — working together to orchestrate fundraising campaigns to support the acts they love, for example. Luminate found that superfans are 43% more likely than the average listener to say they “like to participate in the community” that springs up around an act.
These communities are defined by artist-to-fan and fan-to-fan relationships. It’s not immediately clear where labels can squeeze in.
And it’s notable that, historically, labels actually excel at reaching passive fans. A record label is unmatched when it comes to taking a song that’s connecting with audiences in one space and making it so ubiquitous that it becomes inescapable, the kind of thing that casual listeners run into at the gym and the supermarket. “We can reach Fall Out Boy‘s superfans pretty easily,” says Jonathan Daniel, co-founder of Crush Management (FOB, Miley Cyrus, Lorde and others). “When they have a song that raises its hand above the superfans, different opportunities come for them, and that’s where you really need the label — they’re great at taking it really wide.”
What’s more, in an age of artist empowerment, it’s hard to imagine many acts ceding control of their superfan communities to record companies. “Smart artists really curate a direct connection themselves,” Cahill says — they know their diehard followers keep them afloat. (It’s jarring to hear executives say things like “fandom is the future,” as if it wasn’t also the past.)
These days, due to the fact that artists can record, distribute and market themselves all on the cheap, they usually amass a dedicated following before they even sign to a label. This tends to give them a lot of sway in contract negotiations, and as a result, 360 deals — where labels take a share of the money that artists make from touring and merchandise sales, for example — are out of favor with young managers and lawyers, limiting record companies’ ability to cash in on superfans’ passion.
Nonetheless, to the extent that labels can encourage superfans to stream more or buy additional vinyl variants, they stand to gain financially. All the major labels also own merch companies, so if they can stoke demand for t-shirts that are subsequently manufactured by their own outlets, that’s another win. And UMG recently invested in Weverse and NTWRK’s acquisition of Complex, allowing it to benefit indirectly from superfandom.
Warner has another plan altogether: In February, Kyncl said that he’s “assembled a team of incredible technology talent” to construct “an app where artists can connect directly with their superfans.” While he hasn’t shared any additional details on what this will look like, users would presumably only have access to Warner artists on a Warner superfan platform. However, most listeners probably also want to connect with some acts signed elsewhere, to the extent they even know what labels their favorite artists are signed to.
The other hurdle for new superfan apps, or streaming platforms trying to add new superfan features, is all the existing options: The majority of artists already try to interact with their most passionate fans on TikTok, Instagram, Discord, Reddit and more. As a result, “artists’ time is very scarce,” says Roneil Rumburg, co-founder and CEO at Audius, a blockchain-based streaming service which enabled direct payments from fans to artists last year.
If more streamers try rolling out superfan features — SoundCloud, for example, allowed acts to message their top fans last year — then artists’ time will be crunched even further, as each platform will presumably require a different approach to engagement. In fact, Kyncl used exactly this reasoning to justify Warner’s venture into platform building. Artists “don’t want to optimize just for one platform over another,” he said.
“The few companies that are trying to build their own ecosystems, I applaud it,” Pelczynski says. However, “I think it’s going to be very challenging to make something that people will be willing to spend their time on and add to their daily usual behaviors.”
Like labels, the most prominent streaming services have spent a lot of time in the past decade figuring out how to serve music up to passive fans. (Spotify once had a messaging system, but it was discontinued in 2017 due to “very low engagement.”) They have had success using various recommendation methods — editorial playlists, algorithmic playlists — to ensure that people keep listening.
But a new generation of listeners appears less interested in throwing an editorial playlist on in the background. Younger, more engaged fans like to slow down their favorite artist’s track, mash it up, or duet with it, leading to the proliferation of homemade re-works across social media platforms.
“For the first time ever, an artist can put a song out and it might be a fan-created flavor of it that connects,” says Gaurav Sharma, founder of Hook, a platform that helps rightsholders monetize user-generated remixes. “Community is being built around music on social media, and fan remixing is a way to be unique in that expression.” It may be hard for major streaming services to cater to this type of fandom, though, due to rights issues: Labels probably aren’t going to condone unauthorized remixes on prominent music streamers. (This is the problem Hook is trying to solve.)
There has also been speculation around the industry about streaming services charging superfans extra for early access to music, a tactic that calls back to the exclusive album windows of a decade ago. That said, “fans expect a LOT of value to justify a monthly fee, especially with subscription fatigue,” according to a recent (subsequently deleted) tweet from Emily White, a former Spotify and Billboard employee whose “team was exploring artist fan clubs.”
Still, despite all the potential obstacles, “We’re seeing a lot of momentum on the institutional music side to figure this out and do it quickly,” Rumburg says, before adding a note of caution: “When so many hopes and dreams get injected into one word or concept, there’s no way it ever lives up to the hype.”
On Tuesday evening (April 9), as Belmont University’s Mike Curb College of Entertainment and Music Business celebrated a special “Belmont at the Opry” program, the program also revealed a $58 million lead gift from music industry executive and philanthropist Mike Curb and the Mike Curb Foundation, which will fuel a further expansion of the program’s presence on Nashville’s Music Row, with the renovation of existing buildings and the construction of a new state-of-the-art facility.
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The expansion comes as Belmont’s music business program celebrated its half-century milestone last year. The program launched in 1973, founded by the late Robert E. Mulloy and with support from former University president Dr. Herbert Gabhart and music industry executive Cecil Scaife (who was part of Sun Records in Memphis before relocating to Nashville), with the intent of providing formal education and real-world career experience to young adults with aspirations of entering various sectors of the music business, including record production, label operations, songwriting, music publishing. The Mike Curb College of Entertainment and Music Business was established in 2003 and is located at 34 Music Square East in Nashville (Belmont has contributed to preserving the historic Music Row recording studios Columbia Studio A and Owen Bradley’s Quonset Hut). The program is also a mainstay on Billboard’s annual Top Music Business Schools list.
The expansion project will be in two phases. The first, which is underway, includes the renovation of the historic Buddy Lee Attractions/Capitol Records building at 38 Music Square East. The renovation will add 17,000 square feet of space, including songwriting rooms, live sound classrooms, listening spaces and student lounges. The renovation will also include an updated space for Nashville’s Leadership Music office.
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Phase two will involve developing a 75,000-square-foot building behind the program’s current Music Row-area building, with construction of the new facility beginning over the next 24 months. The building will serve both students and the greater Music Row-area community, encompassing a performance venue that can accommodate more than 150 people, as well as networking and gathering spaces for both students and industry professionals, a coffee shop, content creation rooms and underground parking. Phase two will involve a broader fundraising campaign, which launched Tuesday night.
Curb’s gift, and renderings of the spaces, were unveiled during a reception held just prior to the “Belmont at the Opry” event, which featured prominent Belmont University alumni, including artists Trisha Yearwood, Brad Paisley, Tyler Hubbard, Hailey Whitters, Ashley Cooke and Ian Munsick, as well as songwriters Ashley Gorley, Hillary Lindsey and Nicolle Galyon.
Other Belmont alumni among Nashville’s music industry community include Steven Curtis Chapman, Josh Turner, COIN, Brian Kelley, Sony Music Nashville CEO Rusty Gaston, producer/guitarist Dann Huff, UMG Nashville chair/CEO Cindy Mabe, Spirit Music Nashville CEO/Chief Creative Frank Rogers and Warner Chappell Nashville president/CEO Ben Vaughn.
“Mike Curb’s remarkable generosity and partnership with Belmont over many years has been invaluable in advancing entertainment and music business education,” Belmont University President Dr. Greg Jones said. “This latest transformational gift solidifies Belmont’s position at the forefront of developing the next generation of music industry leaders. We are profoundly grateful to Mike and Linda for their continued investment in Belmont’s mission.”
“As Nashville’s music industry has grown and evolved into an international entertainment hub, it’s crucial that our education system keeps pace to develop skilled talent,” Curb added. “Belmont has been a fantastic partner over the years in preparing aspiring artists, songwriters, engineers, and music business leaders who go on to become invaluable employees for record companies throughout Nashville and the industry at large. With this latest investment, we’ll build upon that strong foundation to push entertainment and music business education ahead to the next level, ensuring a steady stream of well-prepared professionals for the ever-growing industry.”
“For 50 years, our faculty, stage and world-class facilities have made Belmont a top destination for future music executives, engineers, artists and songwriters. Mike’s partnership over decades has allowed Belmont to continually elevate our entertainment curriculum and facilities in lockstep with industry needs,” said Brittany Schaffer, who joined the Curb College of Entertainment and Music Business as dean in May 2023. “This lead gift allows us to deepen our integration with Music Row, creating an unprecedented immersive experience that will directly connect our students with industry leaders and opportunities while driving innovation alongside our partners in Nashville’s entertainment landscape.”
Lisa, the breakout singer, dancer and actress from the hugely successful K-pop group BLACKPINK, has signed with RCA Records for solo recordings, the parties announced Wednesday (April 10). The deal, a partnership between Lisa and her LLOUD Co. management and creative company with RCA, will allow her to retain ownership of her master recordings. In […]