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Billboard is expanding its global footprint in Asia with the launch of Billboard Korea. The expansion, in partnership with Global Entertainment Media Group (GEMG), will be dedicated to the flourishing Korean music scene. Billboard Korea‘s first issue, Billboard K Vol.1, is scheduled for release in June. “We are thrilled to announce our expansion into Korea,” […]
Universal Music Group (UMG) shares rose 3% on Friday — the same day news broke that the company will lay off hundreds of staffers — and finished the week up 6.9% to 26.95 euros ($29.54). The prospect of cost savings made UMG the top-performing music stock of the week, beating French music streaming company Deezer’s 6.5% gain and 6% improvements by both Chinese music streamer Tencent Music Entertainment and live entertainment company MSG Entertainment.
UMG first let investors know it was planning layoffs in its October earnings call. On Friday, a report by Bloomberg said UMG is planning layoffs as early as this quarter, primarily in its recorded music division. A company spokesperson declined to comment on the scope and timetable of the layoffs but told Billboard UMG is “creating efficiencies” in certain areas of the business “so we can remain nimble and responsive to the dynamic market, while realizing the benefits of our scale.” UMG’s stock gained 14.7% in 2023.
Despite no stocks finishing the week with double-digit gains, the 20-company Billboard Global Music Index rose 3.6% to a record 1,566.45 as 12 companies posted gains and eight companies’ share prices declined. Streaming companies led the way with an average gain of 3.9%. Live music companies averaged a 0.7% improvement. Record labels and publishers dropped an average of 1.5%. Radio companies lost an average of 4%.
Music stocks topped the tech-heavy Nasdaq composite, which gained 3.1% to 14,972.76 and easily bested the S&P 500’s 1.8% increase to 4,783.83. In the United Kingdom, the FTSE 100 fell 0.8% to 7,624.93. South Korea’s KOSPI composite index dropped 2.1% to 2,525.05.
The index got a big lift from Spotify’s 4.9% gain to $203.03 this week. Spotify has surged 12.4% since it announced layoffs on December 4 and pledged to operate more efficiently. On Thursday, Spotify closed above $200 for the first time since Feb. 1, 2022. At Friday’s closing price, the stock is up 120.5% in the last 52 weeks.
Live Nation finished the week up 1.6% to $90.66 after Roth analyst Eric Handler upgraded the stock to “buy” and increased the price target from $92 to $114. The $114 price target implies a nearly 26% upside from Friday’s closing price.
Shares of French music company Believe fell 10.5% to 8.97 euros ($9.83) on Friday’s news that the company’s investors were pursuing taking the company private. According to a Reuters report, Believe’s largest shareholders, which includes founder Denis Ladegaillerie and U.S. investment firm TCV, have been working with advisors to gauge the interest of private equity firms. In the first nine months of 2023, Believe, the owner of digital distributor TuneCore and record labels such as PlayTwo and Jo&Co, had revenue of 630.4 million euros ($691 million), up 14.8% year over year.
While other companies in recorded music and publishing posted gains this week, K-pop stocks were down across the board. HYBE’s 2% decline to 247,000 won ($188.05) was the best of the four South Korean music companies. JYP Entertainment fell 8.3% to 96,600 won ($73.54). Two others each dropped 5.9%: SM Entertainment closed at 88,200 won ($67.15) and YG Entertainment finished the week at 43,100 won ($32.81).
This year, Billboard Canada will introduce the first Canadian edition of Power Players. The list will celebrate individuals pivotal in advancing Canadian music and boosting artists who are making a global impact.
Billboard Canada’s Power Players celebration will take place on Sunday, June 2, 2024, with an event held on the opening night of the long-running music festival and industry conference, Canadian Music Week (CMW).
CMW founder Neill Dixon says he noticed a void within the music industry and was looking for a method to spotlight key industry professionals. In its 42-year history, CMW has established itself as the central hub for industry professionals from Canada and across the globe. The introduction of Billboard Canada‘s Power Players list is set to provide a significant boost, propelling these industry voices to new heights.
“[It’s] a recognition long overdue for Canada,” says Dixon.
Canada’s music industry is in a pivotal moment of transformation. Following the breakout success of artists like Drake, The Weeknd, Justin Bieber and Shawn Mendes over the last decade and a half, a new generation of emerging artists is making its mark on the world stage.
In 2023, Tate McRae established herself as a global star, hitting No. 1 on the Billboard Canadian Hot 100 and Billboard‘s Global 200. Punjabi-Canadian artists like Karan Aujla and AP Dhillon made major waves across the world and signalled the global potential of Canada’s cross-cultural music scene. Meanwhile, with Canadian Content regulations and the Broadcasting Act under review for the first time in a generation, the industry is being reshaped and rethought before our eyes.
The Power Players list will be peer-nominated and selected by the Billboard Canada team. Nominations are set to open in February. – Richard Trapunski
Luminate 2023 Year-End Report Reveals Canadians Love Old Music, Afrobeats and Country
In 2023, Canadian total album consumption was up, while album sales — including physical and digital — declined slightly, according to the Luminate Year-End Music Report released this week.
While Luminate usually releases a separate Canadian report, this year the country’s data is included with the full global report.
In Canada, catalog sales are strong. Luminate compared growth in catalog consumption versus current release consumption, and found that in Canada, catalog represented 73.1% of music consumption while current releases represented only 26.9%. Catalog consumption also grew more than current release consumption last year, at 17.4% versus 9.1%.
Canada came in ninth place on Luminate’s list of the top 10 countries by streaming volume, with 145.3 billion streams. Canada doesn’t appear on the top 10 countries by streaming growth list, however, where India took the number one spot. Canada is also one of five countries outside the United States where hip-hop and R&B perform the best on streaming.
In Canada, Afrobeats had a big year thanks to Rema and Selena Gomez‘s “Calm Down,” (which finished second on Luminate’s list of top 10 songs of 2023 in Canada by audio- and video-on-demand streams) but Latin music has struggled to break through in the same way as it has in the United States, with 2023 heavy-hitters Peso Pluma and Karol G failing to land on Canada’s year-end charts. Country is very popular, though: Morgan Wallen is on Canada’s top 10 albums of 2023 by total equivalent album units, finishing at No. 1 with One Thing at a Time and at No. 4 with Dangerous: The Double Album. Further down the list is Luke Combs’ Gettin’ Old at No. 9.
Find all of the Luminate year-end lists and data insights, both for Canada and the United States, here. – Rosie Long Decter
Rêve Finds Some “Contemporary Love” on the Billboard Canadian Hot 100
This week marks the first Billboard Canadian Hot 100 since the holidays, and with the drop-off of seasonal songs, there’s lots of room for shakeups on the charts. The opening has certainly benefitted Montreal dance-pop artist Rêve, who has a new entry on the charts this week: Her new song, “Contemporary Love,” lands at No. 77.
This isn’t Rêve’s first Canadian Hot 100 appearance; her single “Whitney” finished at No. 68 on 2023’s year-end Canadian Hot 100 and cracked the top 10 on Billboard‘s Dance/Mix Show Airplay chart in the United States. A previous single, “CTRL + ALT + DEL,” peaked at No. 38 on the Canadian Hot 100 and was certified platinum. In 2023, Rêve released her full-length debut, Saturn Return, and was featured in Billboard‘s Dance Artist of the Month series. She also picked up a Juno Award for Breakthrough Artist.
“Contemporary Love,” a cut off Saturn Return, was released along with a music video in July. The track is now picking up steam following Rêve’s guest judge appearance on Canada’s Drag Race at the end of 2023, where she gave pointers to the competitors on a girl group challenge. The energetic dance-pop track, featuring very ’80s synth bass and drum fills as well as a rapid-fire chorus, has an intensity that could propel it even further up the chart.
Also making moves on the Canadian Hot 100 this week is Tate McRae, who returns to No. 1 with “greedy” following a holiday hiatus. The Calgary pop star is also blowing up in the United States, having just claimed the No. 3 spot on the Billboard Hot 100, behind Jack Harlow‘s “Lovin On Me” and Taylor Swift‘s “Cruel Summer.” Might she have enough momentum to take the No. 1 spot in the coming weeks?
Notably, McRae currently has two other songs on the Canadian Hot 100: “exes” at No. 19 and “run for the hills,” which hit a new peak at No. 34. Both are also charting on the U.S. Hot 100. – Rosie Long Decter
We live in the age of unparalleled music discovery and easy and cheap, often free, access to the world’s music. Listeners have never had it better. Luminate, the company that tracks music streaming and sales globally, said in its 2023 year-end report that its database of ISRCs — international sound recording codes, the identifiers given to unique recordings that allow them to collect royalties — reached 184 million in 2023.
But most of those songs barely register with listeners. Of those 184 million tracks, 60% — 109.5 million — weren’t streamed enough times to pay for a cup of coffee. About 16% — 30 million tracks — were streamed from 101 to 1,000 times. Another 18% — 33.9 million — were only streamed up to 10 times.
For companies that must handle the deluge of new music, the more alarming statistic is the number of tracks that went completely ignored. A quarter of those 184 million tracks —45.6 million — were not played even once, according to Luminate. That’s 45.6 million tracks with official ISRCs, made available through one of many digital distributors and taking up server space, that didn’t receive a single play last year. Not too long ago, 45.6 million was the entirety of a streaming service’s licensed catalog!
A few decades ago, the promise of streaming — as popularized by the 2006 book The Long Tail — was the ability for niche music to find an audience. No longer faced with the limited shelf space of a brick-and-mortar retailer, consumers could explore deep catalogs and find music they loved rather than buy whatever was readily available.
The economics of streaming is what helps more music get heard. On a streaming service, the cost of listening to one more song is zero. At most, it’s the value of the time spent listening to the song. With downloads, the cost of enjoying one more song is 99 cents (or $1.29 for the more popular tracks). The all-you-can-eat streaming service’s flat fee means people don’t have to pay more to consume more. Ad-supported streaming doesn’t even have a flat fee — the cost of listening is the cost of waiting through an advertisement.
The low cost of streaming, although great for music discovery and falling into musical rabbit holes, has never been a guarantee a recording will find an audience. In written testimony in 2016 to the Copyright Royalty Board, Will Page, then Spotify’s director of economics, noted that in 2013, 20% of Spotify’s 20 million-track catalog received no streams. Spotify “is not just increasing the sheer number of tracks available to the public,” Page wrote, “it’s ensuring that music can actually be heard.”
Well, not everything was getting heard. One-fifth of a catalog going untouched is a large void, but it was an improvement: Page also noted that a 2008 U.K. study found that over 80% of digital tracks went unsold. Just because digital distribution and inexpensive recording tools lowered the barriers to entry didn’t mean people would buy the music. Still, streaming allowed more music to get heard. But as the amount of music released annually exploded, the number of unheard tracks deepened dramatically. In 2013, when Spotify’s catalog had 20 million tracks, only 4 million didn’t get a single stream. Last year, Luminate counted 11 times that many tracks across all streaming services that didn’t receive one stream.
Streaming platforms, for all their playlists and ability to personalize the listening experience, can’t draw attention to every new recording. The better business decision appears to be to guide listeners to music they’ll most likely enjoy. Playlists are popular places to find new music, but the most popular ones cover only a small fraction of the more popular new releases. According to Chartmetric data shared with Billboard, there were 5,256 unique tracks on Spotify’s New Music Friday playlist last year (it currently has 4.8 million followers). Chartmetric tracked about 8.4 million tracks released in 2023 on Spotify last year (it doesn’t track every track uploaded to the service). That means 0.06% of those new releases found their way onto New Music Friday. A new track had an even lower odds of appearing on Spotify’s Today’s Top Hits playlist (34.6 million followers), which had only 201 unique tracks in 2023.
Of course, Spotify and other streaming platforms have far more than those two playlists, as well as personalization features and algorithm-driven tools to introduce people to music. And there is some evidence listeners are branching out well beyond the most popular tracks.
According to Luminate data shared with Billboard, the top 10,000 U.S. tracks’ share of total on-demand audio streams fell from 50.4% in 2018 to 40.3% in 2023. By Billboard‘s estimate, as streaming exploded in those six years, the 10.1 percentage-point swing equates to 377 billion on-demand audio streams that migrated from the top 10,000 tracks to less popular music. That’s a collective win for today’s do-it-yourself artists, hobbyists, bedroom producers, aspiring professionals and working-class musicians — and a more modest win for any single artist’s royalty income.
But 38 million new tracks per year seems to have broken the system. Those services reach far more users today than seven years ago. People have shifted their listening time from owned media (CDs, downloads) and radio to streaming. And yet with more streamers and more time spent streaming, a quarter of all commercially available tracks received zero streams in 2023.
There are financial implications to this sea of unheard and seldom-heard music. The marginal cost of server space is small, but the cost of handling music at this scale isn’t zero. Staff must be hired to build and maintain systems that ingest tracks, manage assets and handle royalty accounting. Cloud storage must be obtained for tens of millions of tracks with little to no economic value. If a quarter of the products aren’t selling because supply and demand are mismatched, that’s a big deadweight loss to the industry. This hasn’t been lost on labels, distributors and streaming platforms, of course. One solution has been to adopt new royalty calculations that set a minimum threshold of streams to receive royalty payouts.
None of this is a surprise. ISRCs are inexpensive for an artist to obtain, and it’s never been easier to record a song and upload it to a digital platform. There will continue to be a mismatch between the supply of music and listeners’ demand for that amount of music. The question is what the music industry wants to do about it.
As Universal Music Group chairman/CEO Lucian Grainge forecast in an October earnings call, saying that the company would need to “cut to grow,” UMG is expected to begin laying off employees as soon as this quarter.
Bloomberg first reported the news Friday morning (Jan. 12) that in the next few months hundreds of jobs will be cut from the company that has around 10,000 staffers worldwide.
A spokesperson for UMG declined to confirm the number or the timetable, but in a statement said, “We continue to position UMG to accelerate its leadership in music’s most promising growth areas and drive its transformation to capitalize on them. Over the past several years, we have been investing in future growth—building our ecommerce and D2C operations, expanding geographically, and leveraging new technologies. While we maintain our industry-leading investments in A&R and artist development, we are creating efficiencies in other areas of the business so we can remain nimble and responsive to the dynamic market, while realizing the benefits of our scale.”
In his New Year’s memo to the company, Grainge hinted at changes, writing the company will “further evolve our organizational structure.”
Despite the cuts, Grainge has promised further growth. In his same memo, he noted UMG’s global growth in the past year, including the restructuring and expansion of distribution company Virgin Music Group into such areas as the Middle East, Africa, India and China.
That is a plan that Grainge said promises to continue: “We will keep growing our presence around the world by doing just what we do in more established music markets: signing and developing local artists; providing local labels and entrepreneurs with global promotion, distribution, and a full suite of artist services; and acquiring local labels, catalogs and artist services businesses.”
The news comes while the U.S. recorded music industry continues to grow, despite the potential for streaming saturation and growing challenges from artificial intelligence. U.S. music consumption grew 12.6% in 2023 to 1.1 billion units (measured as album sales plus track equivalent albums and streaming equivalent albums), according to a year-end report issued by Luminate on Wednesday. With that double-digit gain, the U.S. market had its biggest one-year gain since consumption grew 15% in 2019.
UMG remains the leader in U.S. market share, bolstered by artists like Taylor Swift, Morgan Wallen, Post Malone and Olivia Rodrigo. For 2023, its record label market share was 35.84%, up 33.57% from 2022.
Warner Music Group already experienced layoffs, cutting roughly 4% of its staff last year.
Leading indie distributor DistroKid has named COO Phil Bauer as its new president, the company announced Thursday (Jan. 11), where he will lead day to day operations. As part of the new leadership structure, founder and CEO Philip Kaplan is transitioning into the role of chairman moving forward. Bauer has served as COO of the […]
It’s time for another quick spin around the Executive Turntable, Billboard’s comprehensive(ish) compendium of promotions, hirings, exits and firings — and all things in between — across music.
Deezer appointed veteran tech and media executive Ivana Kirkbride as chief commercial officer, with an eye on boosting commercial partnerships and fueling further global expansion at the Paris-based streaming service. Kirkbride recently co-founded Creators.org, a non-profit advancing creator rights, and since June 2023 had been an advisor at Emirates Capital, with a focus on tech. Prior to that she was director of product marketing at Meta and a decade ago was a lead strategist for original programming and acquisitions at YouTube. Based in Deezer’s Paris headquarters, Kirkbride will report to the company’s CEO, Stéphane Rougeot.
“Ivana has an excellent track record in leadership roles across business development, sales and product innovation in tech and media, which makes her a fantastic addition to Deezer,” said Rougeot. “We are aiming for significant growth and Ivana is exactly the right person to take the lead as we expand our partnership business.”
Elliot A. Resnik joined Raines Feldman Littrell LLP (Raines) as partner in the firm’s entertainment and media group. Resnick, a regular honoree in Billboard‘s list of top music lawyers, was most recently partner and chair of entertainment at Masur Griffitts Avidor, where his clients included Run The Jewels, Killer Mike, National Independent Venue Association (NIVA), Yotto and more. That roster, which also includes producers Dave Sardy and Keith Harris, Giant Step Marketing and Convicts Agency, comes with him to Raines. Earlier in his career, Resnik spent more than a decade at Herbsman, Hafer, Weber & Frisch, where he rose to senior counsel, and in the early oughts he was an in-house attorney at TVT Records. Elliot will be based in Raines’ New York office. “I’ve known Elliot since he was a feisty newly-minted lawyer just entering the music business and watched him and his client base grow throughout the course of his career,” said Andy Tavel, chair of media & entertainment. “He has now become an innovative and collaborative lawyer, negotiating cutting-edge deals at the highest levels.”
Atlantic Records went and promoted three vp-level execs. Jason Davis, who oversees media campaigns for Jack Harlow, Ed Sheeran, Lil Uzi Vert and others, and oh-by-the-way has been at the label for 14 years, was promoted to senior vp of media engagement and strategy. Ring-a-ding, Brittany Bell got a bump to vp of media relations and will continue handling media rollouts for a roster that includes Roddy Ricch, Don Toliver and Bruno Mars. Finally, Jordan Chalmers is promoted to vp of custom activations and emerging technology, which means he’ll work with outside creators, tech partners and platforms on developing cool marketing efforts for Atlantic acts. To date, Chalmers has worked on bespoke campaigns for A Boogie wit da Hoodie and Lil Uzi Vert, among others.
Arista Records brought in a couple industry pros to amp up its New York office. Sharon Timure, a 20-year veteran of Island Records, will oversee all marketing efforts at the label as — you guessed it — head or marketing. During her Island time, she worked across multiple marketing spaces and focused on building the careers of superstars like The Killers, Demi Lovato and up-and-comers Bon Jovi. Over in the publicity department, Kelsey Hession joined from Glassnote Records to be Arista’s new publicity lead. Prior to G-note, where she worked with Phoenix, CHVRCHES and the like, she put in time at Live Nation, SONGS Music Publishing and Hiltzik Strategies. Both report to president and CEO David Massey and general manager Veronica Sanjines. “Sharon brings an incredible prowess to developing artists with a progressive marketing strategy and Kelsey’s forward-thinking approach to media will be a driving force to build buzz around our roster,” glowed Massey.
Warner Music India promoted Sujal Parekh to general manager of operations in the emerging market. It’s a big move for Parekh, who joined WMI as finance director in February 2021. In his new role, he’ll co-pilot the business with managing director Jay Mehta and work to drive growth across digital operations, artist management, publishing, live events and strategic M&As, among other duties. Prior to joining team WMG, Parekh spent 10 years at Bigtree Entertainment’s BookMyShow, where he rose to associate vp of finance. “We believe in empowering our team by offering greater responsibilities and nurturing leaders within the organisation,” said Mehta. “This marks a pivotal moment as Sujal’s leadership will help guide many aspects of our business. His expertise will be vital as we strategically expand our local operations and empower our artists and partners to leverage Warner Music’s global resources to deliver unparalleled success.”
Endurance Music Group promoted Lauren Funk to the newly-created role of vp of publishing. Funk joined EMG in 2021 and has been instrumental in signing/retaining writers including Jordan Schmidt, Scooter Carusoe and Jake Rose. Funk will continue to manage the company’s relationships with its roster of hitmakers including Matt Stell and songwriter-producers Seth Alley and Paul Sikes, as well as identifying and signing new talent. –Jessica Nicholson
Gibson Brands put a ring on it with Luke Ericson, the iconic instrument maker’s interim chief operating officer since last May. As permanent COO, Ericson will continue his efforts to reorganize the business around manufacturing, planning and enterprise solutions to shape Gibson’s global strategy. Ericson joined the Les Paul maker from equity firm KKR, where he was an operating partner. Prior to KKR, he did some turnaround consulting — helping business recover from cash flow problems — at AlixPartners and around his native Australia. He reports to Cesar Gueikian, president and CEO of Gibson, who says “Luke’s overall experience as an operations expert, successfully serving in multiple leadership roles, uniquely positions him to drive operational excellence for Gibson. I have full confidence in Luke’s ability to lead our office of the COO, and Gibson, into the future.”
Indie distributor TuneCore named Akhila Shankar as the company’s new head of South Asia markets. The Mumbai-based executive will work to grow and manage TuneCore’s roster in the region, plus eye partnership opportunities and deliver innovative marketing campaigns for the company and its artists. Shankar arrives from Luminary, where she served as director of international. Earlier in here career she spent more than seven years at music streamer JioSaavn, rising to director of brand, communications and marketing. She will report to Tash Shah, TuneCore’s vp of international, as well as Vivek Raina, a regional managing director at TuneCore parent Believe. Shankar’s appointment follows the departure of former head of TuneCore, South Asia, Heena Kriplani.
ICYMI:
Jack Sussman is stepping down as evp of specials, music, live events and alternative programming for CBS Entertainment. While, Mackenzie Mitchell has been upped to vp of specials and Mitch Graham is now evp of alternative … Columbia promoted Joe Gallo (pictured) to general manager … Beatport bumped Matt Gralen to president and Helen Sartory to CRO … former Bosstone-ian Nate Albert was appointed president of Giant Music … and Utopia Music has hired its third CEO in a year and brought in a new COO.
The Academy of Motion Picture Arts and Sciences promoted Teni Melidonian to chief Oscars officer. In this newly created position, Melidonian will lead strategy, talent relations, special events and production teams for all awards programs and events throughout Oscars season. She’ll collaborate with the Oscars producers and show host; the Oscars’ broadcast partner, Disney/ABC; and Academy leadership, and oversee the teams involved in developing and executing the Oscars. Melidonian was most recently executive vp of Oscars Strategy. She began her Academy career in 2005 as a publicist, advancing to head communications and publicity and overseeing brand strategy and marketing before moving over to lead the Oscars Strategy team. She’ll continue to report directly to Academy CEO Bill Kramer. In addition, MaryJane Partlow has been upped to evp of awards production and special events. Partlow will report to Melidonian. Partlow joined the Academy in 2013 and most recently held the position of senior vp of awards production and special events. –Paul Grein
London-based live music agency One Fiinix Live hired rock-steady Bex Wedlake as its newest agent, effective immediately. Wedlake, who’s based in the US but will work alongside the UK crew, brings a roster that includes Black Stone Cherry, GWAR, Halestorm, Tiny Dancing Parts, Dance Gavin Dance, The Subways and who can forget Hoobastank. “Not only does she bring with her an incredible wealth of experience and a fantastic roster that aligns perfectly with our aspirations, but Bex has time and again spotted and developed new talent with a remarkable hit rate,” said One Fiinix Live founder and CEO Jon Ollier, who personally books the company’s biggest client, Ed Sheeran. Reach her at bex.wedlake@onefiinix.com.
Board Shorts: Sylvia Coleman resigned as independent non-executive director of Hipgnosis Songs Fund Limited, effective immediately. HSFL chairman Robert Naylor thanked Coleman, who was appointed in 2019, for helping as the board “has transitioned and reshaped itself” … The Copyright Alliance announced Richard James Burgess, president and CEO of A2IM, and Shannon Sorensen, senior vp of legal & business affairs at NMPA, as its newest at-large board members. Both will be serving two-year terms … Eight new patrons have joined Music Venue Trust, the UK charity backing grassroots music venues. They include singer/songwriters Jamie Webster, Hamish Hawk and Hannah White, DJ Jeff Automatic, bands Reverend and the Makers, Noah & The Loners and CHROMA, and Minister for Creative Industries John Whittingdale … PRS Foundation‘s board chair Nitin Sawhney will vacate that spot to become the UK music charity’s first patron, a role that will see him “work tirelessly in supporting talent development, management and promotion” … Speaking of patrons, Patreon hired Block veteran Paige Fitzgerald as the creator subscription platform’s new chief operating officer.
MSG Entertainment promoted Jessica Tuttle from senior to executive vp of productions. In this elevated role, Tuttle will continue to oversee operations for the legendary — and highly lucrative — Christmas Spectacular starring the Radio City Rockettes, which had its highest revenue run ever in 2022. She joined MSGE back in 2010 and has held roles in various sides of the business, including ticketing and touring of family productions. Tuttle will continue to report to James Dolan, executive chairman and CEO. “Throughout her tenure at MSG Entertainment, Jessica has been instrumental in growing our productions business by focusing on revenue-driving strategies, strategic partnerships, and brand growth,” said Dolan. “I am confident she will continue to develop new opportunities for the Rockettes and Christmas Spectacular brands in this expanded role.”
Brooklyn arts and media institution BRIC appointed Saidah Blount as executive director of its flagship live event program, BRIC Celebrate Brooklyn!. The annual performing arts series, which lives at the Lena Horne Bandshell in the Olmsted-and-Vaux designed Prospect Park, turns 46 this year. Blount and co. will focus up on bridging BCC! Into the digital space. She was previously global marketing director at Sonos, where she helped develop the audio tech company’s music service, Sonos Radio.
Fair Trade Services promoted two executives: Darren Elrod has been elevated to president, while James Rueger has been upped to chief creative officer. Both will report to FTS founder and CEO Jeff Moseley. Elrod joined FTS three years ago as COO, and previously served as COO at Provident Music Group. Rueger joined FTS in 2005 as an A&R manager, rising to his most recent role of svp of A&R before being named CCO. –JN
Music Will, a New Jersey-based non-profit that “equips educators to teach, students to learn, and lives to be transformed through music education,” appointed Mike Wasserman to chief executive officer, effective Jan. 16. In his new role, Wasserman will prioritize widening the organization’s already considerable reach — its teachers currently serve over 500,000 students in more than 600 cities throughout the U.S. He’s coming to Music Will from the Constructive Dialog Institue, where he serves as vp for growth and development. “In every conversation I’ve had with members of the Music Will community, that same passion for music feels so present,” says Wasserman. “It’s energizing and inspiring.”
Genesis Garcia joined music PR agency Orienteer as a publicist. She brings Teezo Touchdown to an Orienteer roster that includes 100 Gecs, BADBADNOTGOOD, Clams Casino, Dave, Earl Sweatshirt, King Krule, Hudson Mohawke and dozens more. Garcia arrives from RCA, where as associate director of publicity she was pivotal in the careers of Teezo, Steve Lacy and Victoria Monet, a seven-time nominee at the upcoming Grammy Awards, including best new artist and record of the year. Prior to RCA, Garcia worked in artist relations and A&R during a four-year stint at Def Jam Recordings.
Josh Posner is AMIBA Consulting‘s new vp and head of music and brand development. Formerly head of biz dev at Proof Holdings, Posner is better known in music circles as founder of JP Bookings, which has booked live shows featuring Diplo, Big Sean, Alesso and others. “Amiba specializes in providing brands access to talent – representing music artists, actors, creators, and more,” Posner noted in a LinkedIn post announcing his new gig. “What interested me most about the company is their groundbreaking work brokering deals between talent and startups, while working directly with talent to create new brands and businesses from their IP.”
Full-service entertainment agency EastCoast Entertainment promoted Kaitlin Sweeney to managing partner. She joined ECE as an agent in 2014 and assumed the role of manager of their Philadelphia location in 2017. “We are elated to add Kaitlin to our ownership team,” said ECE president John Wolfslayer. “Her passion, leadership and commitment to our artists, clients and employees exemplifies our vision and goals as a company.”
The U.S. Patent and Trademark Office appointed Sharon Israel as chief policy officer and director for international affairs. In her role, Israel will lead U.S. delegations to the World Intellectual Property Organization (WIPO), head the USPTO’s Office of Policy and International Affairs (OPIA) and play a vital role in U.S. copyright diplomacy in countries around the globe. “RIAA is enthusiastic about the Office’s continued trajectory under Ms. Israel’s leadership and we are very much looking forward to partnering on creative community priorities such as safeguarding copyright protection in the context of AI, including in the US pursuant to the recent Executive Order, as well as in multilateral work in the G7, OECD and other forums,” says RIAA Chairman & CEO Mitch Glazier. “We are equally eager to work together with the OPIA Director to push back against highly-concerning text-and-data-mining exceptions to copyright overseas, including in Japan and Singapore.”
Last Week’s Turntable: DICE Pays Piper to Handle Communications
G Herbo has been sentenced to three years of probation after pleading guilty to participating in a scam involving stolen credit card information – a fraud that prosecutors say netted the Chicago rapper almost $140,000 in private jet flights, vacation lodgings and luxury car rentals.
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Herbo, who’s had three top-10 albums on the Billboard 200 over the past four years, was sentenced by a Massachusetts federal judge Thursday after taking a plea deal last summer, which saw him plead guilty to one count of wire fraud conspiracy and one count of false statements to a federal official.
Prosecutors say Herbo (Herbert Wright) and others victimized real people and businesses by using stolen credit card info to fund an “extravagant lifestyle” that he flaunted on social media. That included $14,500 for a villa rental in Jamaica, and another $34,000 on renting cars like a Mercedes Benz 5560.
“He gave the impression that his use of private jets, luxury cars and tropical villas were the legitimate fruits of his booming rap career,” U.S. Attorney Joshua S. Levy said in a statement. “However, his lavish lifestyle was shamelessly built on deceit and fraud using stolen account information that inflicted substantial harm on numerous businesses, leaving a wake of victims burdened with financial losses.”
Thursday’s sentence was lighter than the one sought by prosecutors, who had asked the judge to send Herbo to federal prison for one year on top of three years of probation. In addition to probation, the rapper was also ordered to pay restitution and forfeiture of $139,968 for each count, as well as a $5,500 fine.
Herbo and five others were indicted in December 2020, charged with using real credit card info – including actual names, security codes and other private data – to successfully rack up charges. Prosecutors say businesses typically allowed the charges, leading to cardholders disputing them and credit card companies ultimately foisting the losses back on businesses.
The scam, operated from March 2017 through November 2018, was allegedly facilitated by an associate named Antonio Strong, whom Herbo would ask to procure vehicles (“whips”), or accommodation (“cribs”), in addition to other goods and services. One major charge was private jet travel; prosecutors say Herbo eventually used stolen cards to pay for four charters that totaled more than $80,000.
Herbo wasn’t the first hip hop star to face charges over credit card scamming. In 2013, Los Angeles rapper Guerilla Black was sentenced to more than nine years in prison over a fraud involving more than 27,000 stolen credit card numbers. And in 2019, federal prosecutors brought similar charges against Selfmade Kash, a Detroit rapper who had bragged in songs about being the “GOAT swiper”; he later pleaded guilty and was sentenced to three years of probation.
In Herbo’s case, prosecutors did not allege that that the rapper himself purchased stolen card information, but they said he knew that Strong was doing so and repeatedly sought him out for that purpose.
“Wright provided Strong with money, Wright received flights, vehicles, and accommodations from Strong using Illicit Account Information, and Wright and Strong communicated frequently concerning their illicit transactions,” prosecutors wrote in one legal filing.
In one example, prosecutors said that Strong had texted Herbo to remind him “Don’t forget DARREN IS MY NAME” when using the stolen information to book luxury vehicle rentals. Herbo then responded via text: “I gotchu bro.”
Initially, Herbo had also been facing two counts of aggravated identity theft, more serious charges that each would have carried a minimum two-year prison sentence if he had been convicted. But those charges were dropped under last summer’s plea deal.
A rep for the rapper did not immediately return a request for comment from Billboard.
LONDON — Less than three months after installing a new CEO, Utopia Music has once again reshuffled its executive ranks, appointing Michael Stebler to lead the Swiss-based company. Stebler, who represents the majority shareholder group behind Utopia Music, succeeds Alain Couttolenc, who has been in the top post since October.
Couttolenc switches to deputy CEO and chief commercial officer, while Drew Hill, who runs Utopia’s U.K.-based physical distribution businesses Utopia Distribution Services and Proper Music Group, has also been named deputy CEO in addition to his ongoing role as chief of distribution.
Pedro Lima, a former Swiss-based executive at global data and analytics company NielsenIQ, joins the firm as chief operating officer.
All appointments are effective immediately and were communicated to Utopia staff in an internal memo sent by the board of directors on Thursday (Jan. 11).
Michael Stebler
Courtesy Image
Speaking exclusively to Billboard, Stebler says his extensive experience in the banking and financial industry will bring stability to the troubled firm and help steer it towards growth.
“We believe that the combination of Utopia’s strategy, our network and our financial support will bring the company to the next level,” he says.
Stebler’s appointment as CEO is his first executive post with Utopia, although he has held close ties with the company for several years through his role as managing director of Investment Advisors Zug AG, which operates on behalf of the majority shareholder group. Like Utopia Music, Investment Advisors Zug AG is headquartered in the scenic Swiss town of Zug, located close to Zurich.
Financial details around the size of investment or identities of investors are confidential says Stebler, but he does confirm that the investor group he heads recently increased its shareholding through a successful Series C funding round. Billboard understands that the investor group led by Strebler covered between 40-60% of the first tranche. A second tranche of C-round funding is underway.
The funds will be used to drive commercial growth, enhance product development and strengthen the company’s balance sheet, says the newly appointed CEO, who steps down from his role with Investment Advisors with immediate effect to focus on Utopia..
“We decided to invest further money into the company and we want to have control in the execution,” says Stebler, adding that “intense due diligence” was carried out by the group before increasing their investment.
“What we saw is a really strong backbone, a strong product and service offering, and great USP with the distribution business in the U.K.,” he says. “Otherwise we would have never made a further commitment and gone into a management position.”
FROM RAPID GROWTH TO SNAP DOWNSIZING
Utopia’s latest structural reorganization comes on the back of a highly turbulent few years for the tech company, which delivers financial services for labels, publishers and distributors and first made waves in the music industry by embarking on a frenetic buying spree of 15 companies between 2020 and 2022, including Lyric Financial, a Nashville-based provider of royalty-backed cash advances; and Proper Music Group, the United Kingdom’s leading independent physical music distributor.
Utopia’s period of rapid hyper-growth was followed by a just-as-quick downsizing, beginning with the axing of around 230 jobs in late 2022. More layoffs followed soon after, along with multiple executive departures, office closures, legal action over a stalled acquisition deal, late payments to staff, and the offloading of three of its businesses — Absolute Label Services, U.S.-based music database platform ROSTR and U.K.-based publisher Sentric.
As a result of those divestments and cost-cutting measures, the firm’s global workforce has been trimmed from approximately 1,200 staff to around 440.
“Today, we are in a much better position,” says Utopia co-founder and executive chairman Mattias Hjelmstedt. He says yearly cash burn has been reduced by 84 million Euros as a result of the changes and calls the new injection of C-round funding into the business “paramount” to getting Utopia on a stable footing.
Going forward, Hjelmstedt and Stebler say there are currently no plans to sell any of Utopia’s remaining businesses or to make further staff layoffs, but say that the firm will continue to evolve and finetune its offering to clients across the music industry.
“We believe that we are able to grow with our [current] head count and achieve profitability by mid or end of 2025,” says Stebler. “From an investor perspective, we prefer to invest more in substantial growth instead of cutting costs.”
One way that Utopia will look to do that is by rolling out its advance finance service, which provides music labels and clients with cash advances, to international markets, including the U.S., Continental Europe, Australia and New Zealand.
The company’s executive team is also looking to grow its core tech offering to clients across the music business. Those product services include cross-platform analytics, an AI-powered recommendation engine targeted at DSPs and streaming services, and Utopia’s royalty processing and payments system, TrackNClaim, which tracks music consumption on digital platforms and helps identify conflicts and unclaimed mechanical royalties.
THE PATH TO PROFITABILITY
Utopia’s other core businesses include its two U.K.-based physical music distribution entities: Proper Music Group, which provides distribution services for over 5,800 indie labels and service companies, and Utopia Distribution Services (formerly Cinram Novum), whose clients include Universal Music Group, Sony Music Entertainment and [PIAS].
According to its most recent accounts, Proper Music Group recorded revenue of £30.1 million ($38 million) for the nine-month period ending Dec. 31, down from £42 million ($53 million) in the prior 12-month accounting period, and a £1.9 million ($2.4 million) net loss in 2022. The company said lower sales and increased operating costs were behind the disappointing figures, while accounts for Utopia Distribution Services are yet to be filed in the U.K.
Deputy CEO Drew Hill, a long serving veteran of the U.K. physical distribution industry, says Proper is on track to return to profitability in 2024 as a result of significant investments Utopia has made in the sector.
They include last year’s opening of the U.K.’s biggest distribution warehouse for physical music and home entertainment — a 25,000-square meter facility in the town of Bicester with handling capacity of up to 250,000 units per day — as part of a £100 million ($125 million) long-term deal with international logistics company DP World.
“With the new facility we’ve been able to show all of our labels and clients just what Utopia can do,” says Hill. “From here, we can concentrate on selling Utopia’s services and products to our existing client base, which was always the plan, and use Proper and Utopia Distribution Services as funnel to those people. We’ve shown what we can do, built some amazing relationships. Now people are going to see what the true Utopia product is.”
At present, Proper and UDS generate the bulk of Utopia’s revenue but Strebler is confident that the structure is in place to help grow the firm’s other income streams so that it moves closer towards a 50/50 split between physical distribution and tech/financial services.
He declines to discuss revenues, but confirms Utopia’s two biggest markets are the U.K. and U.S. (Last year, Hjelmstedt told Billboard the firm generates over €100 million [$110 million] in global revenue a year, but this was prior to it offloading Sentric and Absolute.) The company says it nis focused on strengthening its balance sheet and is currently working through its outstanding debt and tax obligations.
“We have never been about disrupting or taking over the industry,” says Hjelmstedt. “It’s always been about helping the industry be better and grow. And the more that we have been able to talk to the different parts of the industry, and the more that they are now trusting us to solve those problems, the more likely we are to succeed with that mission.”
ByteDance will shut down its music streaming service Resso in India at the end of January, Billboard has confirmed with a ByteDance representative.
The decision, which was first reported by India-based outlet Moneycontrol, was made after Resso was removed from the Google Play and the Apple App stores in December on the orders of the Indian government. Billboard had not been able to determine the reason behind those removals at press time.
Notably, India was Resso’s last remaining market after the app was previously shuttered in Brazil and Indonesia.
“Unfortunately, owing to local market conditions, we can no longer continue to serve users of Resso in India,” said a ByteDance spokesperson in a statement sent to Billboard. “We have therefore taken the decision to shut down Resso and its associated operations on January 31st. Users will be offered a refund of their remaining subscription fees.”
Another factor working against Resso in India — where streaming competitors include such widely-used platforms as Spotify, Gaana, JioSaavn and Wynk — was Sony Music’s removal of its catalog from the service in September 2022.
ByteDance, the Chinese-owned company behind TikTok, first launched Resso in India and Indonesia in March 2020, offering both free and paid tiers, before introducing it in Brazil later that year. In May 2023, ByteDance ended the free tier, making Resso a premium-only service.
In July, ByteDance announced it would roll out its new social music streaming service, TikTok Music, in Brazil and Indonesia, leading to the shutdown of Resso in both markets. Just two weeks later, TikTok Music was launched in closed beta in three additional countries: Mexico, Australia and Singapore, followed by a public launch in those markets in October.
ByteDance confirmed with Billboard that it has no plans to launch TikTok Music in India, where the government banned TikTok in June 2020, along with 58 other Chinese-owned apps, citing data privacy concerns. Those bans were made permanent in January 2021.