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Megan Thee Stallion has found a new home as she’s entered an “innovative agreement” with Warner Music Group while maintaining her independence.
Billboard reported in December that Megan would be working with WMG and utilizing the company “for distribution and services.” The distribution deal has since been signed and was announced officially on Friday afternoon (Feb. 2).
Within the structure of the unique partnership, the Houston Hottie will have access to WMG’s global services ranging from music promotion to distribution and worldwide marketing.
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On the music side, Megan will keep releasing tunes independently through her Hot Girl Productions label and work collaboratively with Warner Music Group. The deal allows Thee Stallion to keep ownership and control of her masters as well as her publishing.
“This is the beginning of an exciting new chapter of my life and career,” Megan said in a statement. “I’m really focused on building an empire and growing as an entrepreneur, so I’m proud to take this next step in my journey and work with Max Lousada and the entire Warner Music Group team in this new capacity. I know we’re going to create history together.”
Roc Nation will still be involved in managing the Grammy-winning rapper separate from the new Warner agreement.
Warner’s 300 Ent. previously distributed Megan’s music from 2018 through last November while the rapper was entrenched in a dispute with former label 1501 Certified Entertainment.
The tumultuous relationship was muddied with claims of 1501 keeping royalties from Megan and not allowing her to release music as she pleased.
The turbulent agreement between Meg and the Carl Crawford-led 1501 finally came to an end in October following a yearslong battle in court.
“Meg is not just a superstar,” WMG Recorded Music CEO Max Lousada added. “She’s an artistic force and a mogul in the making — authentic and unapologetic in defining her own unique place in the cultural landscape. So many relate to her remarkable story and have witnessed her come into her power on her own terms.
“At Warner, we’re creating an environment where original talents can explore both their creativity and entrepreneurialism, while building long-term careers. Following on her success with 300, we’re excited to continue our journey with Meg through this dynamic new partnership, with our global teams, infrastructure, and expertise supporting her every step of the way.”
Megan Thee Stallion has released a pair of singles independently, the second of which arrived last week with “HISS.” The fiery track saw her send indirect shots at Drake, Nicki Minaj, and more while blasting to top the U.S. Spotify and Apple Music Global charts.
The 28-year-old is on pace to earn her 32nd Billboard Hot 100 entry and a lofty debut on the elusive charts. Megan has two No. 1 hits on the Hot 100 and six Billboard 200 placements to her name. Her song catalog has earned 10.3 billion on-demand streams (including user-generated content, or UGC, which does not count toward Billboard’s charts), according to Luminate.
Find Megan’s post to Instagram celebrating the deal with WMG below.
Each year during Grammy week, members of the Association of Independent Music Publishers‘ (AIMP) gather at Lawry’s steakhouse in Beverly Hills to hear a speech from David Israelite, president and CEO of the National Music Publishers’ Association (NMPA). In it, Israelite discussed the successes of the Music Modernization Act, the new UMG TikTok licensing feud, the viability of artificial intelligence regulation, and the more.
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He started the presentation with slides showcasing the publishing revenue for 2022, divided by categories: performance (48.29% or $2.7 billion), mechanical (20.27% or $1.1 billion), synch (26.07% or $1.4 billion), and other (5.37% or $300 million). Synch, he says, is the fastest growing source of revenue.
Israelite focused much of his time on addressing the Music Modernization Act, which was passed about five years ago. “I don’t want you to forget is just how amazing the Music Modernization Act was and is for this industry,” he said. “I believe that it is the most important legislation in the history of the music business… You’re going to start to take for granted some of the things… but we had to fight and win to get this done.” He pointed to successes of the landmark law like the change in the rate standard to a willing seller, willing buyer model and its creation of the Mechanical Licensing Collective (The MLC).
Earlier this week, the MLC (and the digital licensee coordinator, DLC) began the process of its first-ever re-designation. This is a routine five-year reassessment of the organization and how well it is doing its job of administering the blanket mechanical license created by the MMA. As part of the re-designation process, songwriters, publishers and digital services are allowed to submit comments to the Copyright Office about the MLC’s performance. “Many of you will have a role in offering your opinions to the copyright office about that,” says Israelite. “The process needs to be respected and played out, but [The MLC] will be re-designated, and it is an absolute no brainer decision. There’s a lot about the MLC that I want to remind you about.”
Israelite then highlighted the organization’s “transparency,” the lack of administration fees for publishers and that the projection of 2023 revenue from streaming for recorded music ($6.3 billion) and publishing ($1.7 billion) “the split is the closest it has ever been,” attributing this, in part, to the MLC’s work.
He also addressed Grammy week’s biggest story: the UMG TikTok licensing standoff. “I’m only going to say two things about TikTok: the first is I think music is tremendously important to the business model of TikTok, and, secondly, I am just stating the fact that the NMPA model license, which many of you are using, with TikTok expires in April.” At that time, the NMPA can either re-up its model license with TikTok or walk away. If it were to pull a similar punch to what UMG has done, indie publishers could either negotiate with TikTok directly for their own license, or they could also walk away from the platform.
Later, in addressing artificial intelligence concerns, he pledged his support for the creation of a federal right of publicity, but he admitted “I want to be honest with you, it does not have a good chance.” Even though the music business is vying for its adoption, Israelite says that film and TV industry does not want it. “Within the copyright community we don’t agree… and guess who is bigger than music? Film and TV.”
Still, he believes there is merit in fighting for the proposed bill. “It might help with state legislative efforts and it raises the profile,” he said, but Israelite stated that his priority for AI regulation is to require transparency from AI companies and to keep records of how AI models are trained.
The greatest impact of Universal Music Group and TikTok’s licensing stalemate will likely not come from UMG’s superstar artists leaving the platform, it will come from the loss of its songwriters.
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Losing music from record label signees like Taylor Swift, Drake, Morgan Wallen, BTS, Olivia Rodrigo and more on TikTok is seismic on its own, but media coverage of the now-expired license that lapsed on Jan. 31 has largely ignored that the world’s largest music company’s songwriters are leaving, too. That means that any record that was touched by a Universal Music Publishing Group (UMPG) songwriter will also be subject to removal from the platform — even if it was released on a non-UMG label. Artist-songwriters like Harry Styles, Bad Bunny and SZA are three of many notable examples of UMPG writers that release music under non-UMG labels that will be affected. Artists who work with UMPG hitmakers like Metro Boomin, Jack Antonoff or Fred again.. could also face this.
In today’s pop and rap markets, writing rooms are considered to be bigger than ever, crediting anywhere from one to 30 contributors in extreme cases like cases like Travis Scott’s “Sicko Mode.” A typical pop song on the radio likely has at least three or four people receiving publishing. This, mixed with the fact that UMPG is one of the largest music publishers in the world with 4 million copyrights to its name, means that removing all songs with UMPG interests will impact just about every other record label and music publisher in some way.
In the third quarter of 2023, it was calculated that UMPG held a fifth of the market share on the Billboard’s Pop Airplay and Hot 100 charts. For Country Airplay, UMPG represented a tenth of the chart.
There’s also a chance of this standoff spreading to other publishers this spring. On Thursday (Feb. 1), at the Association of Independent Music Publishers event in Beverly Hills, National Music Publishers Association president and CEO David Israelite revealed during a speech that his organization’s TikTok model license is up for renewal in April. This license is negotiated by the trade association and adopted by a large number of the country’s independent publishers.
The NMPA has been known for its aggressive approach to licensing negotiations with other social media sites, games and apps in recent years, including a recent $250 million lawsuit against X (formerly Twitter) for alleged copyright infringement, and it would not be surprising if the trade organization considered following suit with UMG. If that happened, all indie publishers would be on their own to decide whether they wanted to negotiate with TikTok directly or leave the platform.
Already 21 of the 50 tracks on the TikTok Billboard Top 50 chart have been removed due to their UMG affiliation, but so far those take downs have focused on the company’s recordings, not publishing. Removing UMPG songs will be a far more arduous and complicated task than removing UMG records, given there are sometimes multiple recordings by multiple artists for the same underlying song. Publishing metadata — which keeps track of who wrote what song — is also notoriously incomplete or incorrect. In some cases, the metadata is often not even finalized and input until weeks or months after a song is released, making matters even more complicated.
It is widely believed that the process of taking down publishing interests will likely take a while and will be piecemeal and spotty, potentially forcing the UMPG team to police the platform and to issue takedown notices.
In the interim, UMG and TikTok are showing no signs of backing down. TikTok said the music company had “put their own greed above the interests of their artists and songwriters” after the letter was released. UMG fired back with another statement Thursday, calling TikTok’s view on compensating artists and songwriters “woefully outdated.” Amidst all the finger pointing, TikTok users are attempting to fill the gaps with non-UMG songs or covers of UMG records, while at least one UMPG writer, Metro Boomin, took to the internet to show his support: “It’s about damn time,” he posted to X.
A Los Angeles judge on Friday (Feb. 2) denied Lizzo’s motion to toss out a bombshell sexual harassment lawsuit filed by three of her former backup dancers, dismissing certain accusations but allowing the case as a whole to move forward toward a trial.
Facing allegations of harassment and discrimination, Lizzo argued last year that case should be dismissed under California’s anti-SLAPP statute — a special law that makes it easier to quickly end meritless lawsuits that threaten free speech (known as “strategic lawsuits against public participation”). Her lawyers argued that the accusers were using the lawsuit to “silence” her.
But in a detailed, 34-page decision, Judge Mark H. Epstein ruled that the anti-SLAPP statute didn’t quite fit all of the lawsuit’s allegations. He tossed out some claims – including a particularly loaded charge that Lizzo fat-shamed one of her dancers – but ruled that remainder of the case could go forward.
Figuring out the proper balance – between protected speech and illegal discrimination – was “no easy task,” Judge Epstein wrote, but he said he had “tried to thread this needle.”
“It is dangerous for the court to weigh in, ham-fisted, into constitutionally protected activity,” the judge wrote. “But it is equally dangerous to turn a blind eye to allegations of discrimination or other forms of misconduct merely because they take place in a speech-related environment.”
The case against Lizzo, filed in August by dancers Arianna Davis, Crystal Williams and Noelle Rodriguez, accuses the singer (real name Melissa Jefferson) and her Big Grrrl Big Touring Inc. of creating a hostile work environment through a wide range of legal wrongdoing, including not just sexual harassment but also religious and racial discrimination. The alleged weight-shaming, the lawsuit claims, amounted to a form of disability discrimination.
In one particularly vivid allegation, Lizzo’s accusers claimed she pushed them to attend a live sex show at a venue in Amsterdam’s famed Red Light District called Bananenbar, and then pressured them to engage with the performers, including “eating bananas protruding from the performers’ vaginas.” After Lizzo herself allegedly led a chant “goading” Davis to touch one performer’s breasts, the lawsuit says, Davis eventually did so.
Repped by Hollywood defense attorney Martin D. Singer, Lizzo fired back in October, arguing that Davis, Williams and Rodriguez had “an axe to grind” against the star because they had been reprimanded over “a pattern of gross misconduct and failure to perform their job up to par.”
“Plaintiffs embarked on a press tour, vilifying defendants and pushing their fabricated sob story in the courts and in the media. That ends today,” Singer wrote. “Instead of taking any accountability for their own actions, plaintiffs filed this lawsuit against defendants out of spite and in pursuit of media attention, public sympathy and a quick payday with minimal effort.”
The filing came with sworn statements from 18 members of Lizzo’s touring company who dispute many of the lawsuit’s specific factual accusations. That included several who challenged the headline-grabbing claim that Lizzo fat-shamed some of her dancers — a particularly loaded allegation against a singer who has made body positivity a key part of her brand.
Lizzo’s counter-attack came under the anti-SLAPP law. Anti-SLAPP motions are filed every day, but it was unusual to see one aimed at dismissing a harassment and discrimination lawsuit filed by former employees against their employer. They’re more common in precisely the opposite scenario: filed by an individual who claims that they’re being unfairly sued by a powerful person to silence accusations of abuse or other wrongdoing.
In their filings, Lizzo’s lawyers argued that the anti-SLAPP law could still apply to the current case because of the creative nature of the work in question. They called the lawsuit “a brazen attempt to silence defendants’ creative voices and weaponize their creative expression against them.”
But in his ruling on Friday, Judge Epstein largely rejected that argument. He said that conduct relating to speech is protected and that California law “law wisely disfavors chilling such conduct.” But he cautioned that free speech was not a magic wand against allegations of employer wrongdoing.
“The fact that the alleged incidents take place in the entertainment or speech world is no shield of invulnerability or license to ignore law enacted for the protection of California’s citizens,” the judge said.
The judge dismissed a sexual harassment allegation involving a nude photoshoot on the set of the reality competition series Lizzo’s Watch Out for the Big Grrrls; a disability discrimination accusation around one dancer’s allegation that she was fired from Lizzo’s tour after disclosing her mental health issues; and another allegation stating that Lizzo’s camp intentionally interfered with the dancers’ other job prospects after placing them on a “soft hold” and telling them they could not accept other work.
Lizzo and Shirlene Quigley, the captain of the singer’s dance team, will still have to face other allegations of sexual harassment, as well as accusations of racial and religious discrimination.
“We’re very pleased with the judge’s ruling, and we absolutely consider it a victory on balance,” said the dancers’ lawyer, Ron Zambrano, in a statement. “He did dismiss a few allegations, including the meeting where Arianna was fat shamed, the nude photo shoot, and dancers being forced to be on ‘hold’ while not on tour. However, all the other claims remain, including sexual, religious and racial discrimination, sexual harassment, the demeaning visits to the Bananenbar in Amsterdam and Crazy Horse in Paris, false imprisonment, and assault. The ruling also rightfully signals that Lizzo – or any celebrity – is not insulated from this sort of reprehensible conduct merely because she is famous. We now look forward to conducting discovery and preparing the case for trial.”
In his own statement, Lizzo’s lawyer, Stefan Friedman, said: “We are pleased that Judge Epstein wisely threw out all or part of four of the plaintiffs’ causes of action. Lizzo is grateful to the judge for seeing through much of the noise and recognizing who she is – a strong woman who exists to lift others up and spread positivity. We plan to appeal all elements that the judge chose to keep in the lawsuit and are confident we will prevail.”
Country star Lainey Wilson and Recording Academy president/CEO Harvey Mason voiced their support for federal regulation of AI technology at a hearing conducted by the House Judiciary Subcommittee on Courts, Intellectual Property, and the Internet in Los Angeles on Friday (Feb. 2).
“Our voices and likenesses are indelible parts of us that have enabled us to showcase our talents and grow our audiences, not mere digital kibble for a machine to duplicate without consent,” Wilson said during her comments.
“The artists and creators I talk to are concerned that there’s very little protection for artists who see their own name or likeness or voice used to create AI-generated materials,” Mason added. “This misuse hurts artists and their fans alike.”
“The problem of AI fakes is clear to everyone,” he continued later. “This is a problem that only Congress can address to protect all Americans. For this reason, the academy is grateful for the introduction of the No AI FRAUD Act,” a bill announced in January that aims to establish a federal framework for protecting voice and likeness.
The star of the hearing was not from the music industry, though. Jennifer Rothman, a professor of law at University of Pennsylvania Law School, offered an eloquent challenge to a key provision of the No AI FRAUD act, which would allow artists to transfer the rights to their voice and likeness to a third party.
It’s easy to imagine this provision is popular with labels, who historically built their large catalogs by taking control of artists’ recordings for perpetuity. However, Rothman argued that “any federal right to a person’s voice or likeness must not be transferable away from that person” and “there must be significant limits on licensing” as well.
“Allowing another person or entity to own a living human being’s likeness or voice in perpetuity violates our fundamental and constitutional right to liberty,” she said.
Rothman cleverly invoked the music industry’s long history of perpetuity deals — a history that has upset many artists, including stars like Taylor Swift, over the years — as part of the reason for her objection.
“Imagine a world in which Taylor Swift‘s first record label obtained rights in perpetuity to young Swift’s voice and likeness,” Rothman explained. “The label could then replicate Swift’s voice over and over in new songs that she never wrote and have AI renditions of her perform and endorse the songs and videos and even have holograms perform them on tour. In fact, under the proposed No AI Fraud Act, the label would be able to sue Swift herself for violating her own right of publicity if she used her voice and likeness to write and record new songs and publicly perform them. This is the topsy-turvy world that the draft bills would create.”
(Rothman’s reference to Swift was just one of several at the hearing. Rep. Kevin Kiley [R – CA] alluded to the debate over whether or not the singer would be able to make it to the Super Bowl from her performance in Tokyo, while Rep. Nathaniel Moran [R – TX] joked, “I have not mentioned Travis Kelce’s girlfriend once during this testimony.”)
Rothman pointed out that the ability to transfer voice or likeness rights in perpetuity potentially “threatens ordinary people” as well: They “may unwittingly sign over those rights as part of online Terms of Service” that exist on so many platforms and are barely ever read. In the music industry, there is a similar problem already causing problems for a number of young artists who sign up to distribute their music through an online service, agree to Terms of Service without reading them, and later discover that they have unknowingly locked their music into some sort of agreement. In an AI world, this problem could be magnified.
Rothman’s comments put her at odds with the Recording Academy. “In this particular bill, there are certain safeguards, there’s language that says there have to be attorneys present and involved,” Mason said during questioning. (Though many young artists can’t afford counsel or can’t find good counsel.) “But we also believe that families should have the freedom to enter into different business arrangements.”
Mason’s view was shared by Rep. Matt Gaetz (R – FL). “If tomorrow I wanted to sell my voice to a robot and let that robot say whatever in the world that it wanted to say, and I wanted to take the money from that sale and go buy a sailboat and never turn on the internet again, why should I not have the right to do that?” he asked.
In addition to Rothman, Mason and Wilson, there was one other witness at the hearing: Christopher Mohr, who serves as president of the Software & Information Industry Association. He spoke little and mostly reiterated that his members wanted the courts to answer key questions around AI. “It’s really important that these cases get thoroughly litigated,” Mohr said.
This answer did not satisfy Rep. Glenn Ivey (D – MD), a former litigator. “It could take years before all of that gets solved and you might have conflicting decisions from different courts in jury trials,” Ivey noted. “What should we be doing to try and fix it now?”
At the beginning of 2024, the always-changing music business is going through rapid transformation unlike anything in the last decade. How music companies organize themselves is changing. How royalties are calculated and paid is changing. How companies engage with fans is changing. And investors have different expectations of public companies — more focus on margins, less obsession with growth.
Music companies’ earnings results for the fourth quarter of 2023 will provide insights into how companies have performed and, more importantly, what they expect to do in the future. Only one company, SiriusXM, has announced to date. Next week’s earnings releases include Spotify (Tuesday, Feb. 6), Reservoir Media (Wednesday, Feb. 7) and Warner Music Group (Thursday, Feb. 8). Universal Music Group (UMG) announces earnings on Feb. 28. Here are some things to watch for in upcoming earnings calls.
The scope of layoffs
In October, UMG executives primed investors for cost-cutting measures that would improve margins and allow for investments in growth opportunities. The result would be hundreds of layoffs, according to a Jan. 12 Bloomberg report. On Thursday, UMG revealed some details of a bi-coastal label group restructuring. But what’s missing, so far, are details on the number of layoffs and the cost savings UMG expects to get from a restructuring. UMG’s fourth-quarter earnings release on Feb. 28 will be an opportunity for analysts to ask the company to give an update on its restructuring plans. As Billboard noted last week, the music industry is seeing widespread layoffs despite continued streaming growth. Warner Music Group (WMG), Downtown Music Holdings and BMG cut jobs in 2023. Digital music companies have shrunk their head counts, too: Spotify, Amazon Music, SoundCloud, Tidal and Bandcamp went through downsizings of various sizes.
More troubles in TikTok-land?
When UMG failed to renew its licensing contract with TikTok, it made licensing to the social video platform a major topic of conversation for upcoming earnings calls. Analysts and investors should want to know how a company’s negotiations with TikTok are proceeding and whether to expect an interruption if the two sides cannot reach an agreement. TikTok and WMG reached an agreement in July 2023, but investors may want progress reports from other public companies — Reservoir Media, Believe, Sony Music — about their licensing talks.
UMG’s decision is not without precedent: In 2008 and 2009, WMG pulled its catalog from YouTube for nine months while the two companies’ licensing negotiations were at an impasse. In 2011, Google launched an audio music streaming service, Music Beta by Google, without licenses from both Sony Music Entertainment (SME) and WMG. When Google added MP3s to its Google Music service later that year, the SME and WMG catalogs were initially absent.
The direct financial hit to UMG will be minimal since TikTok accounts for 1% of the company’s revenue, UMG stated in an open letter about the licensing talks. But because TikTok is an important promotional vehicle and a popular place to discover music, the indirect financial hit is more substantial. Investors always want to know about direct dollar impacts of a company’s moves, and they should want to understand the downsides of leaving a hit-making social platform.
How much have price increases mattered?
Music subscription prices didn’t budge for over a decade before succumbing to change in 2022 and 2023. The big fish was Spotify, which finally raised prices in the United States and other major markets in July. A higher price creates a multiplier effect on top of existing subscriber growth and will augment what would have otherwise been record quarterly revenues. The gains should come without an increase in churn: Spotify CFO Paul Vogel said during an Oct. 27 earnings call that Spotify didn’t lose any subscribers in the third quarter due to the price increase.
For record labels and publishers, a 10% price increase atop year-over-year subscriber growth stands to accelerate revenue growth. Guggenheim analysts said in a recent note to investors that they expect price increases at Spotify, YouTube and Deezer to raise UMG’s subscription revenue growth to 14.8% in the fourth quarter from 13.0% in the third quarter.
The state of the advertising business
While the subscription market has been strong, the ad-supported side of the business has struggled to keep chase. Through the first three quarters, Spotify’s ad-supported streaming revenue increased 14.9% year over year. That’s better than the 11.4% improvement in subscription revenue but well below the 22.2% and 62.1% gains in ad revenue in full-year 2022 and 2021, respectively.
Broadcast radio has fared even worse. Companies such as iHeartMedia, Cumulus Media and Audacy have blamed a slowdown in national broadcast advertising on some disappointing earnings in recent quarters.
SiriusXM provided the latest clue about broadcast advertising. “SiriusXM’s advertising revenue remains challenged,” CFO Tom Barry said during Thursday’s earnings call, “which we believe is a product of a tough broadcast advertising market.” Elsewhere, however, SiriusXM’s digital advertising improved versus 2022: Pandora had “strong growth” in its podcasting and programmatic advertising businesses, added Barry.
Some positive news in recent days shows advertising — perhaps not for broadcast businesses — is rebounding. U.S. ad spending in November was up 25% year over year, according to MediaRadar, an advertising intelligence company. The number of advertisers declined 8%, however, suggesting existing advertisers were ramping up spending.
More good news came from major ad-driven tech companies. Google’s advertising revenue in the fourth quarter increased 11% from the prior-year period, the company announced Wednesday, up from year-over-year improvements of 3.3% and 9.5% in the second and third quarters, respectively. Meta’s revenue grew 25% and its ad impressions rose 28% in the fourth quarter, the company announced Thursday.
The mission to reach superfans
Major music companies are suddenly taking a greater interest in serving superfans, those heavy-spending consumers that drive the concert and merchandise businesses but have less effect in a world of flat-rate, all-you-can-eat music subscription services. The 80-20 rule says 80% of a company’s business comes from 20% of its consumers. With music streaming, however, a $10.99-per-month service doesn’t capture a superfan’s willingness to pay more for additional value. Spotify hinted that “superfan clubs” were in the works in an announcement about the Digital Markets Act in the European Union. UMG CEO Lucian Grainge’s letter to staff in January said the company will focus on “strengthening the artist-fan relationship through superfan experiences and products.”
The problem isn’t that consumers won’t pay more money to engage with their favorite artists. The problem is no platforms have found a winning formula. Numerous previous attempts to court superfans fizzled. Drip, a platform that allowed artists to provide fans with music and other items for a recurring monthly fee, lasted from 2011 to 2016 (it relaunched a Kickstarter in 2017 but shut down in 2018). PledgeMusic shut down in 2019 amidst financial problems and allegations of improprieties. Most recently, startups’ attempts to use Web3 technologies to build superfan communities ran headfirst into the public’s sudden distrust of cryptocurrency and disinterest in NFTs. Given Spotify’s market size and resources, though, the company could make a real impact.
Benson Boone has had a few appearances on the Hot 100, scraping No. 100 with “Ghost Town” in November 2021 and reaching No. 82 with “In the Stars” in May 2022. But nothing has compared with his latest song, “Beautiful Things,” which rocketed onto the chart at No. 15 in its first week. The track garnered 15.7 million on-demand U.S. streams in the week ending Jan. 25, according to Luminate, and debuted at No. 5 on the Streaming Songs chart.
That instant success for the song has been a long time coming. Boone signed to Warner Records alongside Dan Reynolds’ Night Street Records in October 2021 and has emerged more than two years later as a heavy hitter, having spent that time in writing rooms honing his craft and developing as an artist. That’s the exact type of story that many have said is in the past in the current record business.
Now, he’s become just the latest in Warner’s recent run of success stories, which are coalescing in the first part of this year as Zach Bryan, Teddy Swims, Kenya Grace and Boone all occupy spots in the top half of the Hot 100. Meanwhile, another Warner artist, Brandy Clark, is one of the top-nominated acts at this weekend’s Grammy Awards with six nominations. This success with Boone, Clark and other artists such as Billy Strings (three Grammy noms), Rufus du Sol, Nessa Barrett and others earns Warner Records executive vp of A&R Jeff Sosnow the title of Billboard’s Executive of the Week.
Here, Sosnow talks about the rapid rise of Boone’s latest hit, the songwriting and artist success story Clark is enjoying and the evolution of artist development in the modern record business at a time when many deride the major labels as chasing after virality and one-off unicorn hits. “In this moment,” Sosnow says, “the artist development piece at Warner Records is no bulls—.”
This week, Benson Boone’s “Beautiful Things” debuted at No. 5 on the Streaming Songs chart and No. 15 on the Hot 100. What key decision(s) did you make to help make that happen?
It starts with the music. I had worked with producer Evan Blair over the last few years with another one of my artists, Nessa Barrett. I had a hunch Evan and Benson would hit it off and work well together. “Beautiful Things” was the first song that came together. After that, it really became a collaborative effort between our viral and marketing teams supporting Benson and his manager Jeff Burns’ incredible social campaign and teasing cadence. But certainly, it comes back to the music resonating in such a way with potent visuals that make for a magical moment.
Boone signed to Warner alongside Dan Reynolds’ Night Street Records in October 2021. What work have you done to help develop him as an artist over the past few years?
Dan and his brother, Mac, had signed Benson, and Jon Chen at Warner Chappell turned me on to Benson who at the time had one song, “Ghost Town.” Together with co-publisher Coulter Reynolds we have put Benson with a group of core writers and producers after some trial and error. He found his footing and confidence as a writer and artist. The level of consistency in his writing is reflected over the arc of two years of consistent streaming. And it’s not just one or two big songs. But then you throw in the fact that Benson is a world-class performer and you watch thousands of kids sing every word to every song — not just the bigger ones — and you know the hard work and patience has paid off. Some used to call this artist development.
This is his third Hot 100 entry, but first in the top half of the chart. What is it about this song that has made it resonate so much — and so quickly?
A great vocal can never be underestimated. I think Benson’s passion cuts through. There’s an urgency and a universal lyric. But again, his clever visuals on the social platforms and effective music video helped punctuate the visceral feel the song has.
Brandy Clark is nominated for six Grammys this year, part of a dozen nominations that artists you’ve signed have earned. What made her year so special, and how has she developed and grown as a songwriter and artist?
Brandy is the most prolific songwriter I’ve ever worked with. It’s been an honor to work with Lenny Waronker on Brandy’s last few records. She always amazes us because we literally go through upwards of 100 to 150 demos to get to what comprises the album. Brandy’s openness to collaboration is a key ingredient to her success. It was an amazing moment when I was able to get Michael Pollack in with Brandy for just one day. They came out with “Dear Insecurity,” which is simply one of the most powerful songs of this or any year. Enter Brandi Carlile to produce and feature on the song, and you walk out with a timeless record. As great as the album itself is, “Dear Insecurity” was always the centerpiece for me.
How has the rise of different technologies and social apps changed how the role of A&R functions?
Many A&R people rely heavily on data, and it is such an incredible tool to have. We have always had various iterations of data — watching market-by-market ticket sales, radio spins, etc. But other constants that seem to prevail in the A&R process are a great song and a great voice. So technology hasn’t really affected one’s gut instinct and intellectual ability to speak to artists and producers and make decisions about pulling the trigger on a signing, or whether a song is working or not.
A lot of people bemoan the state of artist development these days, but many of the artists you’ve signed have grown and developed extended careers. What would you say about the perception that labels don’t invest in artist development like they used to?
I don’t think labels as a whole have really, truly been beacons of artist development the last five years. I can say that what Aaron [Bay-Schuck] and Tom [Corson] have done in their time at Warner Records is to trust me with acts like Billy Strings, Rufus Du Sol, Benson, Nessa and Michael Marcagi. Each has a different arc and story, but the common thread is patience and belief in the artists and the A&R person’s ability to have real, honest conversations that will push them while also protecting and supporting them for the long haul. And in this moment, the artist development piece at Warner Records is no bulls—.
Global superstar Drake is making moves to expand his influence. His OVO Sound label has announced a new partnership with the Santa Anna Label Group, an artist and label services company launched by Sony Music last year.
Through the partnership, OVO will remain a distinct label with its own roster, but will benefit from distribution, marketing and promotion, A&R services, finance and accounting, and more from the American company.
Santa Anna is a new venture, launched in January 2023 by Sony Music and Alamo Records CEO Todd Moscowitz, with the goal of helping artists and entrepreneurs to develop their businesses within the industry. This isn’t Moscowitz’s first encounter with the Toronto label: the industry executive was CEO of Warner Records in 2012, when OVO was originally founded under the Warner banner.
“After 10 years, it’s exciting to reunite with the OVO Sound team to collaborate on new ways to support their impressive roster of artists,” Moscowitz said of the new partnership. “Together, I look forward to working with a best-in-class management team to develop opportunities to help scale their business and take their artistry to new heights.”
OVO was founded by Drake, producer Noah “40” Shebib and manager Oliver El-Khatib. The roster includes popular Toronto talent like Majid Jordan, DVSN and PARTYNEXDOOR, and is headed by former Warner A&R executive Mr. Morgan. This new announcement comes after Majid Jordan’s fall 2023 release of the duo’s latest LP, Good People, and ahead of PARTYNEXTDOOR’s P4, expected soon.
The OVO brand — October’s Very Own, named after Drake’s birth month — includes live music at OVO Fest and a brick-and-mortar clothing store in Toronto, as well as the label. In the decade-plus since OVO’s launch, the label has largely focused on Canadian acts, though they also represent Dutch artist (and their first female signee) Naomi Sharon.
The partnership indicates that Drake’s business ambitions are only growing. Will OVO expand its focus beyond Canada? Or will the new investment be directed towards discovering new artists like they did recently with 6ixBuzz collaborator Smiley? –Rosie Long Decter
Vancouver-Based Beatdapp Partners with Universal Music Group to Detect Fraud
Vancouver-based Beatdapp has become the leading streaming fraud detection company in the music industry today after successfully raising C22M in growth financing and newly announced partnerships with SoundExchange, Napster and a “strategic collaboration” with Universal Music Group.
Last year, the company analyzed more than two trillion streams and 20 trillion data points for its five core categories of customers: DSPs, music labels, collection societies, creator tool services and music distributors.
Beatdapp asserts that as much as 10% of global streams are fraudulent, with the result that as much as US$1B in royalties end up in fraudsters’ pockets. Latest statistics suggest more than 100,000 tracks are uploaded every day. These are on top of the 100M tracks Spotify hosted in 2023, with over 30M added annually at the current rate of uploading.
The company claims to detect fraud with more than 99% accuracy. That’s become especially pertinent as Spotify has eliminated royalties for songs with less than 1,000 songs, in a claimed effort to crack down on fraud. Fraud is also a major topic of conversation when it comes to artificial intelligence, a point of existential angst for many in the music industry.
Recently, Universal Music Group has also been up front when it comes to fair distribution of royalties, pulling its entire song catalogue from TikTok at the end of January. In a widely distributed open letter, the major record company accused the platform of “trying to build a music-based business, without paying fair value for the music,” according to a new open letter.
In the meantime, companies offering fraud detection or protection could have major value within the music industry. –David Farrell & Richard Trapunski
Tokyo Police Club Says Goodbye
Tokyo Police Club, one of the most successful Canadian indie rock bands of the last two decades, is calling it quits — but not before four more hometown goodbye shows in Toronto from Nov. 27-29 at History.
Though they began in Ontario, a press release announcing the band’s breakup says the members of the band are now spread out from Los Angeles to Toronto to Prince Edward Island.
In a joint statement signed by “Dave, Graham, Josh and Greg,” the group explains that, “It’s time for us to say goodbye! This band has meant so much to us for so many years, but all magical things must come to an end. Tokyo Police Club will always stand for the connection we have shared ever since we were teenagers, and it’s brought so many amazing people and moments into our lives.”
Tokyo Police Club was formed by four high school friends in Newmarket, Ontario, and comprises vocalist and bassist Dave Monks, keyboardist Graham Wright, guitarist Josh Hook, and drummer Greg Alsop. The group made a splash with an acclaimed debut EP, A Lesson In Crime, in 2006, going on to release two more EPs and five full-length albums and tour internationally, from Coachella to The Late Show with David Letterman.
Among other nominations, the band was twice up for the Juno Award for Alternative Album of the Year, in 2011 for Champ and in 2019 for TPC, its final full-length release.
After the band’s first goodbye show was announced, there’s been overwhelming demand for more. Now, it’s a four-night stand in Toronto. Additional live dates could also be in the works, they hint. –Kerry Doole
Last Week in Canada: Chilly Response to Pitchfork Changes
Primary Wave Music has partnered with Brazilian music company Nas Nuvens Catalog. The deal marks Primary Wave’s first major move into the fast-growing Brazilian music market. Nas Nuvens Catalog is the leading independent Brazilian company focusing on the acquisition, management and marketing of music catalogs, and is one of the five largest music companies in Brazil.
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BMG has signed a publishing partnership with hitmaker Jeff “Gitty” Gitelman and his company Playground Media. Known for his recent work with Victoria Monet, Jelly Roll, Jessie Murph, Mary J Blige, Hozier, Jennifer Lopez and more, Gitty’s new agreement with BMG will allow him to continue to expand his roster of new creatives at Playground Media.
Downtown Music Publishing has signed Grammy-winning singer-songwriter Colbie Caillat to a global publishing agreement. This new deal includes future works as well as the administration of her full catalog, including “Bubbly” and “Lucky.” She is also signed to Downtown on the recorded music side.
Anthem Entertainment has acquired the catalog of songwriter Chantal Kreviazuk, including her own releases “Boot”, “In This Life”, “Time”, “Weight Of The World” and “Get To You.” It also includes hits she has written for other artists, like “Feel This Moment” by Pitbull and “Rich Girl” by Gwen Stefani.
Warner Chappell Music has purchased the catalog of hitmaker Jenna Andrews. This includes hits like “Butter” and “Permission to Dance” by BTS as well as “Supalonely” by Benne and Gus Dapperton, “July” remix by Noah Cyrus featuring Leon Bridges, and more.
Concord Music has signed Sleeping At Last‘s Ryan O’Neal to a global publishing deal, including both his catalog and future works. Since 1999, Sleeping At Last has written, produced and released over 20 albums and EPs, including “Turning Page,” which was featured on the soundtrack of The Twilight Saga: Breaking Dawn — Part 1.
Warner Chappell Music and Lady Fairchild Publishing have signed Ashley Ray to a global publishing deal. Known best for penning Little Big Town’s “The Daughters,” along with other songs for Ruston Kelly, Lori McKenna, Sean McConnell, and more, Ray’s new publishing deal will have her continuing to work with Little Big Town’s Karen Fairchild, founder of Lady Fairchild Publishing. This is a new publishing company, focused on artist development.
Concord Music Publishing has purchased selections of Cary Barlowe‘s catalog, including Chris Young’s “Famous Friends” and “Raised on Country,” as well as songs recorded by Kelsea Ballerini, Brett Kissel, Chris Tomlin, Rascal Flatts, Lauren Alaina, Little Big Town, Mickey Guyton, and more. The company has been working with Barlowe for years and in addition to the catalog news, the company also announces that it has extended Barlowe’s publishing deal through its creative joint venture, Hang Your Hat Music, including Barlowe’s full catalog and future works.
Prescription Songs has signed songwriting-production duo BaeRose to its roster. Comprised of best friends Dana “BaeBae” Victoria and Mariah Rose “MRose” Martinez, the duo has already been in the studio with the likes of Chris Brown, Roddy Ricch, Jason Derulo and more.
Blue Raincoat Music has signed a new global publishing deal with songwriter-producer and Lightning Seeds frontman Ian Broudie. The deal includes the majority of his catalog and will see him reunited with Jeremy Lascelles, CEO of Blue Raincoat, who was Broudie’s longtime publisher when he was at Chrysalis Music in the 1990s.
Warner Chappell Music has signed Sara Bares to a global publishing deal. Based in Nashville, the rising songwriter has worked with Leah Mason, Simon Jonasson, Oliver Frid, Tanner Adell, Ashley Kutcher and Camille Parker to date.
It’s time for another quick whirl around the Executive Turntable, Billboard’s comprehensive(ish) compendium of promotions, hirings, exits and firings — and all things in between — across music. Get to know the most powerful people in the music biz in the latest Power 100 list.
Crypto.com Arena, home of Lakers, Kings, Clippers and Sparks, hired Ron Little as the Los Angeles landmark’s vice president of security. Little will lead all event and non-event security and risk management services for the arena, and assist with planning safety protocols. He arrives in LA from Seattle, where he served as director of security for Lumen Field, Lumen Field Event Center and the WAMU Theater. Prior to the Emerald City, he held various roles in Oakland, most notably as GM for SMG at Oracle Arena and the Oakland-Alameda Coliseum. Over the course of his 30-plus years in the biz, he also worked with Bill Graham Presents, Live Nation and the Bonnaroo Music Festival. “With a wealth of experience and a deep understanding of the industry, Ron brings a unique perspective that aligns seamlessly with our vision,” says Lee Zeidman, president of Crypto.com Arena. “His strong industry relationships will undoubtedly contribute to the success of the arena, and we eagerly anticipate his leadership in overseeing a diverse range of events here in Los Angeles.”
Sony Music Entertainment looks to pounce on double-digit growth in Asia with the appointment of Kenny Ong as the label group’s new managing director for Malaysia, Vietnam, Singapore and special projects Southeast Asia, effective immediately. Ong’s job will be to expand Sony’s share of the pie in the region — revenue in all of Asia rose 15.4% in 2022, according to IFPI — and champion Southeast Asian artists. Ong was previously CEO of Astro Radio, the top radio power in Malaysia, and between 2015 and 2021 was managing director of Malaysia, Singapore and Indochina for Universal Music Group. “Our region is poised for continued growth, and to seize the opportunity it will require more creativity and diligence,” said Shridhar Subramaniam, SME’s president of corporate strategy and market development, Asia and Middle East.
Madison Square Garden Entertainment and Sphere Entertainment hired Laura Franco as evp and general counsel for both companies, effective Feb. 20. Franco, who wields 30-plus years in legal experience, including most recently as chief legal and compliance officer at Bumble, will report directly to executive chairman and CEO James L. Dolan. As general counsel, Franco will direct all business legal affairs, including complex transactions, at both companies. Prior to Bumble, parent of the same-named dating app, she served as evp and general counsel of CBS. “We are pleased to welcome Laura to the MSG Family of Companies,” said Dolan. “Laura’s background handling high-profile corporate and business legal matters at premier media companies will be a valuable addition to our Legal teams, and we look forward to leveraging her expertise as both companies pursue their business strategies.”
Curb Records promoted several staffers, with Craig Powers rising to svp of media and continuing to spearhead mainstream/crossover radio success with label artists including for King + Country and Natalie Grant; Powers had served as vp of media since 2020. Lori Hartigan has been promoted to national director of media; Hartigan has been with Curb for 10 years and has served the past eight years as director of west coast promotion. Additionally, Todd Thomas will move into the director of west coast promotion role (having previously served as director, southwest promotion), while Bailey White has been hired as director of southwest promotion. White comes to Curb after three years with Black River Entertainment’s promotion team. –Jessica Nicholson
Warner Music UK appointed Natasha Billing to svp of commercial and data insights, and promoted Nick Allum to her vp of data and insight. The label said these moves coincide with a shift in WMUK’s approach to data analytics and revenue generation, and will ultimately assist in nurturing artists’ careers by amplifying audience engagement and fueling innovation. Billing’s previous work includes stints at ASOS and Made.com, as well as a three-year stretch in a strategy role at Warner Music International. Allum, who reports to Billing, is tasked with building an in-house data and insight team and will manage audience, revenue and marketing data collection for the company’s labels. “With our new setup, and under Natasha and Nick’s leadership, we are well positioned to offer the best support possible to our artists, labels and partners, while further promoting and accelerating WMUK’s incredible frontline and catalogue releases,” said Isabel Garvey, WMUK’s chief operating officer, to whom Billing reports.
Cherie Hu, a respected music tech researcher and founder of data-driven learning platform Water & Music, landed a full-time teaching job at Syracuse University‘s prestigious Bandier Program for Recording and Entertainment Industries. Beginning in the fall semester, Hu will teach students about emerging technologies and new music industry models as part of Syracuse’s Newhouse School of Communications, where she currently adjuncts. Hu plans to continue her involvement with Water & Music in a more strategic role. As a journalist, Hu covered the intersection of music and tech for Billboard, Forbes, Pitchfork and NPR Music, among other outlets, and received the Reeperbahn Festival’s Award for International Music Business Journalist of the Year in 2017. “Cherie Hu is in an elite echelon of analysts creating the absolute best work and thinking about the future of the music industry,” said Bill Werde, director of the Bandier program and former editorial director of Billboard. “I’ve respected and learned from her work for years, and am thrilled to welcome her to the Bandier, Newhouse and Syracuse family, to continue her industry-leading work, and to teach our students about what’s next in music industry business models, marketing and platforms.”
Music-licensing company Epidemic Sound appointed former Amazon and Grubhub exec Sam Hall as chief product officer, starting Feb. 5. In his new role, Hall will lead Epidemic’s product department to boost its B2B/B2C offerings. He joins from CLEAR, where he was CPO at the US-based tech company. At Grubhub, Hall also oversaw the development of B2B/B2C offerings, and during his near-decade at Amazon was instrumental in building the company’s mobile business from the ground up. “We’ve made huge strides in the sophistication of our product offering to content creators of all kinds in the past three years, introducing tools that make it almost frictionless to soundtrack content,” said Oscar Höglund, co-founder and CEO. “We’re delighted to welcome Sam to accelerate this progress together; he brings a focus on customer experience across both B2B and B2C, and will be instrumental in developing a next-generation soundtracking experience for our creative community.”
Artist Partner Group announced a wide slate of promotions at the label. Eli Piccarreta has been elevated to svp of A&R, Corey Calder is moving up to svp of marketing and creative services, Jessica Kelm is now vp of marketing and digital operations, and Ashlee Merritt now has senior marketing director on her business card. APG, label home to a roster that includes Odetari, 6arelyhuman, Lay Bankz, The Sweepers and NLE Choppa, was founded in 2004 and is parent to Artist Publishing Group.
The Bryan Adams joined music-sharing tech startup Songbox as a co-founder. Using Songbox, creators can track when a file has been delivered, whether it’s been listened to and how long songs have been played. Additionally, the platform allows for creators to upload and share music video content. The Canadian rock icon said in a statement, “Songbox allows me to share new music that I’m working on in a way that I couldn’t before. I don’t need to send out MP3 files or physical products, so it keeps my ideas and early versions safe and secure until I’m ready to officially release the songs.” –J.N.
Jazz musician Branford Marsalis was named artistic director for the Ellis Marsalis Center for Music in his hometown of New Orleans. The center, which uses music to help foster community and deliver services to underserved kids and musicians, was established in 2012 and is named after Marsalis’ father. “My dad was a teacher, in music and in life,” Branford Marsalis said. “After Hurricane Katrina, he envisioned a haven for the underserved musicians and children in his hometown of New Orleans. He spent the last decade of his life committed to turning that dream into a reality at the Ellis Marsalis Center for Music. It is my honor to step into the role of Artistic Director at the Center and to continue to drive its mission. I hope to make my dad proud.”
BOARD SHORTS: Leo Premutico, co-founder of renowned ad agency Johannes Leonardo, was named chairperson of the 2024 AMP Awards for Music & Sound. As Show Chair, Premutico will be tasked with helping assemble the AMP Awards Curatorial Committee … The National Association of Broadcasters appointed iHeartMedia regional president Jeanna Berge to its radio board of directors, replacing Joel McCrae.
Nice Life Recording Company promoted Bradley Haering to the fresh position of evp of A&R, and hired Mikelle Schwartz as evp or marketing for the indie label. Both are based in Los Angeles and report to founder/CEO Ricky Reed and Larry Wade, who is COO. Haering has been at the company since its formation in 2014 and is credited with signing the label’s Grammy-nominated band The Marías. Schwartz arrives from 88rising, where she was svp of marketing, with previous stops at Warner Records and Kemosabe Records. “I am thrilled for this next chapter at Nice Life Recording Company with these expanded positions,” said Reed. “Mikelle brings over 15 years of marketing experience, making her an invaluable asset to our Nice Life team at the leadership level. Brad, who has been with us since the beginning will oversee A&R in this newly added position as we continue to expand the Nice Life roster.”
Sony Music Publishing UK hired ZaZa Kazadi as senior A&R manager and promoted Adrienne Bookbinder to senior A&R manager of UK and Europe, and Nasra Artan to senior European A&R manager. All three are based in the company’s London office, with Kazadi and Bookbinder reporting to David Ventura, president and co-managing director, and Artan reporting to Ventura and Johnny Tennander, svp of international. Kazadi previously worked in management at Never Dies Management and spent two years as A&R manager at BMG Music Publishing.
Jon Granat joined JDM Music + Sound, makers of custom sound design for movie advertising, as a partner. Granat arrives from Nettwerk Music Group, where as svp of global sync licensing, he led a team working on creative, licensing and biz development for a roster including Passenger, St Lucia and Vacations. Prior to NMG, Granat worked with companies ranging from BMG, Chrysalis and Warner Chappell Music, among others. “I’m beyond thrilled to welcome Jon to the company,” said Joel Dean, a founding partner of JDM Music + Sound. “His wealth of experience across the music industry will be invaluable to bringing opportunities to the JDM catalog and our roster of composers.”
BMI veteran MaryAnn Keen was promoted to director of creative in the PROs Nashville office. Keen joined BMI in 2016 and was most recently the creative associate director, instrumental in scouting and signing new songwriters and coordinating event, such as the Key West Songwriters Festival. She has gained experience working with emerging writers and established hitmakers including Heath Warren, Mackenzie Carpenter and Brett Tyler, among others. Keen will continue to report to BMI’s Leslie Roberts, AVP of Creative Nashville.
Believe elevated Kristof Jansen to vp of Groove Attack, the digital firm’s rap and hip-hop brand in Germany. Approaching ten years at the company, Jansen most recently served as director of repertoire development for A&R at both Believe and Groove Attack. He’ll work out of the Cologne office and continue to report to Thorsten Freese, GM of Believe Germany.
Musicians on Call, a non-profit that brings music to the bedsides of patients, promoted six key staffers: Nicole Rivera to vp of programs, Sara Kolodziejczak to vp of development, Tarah Duarte to senior manager of strategic partnerships, Alli Prestby to creative manager, and Audrey Jadwisiak and Orenda Senior to program manager. “These team members have excelled in their roles and significantly improved the foundation of Musicians On Call. Our programs and national brand, along with the overall health of our organization, have all benefited from their leadership, creativity and ingenuity,” said MOC CEO Pete Griffin.
ICYMI:
Merck and Louis.
Universal Music Group honcho Lucian Grainge put Monte Lipman and John Janick in charge of a restructured label model that rejiggers its web of frontline labels to align them under two main companies … Utopia Music co-founder Mattias Hjelmstedt exited the company … Hipgnosis founder Merck Mercuriadis (pictured) is stepping down as CEO of Hipgnosis Song Management … Kris Lamb is elevated to evp and GM of Big Machine Records … which is part of Big Machine Label Group, which promoted Mike Rittberg to COO and Clay Hunnicutt rising to evp of label operations.
Last Week’s Turntable: All Songs Host Considered, Accepted