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Futureverse — a multi-hyphenate AI company — published a new research paper on Thursday (June 9) to introduce its forthcoming text-to-music generator. Called Jen-1, the unreleased model is designed to improve upon issues found in currently available music generators like Google’s MusicLM, providing higher fidelity audio and longer, more complex musical works than what is on the market today.
“Jen is spelled J-E-N because she’s designed to be your friend who goes into the studio with you. She’s a tool,” says Shara Senderoff, co-founder of Futureverse and co-founder of Raised in Space, about the model in an exclusive first-look with Billboard. Predicted to release in early 2024, Jen can form up-to three minute songs as well as help producers with half-written songs through offering ‘continuation’ and ‘in-painting’ as well.
‘Continuation’ allows a music maker to upload an incomplete song to Jen and direct the model to create a plausible idea of how to finish the song, and ‘in-painting’ refers to a process by which the model can fill in spaces of a song that are damaged or incomplete in the middle of the work. To Aaron McDonald, the company’s co-founder, Jen’s role is to “extend creativity” of human artists.
When asked why Jen is a necessary invention during a time in which producers, songwriters and artists are more bountiful than ever, McDonald replied, “I think musicians throughout the ages have always embraced new technology that expands the way they can create music,” pointing to electronic music as one example of how new tools shape musical evolution. “To imply that music doesn’t need [any new] technology to expand and become better now is kind of silly… and arbitrary.”
He also sees this as a way to “democratize” the “high end of music [quality],” which he says is now only accessible to musicians with the means to record at a well-equipped studio and with trained technicians. With Jen, Johnson and Senderoff hope to satisfy the interests of professional musicians and to encourage newcomers to dabble in songwriting, perhaps for the first time. The two co-founders imagine a world in which everyday people can create music, and have nicknamed the products of this type of user as ‘AIGC,’ a twist on the term User Generated Content (or ‘UGC’).
Futureverse was formed piecemeal over the last 18 months, merging eleven different pre-existing AI and metaverse start-ups together into one company to make a number of creative AI models, including those that produce animations, music, sound effects and more. To power their inventions, the company employs the AI protocol from Altered State Machine, a company that was founded by Johnson and included in the merger.
Senderoff says Jen will also be a superior product because Futureverse created it with the input of some of music’s top business executives and creators, unlike its competitors. Though Senderoff does not reveal who the industry partners are or how Jen will be a more ethical and cooperative model for musicians, but she assures an announcement will be released soon providing more information.
Despite its proposed upgrades, Futureverse’s Jen could face significant challenges from other text-to-music generators named in the new research paper, given some were made by the world’s most established tech giants and have already hit the market, but McDonald is unperturbed. “That forces us to think differently. We don’t have the resources that they do, but we started our process with that in mind. I think we can beat them with a different approach: the key insight is working with the music industry as a way to produce a better product.”
Ivan Cornejo has signed a record deal with Interscope Records, the Universal Music Group-owned label announced today (Aug. 10). The música mexicana singer-songwriter had been signed to indie label Manzana Records since 2021.
The 19-year-old artist went from social media phenomenon to chart-topping artist when he topped Billboard‘s Latin Songwriters chart dated Oct. 30, 2021 thanks to his hit sierreño anthem “Está Dañada,” which then became only the second regional Mexican song to enter the Hot 100 tally. The track later got a remix featuring Jhayco. Last year, he scored his first No. 1 on the Regional Mexican Albums with his sophomore album, Dañado, and he won new artist of the year the 2022 Billboard Latin Music Awards.
“I am really excited to begin this new chapter of my career,” Cornejo said in a statement. “It’s been a long road even though my career is young and we have built a really strong foundation up until now. I am looking forward to working with John and Nir and the entire team at Interscope to continue to build and take my project to the next level.”
Cornejo made his Lollapalooza debut on Aug. 5, where he officially kicked off his Terapia Tour, which will make stops in major cities such as New York, Atlanta, Dallas and Houston before wrapping up with two back-to-back shows in Chicago on Nov. 16-17.
“At Interscope we have always been attracted to artists who move culture, and Ivan has already proven he is on that path,” said John Janick, chairman and chief executive officer of Interscope Geffen A&M Records. “He is absolutely one of the most exciting new artists in music and we are looking forward to working with him and his team on the next chapter of his incredible career.”
“Ivan is truly a special artist, a songwriter of depth and a masterful live performer,” said Nir Seroussi, Interscope executive vice president, who oversees Interscope’s efforts in Latin music. “In a very short time he built a passionate and loyal fanbase which has propelled him up the charts. We’re so proud that he’s chosen Interscope as his new creative home.”
Ivan Cornejo’s move from an indie Latin label to a mainstream label comes just two months after Interscope signed Karol G, joining a roster of Latin acts that include Kali Uchis, Cuco and Bad Gyal, among others.
Apple will get to keep rules barring developers from directing users to avenues that allow them to bypass a commission on sales in the App Store, where the company exacts a toll of up to 30 percent on all transactions, pending an appeal to the U.S. Supreme Court. Justice Elena Kagan on Wednesday denied a bid […]
For roughly half a century, John Fogerty had tried to recover the rights to dozens of hits he wrote for Creedence Clearwater Revival. At the age of 77, he had almost given up hope, when he and his wife, Julie Fogerty, who also works as his manager, realized they were on the cusp of a second chance thanks to the Copyright Act of 1976.
That law–specifically sections 304(c) and 203–are intended to give musicians, songwriters and other creators a second bite at the apple by enabling them to recapture the copyrights to compositions and recordings, in the United States only, that they may have signed away earlier in their careers. Songs dating from before 1978 can revert to their creator or heirs after 56 years, and songs from after 1978 can revert to the creator or heirs after 35 years, provided they file the proper paperwork.
Realizing that many of John’s songs were nearing that 56-year threshold, Julie reached a deal with Concord in January that returned majority control to her husband of worldwide publishing rights to over 65 Creedence classics.
Although clearing the legal and corporate hurdles to recapture rights can be significant and compromises are often negotiated, some industry insiders say that same law could lead to artists putting up for sale their newly recovered catalogs in a way that stokes the already hot market for publishing and recording rights.
“You have this interesting confluence of the big, big moment in classic rock, and you’re also getting to the 35-year window for late-1980s songs,” says Concord CEO Bob Valentine, who mentioned the mutually “happy outcome” with John during a discussion about works from the late ’60s and late ’80s approaching their reversion dates.
“Those are two huge windows for multiple genres,” he adds. “It makes the [catalog investment] market really interesting at this moment in time.”
Clearing the hurdles — both within the law and presented by music companies — to recapture rights is complicated, but there is some precedent to support this optimism. In 2013, when the first wave of post-1978 works approached the 35-year threshold, Billboard reported that nearly 20 of the world’s most famous songwriters had filed termination notices with the U.S. Copyright Office, including Paul McCartney, Bob Dylan, Brian Wilson, Gerry Goffin & Carole King, Willie Nelson, Daryl Hall & John Oates and the estates of Buddy Holly and Bo Diddley.
Lisa Alter, a founding partner at Alter Kendrick & Baron in New York and an expert in rights reversion negotiations, says a new surge has already begun. “Commerce has definitely increased in this area,” she says. “It will continue to increase, and at some point, maybe 10-plus years down the line, things will start to level off.”
Sources cautioned, however, that rights reversions — particularly for master recordings — rarely work out so cleanly as the law implies, and that likely only a fraction of the hit song catalogs reaching the 35-year or 56-year milestones will revert to their owners.
While John was able to regain a majority share of his worldwide publishing rights, Concord retains the Creedence master recordings in its catalog and, as of January, was still administering the rocker’s share of the publishing catalog. (Concord obtained Creedence’s recordings through the 2004 acquisition of Fantasy Records.) While John regained only publishing rights this year, Concord reinstated and improved his artist royalties shortly after the acquisition.
A key argument used by industry observers who predict the spate of copyright reversions will superheat the catalog investment market in the coming years is that superstar artists and songwriters who were behind hit records in the ’60s, ’70s and ’80s are aging and may be considering selling their rights to pass down a simpler inheritance to their heirs.
Before that can happen, however, artists and songwriters — or their heirs, if they are deceased — are required to serve the U.S. Copyright Office and their current music publisher or record company a termination notice at least two years before the songs turn 35 or 56, and they cannot enter any agreement with a third party before their current contract is terminated. Whoever has been holding those rights has the right of first refusal to acquire them.
While that option often leads the incumbent rights holder to negotiate new deals with the artists seeking to recover their rights, Alter says that since 1978, publishers have usually acquiesced when artists seek to reclaim their publishing rights, and labels have largely sought to block attempts to reclaim sound recording rights.
“There has been almost universal opposition on the part of the labels to the [termination] notices,” she says, with labels often arguing the notice was not validly served or the artist or songwriter produced the song as a work for hire. “While some artists have successfully gotten their rights back, in the majority of cases, the record label has renegotiated the leases.”
Many artists have attempted to sue major labels for their responses to termination notices — so far almost always unsuccessfully. One closely watched case was brought by “Missing You” singer John Waite, who sought class action status for hundreds of artists to sue Universal Music Group to regain control of their masters. The class action request was denied in January after a judge said there were complex and unique issues raised by each artist’s relationship with UMG that could not be resolved on an “aggregate basis.”
Round Hill Music co-founder Josh Gruss, who was an early investor in songs as an asset class, says he questions whether the rights reversion trend will result in more copyrights coming to the investment market.
“It’s really hard for significant recordings to fall out of the major-label system,” he says.
That said, Gruss acknowledges that attractive copyrights that have reverted to an artist or songwriter frequently come up for outside investment. For example, songwriter Eddie Schwartz, who wrote 100% of Pat Benatar’s 1980 top 10 Billboard Hot 100 hit “Hit Me With Your Best Shot,” reclaimed his publishing rights to the song in 2015 and sold them to Round Hill. Gruss says they’ve both been happy with the result.
When it comes to master recordings, however, Gruss agrees with Alter’s assessment.
“The labels have always done a masterful job of not letting the recordings revert,” he says.
With the launch of a music publishing venture, Simon Cowell returns to the business where he honed his own talents in pop.
Unveiled this week, SYCO Publishing, a collaboration between Syco Entertainment and Universal Music Publishing Group, will sign and develop songwriters and catalogs that will be administered and supported exclusively through UMPG globally, reps say.
At launch, SYCO Publishing is home to Lucy Spraggan and John Samuel Gerhart, as well as song catalog from Camila Cabello, James Arthur, Grace VanderWaal, Fifth Harmony and others.
The record executive, TV personality and current judge on America’s Got Talent got his break in publishing.
“There is nothing more important than a great song. I started my career in music publishing,” comments Cowell on the unveiling of his new venture. Paying tribute to Mike McCormack, managing director of UMPG U.K., and the music publishing giant, Cowell says he’s been given “the chance to build a music publishing company. They are a brilliant company and share my wish to work with amazing songwriters.”
SYCO Publishing will also create new opportunities for its writers to work across Cowell’s network of media formats and projects, reads a statement.
“Simon has been a good friend for decades and I’m thrilled he has finally decided to launch a publishing business with UMPG,” adds McCormack. “His track record is incredible – he’s always had great instincts and passion for outstanding songs, and brings incredible value to every songwriter, producer and catalog he works with.”
It’s the second songwriting-focused project in the past year that has brought together Cowell’s entertainment venture and Universal Music Group. In 2022, both companies got behind StemDrop, a creative platform for musical collaboration, curation and artist discovery, which launched exclusively with TikTok and Samsung, by providing users with access to music “stems,” the isolated components of a song, from an exclusive track, which creators could then use to record and share their own versions.
Syco Entertainment is the independent company which created and owns TV formats such as “Got Talent” and “The X Factor”.
The Zombies, the British invasion rock band behind classics like “Time of the Season” and “She’s Not There,” announced this week they’ve obtained their master recordings after decades of outside control.
“It’s another stage of us not worrying about what’s going to happen in the future,” says keyboardist Rod Argent, one of the band’s founders and songwriters. “We’ve got more overseeing of everything that’s going on.”
The baroque pop originators signed with Marquis Enterprises in 1964 when they were still teenagers and almost immediately scored a No. 2 hit on the Hot 100 with their Argent-penned debut single, “She’s Not There,” which Marquis had licensed to Decca. They followed that up with another Argent original, “Tell Her No,” which peaked at No. 6. Their signature and most enduring hit — Argent’s “Time of the Season” — didn’t gain traction until after they’d broken up prior to the 1968 release of their sophomore album Odessey and Oracle on CBS. The era-defining song, with its breathy call-and-response vocals from Colin Blunstone and psychedelic keyboard runs by Argent, eventually reached No. 3 on the Hot 100.
Carole Broughton, a Marquis employee at the time, wound up controlling the band’s masters and publishing over several decades, recently placing synchs including Odessey and Oracle album cut “This Will Be Our Year” in the Schitt’s Creek finale and “She’s Not There” in a Chanel ad campaign starring Keira Knightley.
“I’d always promised [the masters] to them,” says Broughton, owner of Marquis and Bocu Group, a publisher that oversees 700 song copyrights. “We’re all in our 70s now and it just felt right. I certainly didn’t want the masters to go back to anybody else other than The Zombies.”
Rod Argent, Hugh Grundy, Chris White and Colin Blunstone of The Zombies attend An Evening With The Zombies at The GRAMMY Museum on April 27, 2017 in Los Angeles.
Rebecca Sapp/WireImage for The Recording Academy
Deal terms were undisclosed, but discussions were “three years in the making,” according to Chris Tuthill, the band’s co-manager. “My partner Cindy [da Silva] and I have been working long and hard to have it controlled and under one roof,” he says. “Although Marquis always kept a sympathetic and active role in the catalog, they didn’t necessarily do things to actively promote the catalog, particularly on DSPs.” When Marquis placed The Zombies’ “A Rose for Emily” in the hit 2017 podcast S-Town, he adds, “It would have been brilliant, had we known this was coming out, having people pitch this for playlisting and promoting the story of this song.”
Still, Broughton and Marquis were unusually fair to The Zombies during a long period when classic-rock stars lost control of their publishing and master recordings to music executives they considered unscrupulous.
“When it was fairly unfashionable, she did the most wonderful job, because she was so dedicated to us,” Argent recalls. “She continually worked it in the early days. She never let it die. That did us a huge favor.” Tuthill adds: “The guys have told me it was always very straightforward, unlike the highway-robbery stories I’ve heard from people who came up in the ’50s, ’60s and ’70s. Everything got paid through that was supposed to be paid through.”
After the COVID-19 pandemic hit in 2020, Broughton sold The Zombies’ publishing, which includes tracks by songwriters Argent, Blunstone and Chris White, to Robert Wise‘s Wise Music Group. “I’d known Bobby since I was young — he used to put out our sheet music,” says Broughton, who began her music-business career in 1961, at 14, with U.K. publisher Mills Music. “It made sense at the time. I knew they were going to be very proactive with it.”
The Zombies, who are on tour this fall and recently released a new album, Different Game, are directing their managers to dig through boxes of files and scouring original four-track tapes for potential catalog reissues. “The gem in all of this is The Zombies don’t have to ask anyone for permission to do anything with respect to their masters,” says Monika Tashman, the band’s attorney. “This is about them claiming something that seemed impossible at the early stage of their career.”
Lizzo could be facing further legal action on the heels of a lawsuit filed by three tour dancers who claimed in a complaint filed last week in Los Angeles that the “Juice” singer subjected them to sexual harassment and a hostile work environment that included allegations that they were pressured to touch nude dancers during a live sex show.
According to a statement from attorney Ron Zambrano — who is representing dancers Arianna Davis, Crystal Williams and Noelle Rodriguez — “we have received at least six inquiries from other people with similar stories since we filed the complaint.”
Zambrano added that, “Noelle, Crystal and Arianna have bravely spoken out and shared their experiences, opening the door for others to feel empowered to do the same. Some of the claims we are reviewing involve allegations of a sexually charged environment and failure to pay employees and may be actionable, but it is too soon to say.”
At press time a spokesperson for Lizzo had not returned a request for comment on Zambrano’s statement.
The complaint filed last week on behalf of Davis, Williams and Rodriguez accused Lizzo (born Melissa Jefferson) and her Big Grrrl Big Touring Inc. of a wide range of legal wrongdoing, including racial and religious discrimination. Among the allegations in the suit were claims that Lizzo pushed the dancers to attend a sex show in Amsterdam’s famed Red Light District and pressured them to engage with the performers.
The lawsuit also claimed that the captain of Lizzo’s dance team, Shirlene Quigley, forced her religious beliefs on the plaintiffs and took repeated actions that made them uncomfortable, including commenting about their virginity and simulating oral sex on a banana in front of them.
In one of the most notable allegations, the suit claims that Lizzo, who has made body positivity a key aspect of her brand, “called attention” to a dancer’s weight gain after a performance at the South by Southwest festival.
Last Thursday, Lizzo issued her only response to date to the suit, calling the allegations “false” and “sensationalized stories” in a statement on Twitter. “I am not the villain that people and the media have portrayed me to be these last few days,” Lizzo wrote. “I am very open with my sexuality and expressing myself but I cannot accept or allow people to use that openness to make me out to be something I am not.”
She said that the allegations that she and her company created a hostile work environment that included allegations of religious and racial discrimination were “unbelievable as they sound and too outrageous to not be addressed.”
Lizzo specifically addressed the allegation that she had “called attention” to a dancer’s weight gain, saying, “There is nothing I take more seriously than the respect we deserve as women in the world. I know what it feels like to be body shamed on a daily basis and would absolutely never criticize or terminate an employee because of their weight.”
Though Lizzo did not specifically address the individual accusations in the suit in her statement, she called them “sensationalized stories [that] are coming from former employees who have already publicly admitted that they were told their behavior on tour was inappropriate and unprofessional.”
In a response, Zambrano said Lizzo’s statement “only adds to our clients’ emotional distress”; at press time the names of the alleged six other people reportedly contacted Zambrano after the suit was filed had not been released. Billboard has reached out to one of Lizzo’s lawyers, Marty Singer, for comment on Zambrano’s statement but had not heard back at press time; according to NBC News, Singer had recently called the lawsuit “specious.”
Following the suit and Lizzo’s statement, filmmaker Sophia Nahli Allison — who at one point had been attached to direct the singer’s Love, Lizzo documentary — explained on her socials why she left the project. “In 2019, I traveled a bit with Lizzo to be the director of her documentary. I walked away after about 2 weeks. I was treated with such disrespect by her,” Allison wrote.
“I witnessed how arrogant, self-centered, and unkind she is. I was not protected and was thrown into a sh-tty situation with little support,” she added. Allison also said her gut told her to leave the project, and that she is “grateful” that she did, adding that she “felt gaslit and was deeply hurt.” At the time Lizzo’s reps had not returned Billboard‘s requests for comment on Allison’s claims.
Earlier this year, Amazon Studios announced that auditions had begun for the second season of Watch Out for the Big Grrls, a series that chronicled the singer/rapper’s search for her next crew of “BIG GRRRL” dancers to accompany on her 2022 tour; according to NBC, among the six unnamed people Zambrano has talked to, some said they worked on the Amazon series.
In addition, on Tuesday, the Jay-Z-founded Made In America festival, which was to feature headline sets from Lizzo and SZA, announced that it was pulling the plug on this year’s edition due to “severe circumstances outside of production control.” A statement from organizers did not give specific reasons for the cancellation and a spokesperson for promoter Live Nation referred Billboard to the statement without offering additional comment. NBC reported that before the suit against Lizzo was filed, an unnamed source close to the production said that ticket sales for this year’s Made in America fest in Philadelphia were “not good.”
Universal Music Group is in the early stages of talks with Google about licensing artists’ voices for songs created by artificial intelligence, according to The Financial Times. Warner Music Group has also discussed this possibility, The Financial Times reported.
Advances in artificial-intelligence-driven technology have made it relatively easy for a producer sitting at home to create a song involving a convincing facsimile of a superstar’s voice — without that artist’s permission. Hip-hop super-fans have been using the technology to flesh out unfinished leaks of songs from their favorite rappers.
One track in particular grabbed the industry’s attention in March: “Heart On My Sleeve,” which masqueraded as a new collaboration between Drake and the Weeknd. At the time, a Universal Music spokesperson issued a statement saying that “stakeholders in the music ecosystem” have to choose “which side of history… to be on: the side of artists, fans and human creative expression, or on the side of deep fakes, fraud and denying artists their due compensation.”
“In our conversations with the labels, we heard that the artists are really pissed about this stuff,” Geraldo Ramos, co-founder and CEO of the music technology company Moises, told Billboard recently. (Moises has developed its own AI-driven voice-cloning technology, along with the technology to detect whether a song clones someone else’s voice.) “How do you protect that artist if you’re a label?” added Matt Henninger, Moises’ vp of sales and business development.
The answer is probably licensing: Develop a system in which artists who are fine with having their voices cloned clear those rights — in exchange for some sort of compensation — while those acts who are uncomfortable with being replicated by technology can opt out. Just as there is a legal framework in place that allows producers to sample 1970s soul, for example, by clearing both the master and publishing rights, in theory there could be some sort of framework through which producers obtain permission to clone a superstar’s voice.
AI-driven technology could “enable fans to pay their heroes the ultimate compliment through a new level of user-driven content,” Warner CEO Robert Kyncl told financial analysts this week. (“There are some [artists] that may not like it,” he continued, “and that’s totally fine.”)
On the same investor call, Kyncl also singled out “one of the first official and professionally AI-generated songs featuring a deceased artist, which came through our ADA Latin division:” A new Pedro Capmany track featuring AI-generated vocals from his father Jose, who died in 2001. “After analyzing hundreds of hours of interviews, acappellas, recorded songs, and live performances from Jose’s career, every nuance and pattern of his voice was modeled using AI and machine learning,” Kyncl explained.
After the music industry’s initial wave of alarm about AI, the conversation has shifted, according to Henninger. With widely accessible voice-cloning technology available, labels can’t really stop civilians from making fake songs accurately mimicking their artists’ vocals. But maybe there’s a way they can make money from all the replicants.
Henninger is starting to hearing different questions around the music industry. “How can [AI] be additive?” he asks. “How can it help revenue? How can it build someone’s brand?”
Reps for Universal and Warner did not respond to requests for comment.
Tom Becci has joined Concord Label Group as chief executive. In the newly created role, he will oversee Concord’s recorded music division, including frontline label and catalog operations.
Becci, who will be based in Los Angeles and report to Concord CEO Bob Valentine, comes to CLG from Red Light Management, where he spent the last seven years working with founder Coran Capshaw in several areas, including organizational structure, new business opportunities and artist contract negotiations. He also monitored Red Light’s investments and played a role in Red Light’s label development and investment in such companies as LEO33, Chess Club Records and AMF Music. Prior to Red Light, he was COO of Universal Music Group Nashville.
“Having admired the work of Concord for years, I am thrilled to join this incredible company,” said Becci in a statement. “It is abundantly clear that the label group’s passionate, dedicated team works day in and day out in service of its artists and has built something truly unique. With the help of the label presidents, the entire Concord staff, and inimitable artists like Pierce the Veil, Killer Mike, Thirty Seconds to Mars, Allison Russell, and so, so many more, I can’t wait to continue building on what has been established and usher Concord Label Group into a new era.”
CLG’s frontline labels include wholly owned Concord/Rounder, Concord Jazz, Fantasy Records, Fearless Records, and KIDZ BOP and joint ventures with Easy Eye Sound, PULSE Records and Loma Vista Recordings. Its catalog labels include such imprints as Fania, Prestige, Specialty, Stax and Telarc.
“Concord is at a pivotal point in its company story,” said Valentine, who ascended to CEO in July. “Tom has spent his career helping to operate and lead some of the most important recorded music and artist management groups in the U.S. He knows what it takes to keep a music enterprise culturally, financially, and operationally healthy and I am eager to work with him as we continue to bolster our global footprint in support of artists and creators, as well as their legacies. As we enter this next chapter for Concord Label Group, I am thrilled to have him at the helm along with our label presidents and Concord’s senior team.”
Sony Music Entertainment’s revenue rose 16% to 358.2 billion yen ($2.5 billion) last quarter, as hit records by SZA, Miley Cyrus and Harry Styles helped boost growth in both recorded music and music publishing.
For the fiscal quarter ended June 30, SME reported quarterly operating income of 73 billion yen ($510 million), a 20% rise on the same period a year ago. Adjusted earnings before interest, taxes, depreciation and amortization were up 11% year-on-year, totaling 83 billion yen ($580 million).
The company said growth in streaming subscription revenues and the impact of foreign exchange rates were among the key drivers of its positive quarterly financial results. SME said it also benefitted from a 6 billion yen ($41 million) operating income boost from the completed acquisition of an unnamed company.
SZA’s SOS, Miley Cyrus’ Endless Summer Vacation and Harry Styles’ Harry’s House were among the company’s top performing titles of the quarter. SME also named Luke Combs’ Gettin’ Old, the 10th anniversary reissue of Daft Punk’s Random Access Memories, Foo Fighters’ But Here We Are and Beyonce’s Renaissance among its 10 best-selling releases in the first three months of the current financial year.
On the back of those sales, Sony Music’s recorded music division’s revenues rose 19% to 237.7 billion yen ($1.6 billion), with streaming revenue growing by almost 19% to 164.8 billion yen ($1.1 billion), accounting for 69% of total recorded music revenue.
Physical sales fell 2.4% year-on-year to 24.9 billion yen ($174 million) and accounted for just over 10% of the quarter’s recorded music revenue. Download sales rose slightly to 7.7 billion yen ($53 million), up around 2% compared to the same quarter a year prior.
License revenue, including public performance, broadcast and sync sales, coupled with merchandising and live performance income, brought in an additional 40.1 billion yen ($280 million) to Sony’s recorded music division.
On the publishing side, revenues increased 19% year-on-year to 75.1 billion yen ($524 million). Within publishing, streaming sales rose 24% to 41.6 billion yen ($290 million), while other publishing income totaled 33.5 billion yen ($234 million).
Revenues from the company’s residual media and platform business, which represents less than 10% of SME’s operating income and includes animation titles and game applications, was more-or-less flat as the same period last year at 42.8 billion yen ($299 million). That total was, however, down 16% when compared to the previous quarter’s 53.4 billion yen ($372 million).
Looking ahead, Sony Music Entertainment raised its forecast for full-year revenue by 6% to 1.49 trillion yen (approximately $10 billion) with a projected operating income of 280 billion yen (approximately $1.9 billion).