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Louisiana-based rapper NBA YoungBoy pleaded guilty Monday to his role in a large-scale prescription drug fraud ring that operated out of his multimillion-dollar home in Utah.
The 25-year-old artist, whose real name is Kentrell Gaulden, walked into a courtroom in Logan, Utah, with his head hung low as he entered the plea for his part in the alleged scheme, KTVX-TV reported.
Gaulden was originally charged in the Logan District Court with 46 charges related to the alleged crime. On Monday, he pleaded guilty to two counts of third-degree felony identity fraud, two counts of third-degree felony forgery, and six counts of misdemeanor unlawful pharmacy conduct. Gaulden entered a “no contest” plea to the remaining charges.
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As part of a plea deal, Gaulden will not serve prison time in Utah. Instead, his four felony charges were reduced to Class A Misdemeanors and he was ordered to pay a $25,000 fine, the television station reported.
District Judge Spencer Walsh agreed to suspend a prison sentence as Gaulden is expected to serve a “substantial” 27 months in federal prison for related charges in a case stemming out of Weber County, Utah. Following his release, Gaulden will then be placed on five years of federal supervised probation.
“This is somewhat of a unique case where there have been multiple jurisdictions involved both in the federal and the state systems,” said state prosecutor Ronnie Keller. “This is just really a smaller cog in the bigger wheel of ultimately seeking justice.”
Gaulden had been living in Utah under house arrest having previously been allegedly involved in a 2019 Miami shooting. His relocation to Utah came as part of a deal in 2021 in which his lawyers argued that “moving to Utah would keep YoungBoy out of trouble.”
During his hearing Monday, Walsh said it was clear that Gaulden was a very talented young man.
“I’ve seen so many times where you have young men and women who have a lot of talent and potential. They can be robbed of that potential when they start to really struggle with their addictions,” Walsh told Gaulden. “I don’t want that for you.”
Walsh continued saying, “I’m sure that in your future, once you’re done with your federal prison time, you can be really successful on federal probation and have a really bright future where you can reach your full potential in every aspect of your life. Best of luck to you, Mr. Gaulden.”
Sony Music has reached a settlement to end a lawsuit claiming the producers of Whitney Houston’s 2022 biopic Whitney Houston: I Wanna Dance With Somebody never fully paid to use her songs.
The case, filed earlier this year, alleged that the companies behind the movie had signed deals for sync licenses to feature songs like “I Will Always Love You” in the film – but that more than a year after it was released, the label still hadn’t been paid a dime for those rights.
In a motion filed Monday in New York federal court, attorneys for Sony say they will drop the case voluntarily. The motion did not provide any terms of the apparent settlement, and neither side immediately returned requests for comment.
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Riding a wave of enthusiasm for musical biopics – 2018’s Bohemian Rhapsody earned more $900 million at the box office and Baz Luhrmann’s 2022 “Elvis” made $288 million – “I Wanna Dance” was released in December 2022 to middling reviews and an underwhelming return of $59.8 million gross.
A little over a year later, Sony added a copyright lawsuit to the movie’s woes – claiming the movie had featured “some of the most iconic and popular sound recordings of all time” without properly paying for them.
The February lawsuit claimed that Anthem Films, Black Label Media and others behind the movie had signed a sync license agreement on Dec. 5, 2022 – less than ten days before the movie’s release – covering the use of Sony’s sound recordings of Houston’s songs, also including “Greatest Love of All,” “I’m Every Woman” and the titular “I Wanna Dance with Somebody.”
Sony argued that the producers did so because they essentially had to if they wanted to create “a biopic about the life and music of Whitney Houston.”
“Unlike other types of films, musical biopics by their nature require use of the subject musician’s music, as it is nearly impossible to explain the importance of a musician’s creative genius or unique style and talent without the use of the musician’s music,” Sony wrote.
But the label said that by August 2023, it still had not been paid anything under that deal. After notifying Anthem of the problem, the company allegedly told Sony that it was waiting on funds from a tax credit owed by the state of Massachusetts. But such a payment never came, Sony said.
“As a result of Anthem’s failure to pay the fees to SME, it is clear that there was no license or authorization to use the SME Recordings used in the Film,” the company’s attorneys wrote. “Nevertheless, the Film embodying the SME Recordings was, and continues to be, exhibited, distributed, and exploited.”
HarbourView Equity Partners has acquired the master royalty income of renowned jazz guitarist, singer-songwriter and 10-time Grammy Award winner George Benson. Terms of the transaction were not disclosed. In the press release announcing the transaction, HarbourView Equity Partners founder and CEO Sherrese Clarke Soares said, “We maintain a commitment to be a canon for legendary culture […]
Amazon Music is updating its “Unlimited” subscription tier to give subscribers in the U.S., UK and Canada access to audiobooks from Audible’s library of one million-plus titles, the company announced on Tuesday (Nov. 19).
With the new perk, Amazon Music Unlimited follows in the footsteps of Spotify, which revamped its subscription offerings earlier this year to include a bundle of songs and audiobooks together. Though Spotify angered songwriters and publishers by arguing it didn’t need to pay the full mechanical royalty rate since it offered multiple royalty-earning services in one, it appears that Amazon Music will work with publishers to determine new rates privately. According to a statement by the National Music Publishers’ Association (NMPA), the trade organization is “optimistic” about Amazon’s new offering and is “engaged” with the company in a “respectful and productive way” to find a compensation model for publishers that “will not decrease revenue for songwriters.”
Subscribers to AMU’s individual plan and primary holders of family plans are entitled to one audiobook of any length per month, a perk that continues even after each billing cycle. For those whose appetite for audiobooks exceeds the one-per-month offer, additional titles can be acquired through Audible via monthly subscriptions or a la carte purchases.
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The additional perk comes without an increase in price — for the time being. Steve Boom, vp of audio, Twitch and games, said Amazon’s strategy is be “to add new things to the product” that add value and later “figure out what the right pricing strategy is in the long term.” In the U.S., AMU costs $9.99 for Prime members and $10.99 for non-Prime subscribers, both less than Spotify’s $11.99 monthly fee and, for non-Prime subscribers, equal to to Apple Music’s $10.99 price.
Spoken-word content has already proven a valuable complement to music. After AMU added podcasts in 2020, subscribers embraced having both music and spoken-word content in the same app, noted Boom. “The convenience of having both music and spoken word in the same app has proven really effective. It makes logical sense to bring audio books into it as well.”
Audiobooks will not be made available to Amazon Music Prime, the tier included with a basic Prime subscription, or Amazon Music Free, a free option with playlists, radio stations and podcasts.
The concept of “bundling” multiple services together has become a hot-button issue for songwriters and publishers. At the start of March, Spotify Premium subscriptions, including family and duo tiers, were quietly reclassified as bundled offerings, with both music and audiobooks included in the plans.
According to the stipulations of Phonorecords IV — the government-regulated guidelines that dictate the mechanical royalty rates for streaming from 2023-2027 — bundled services can qualify to pay out a lower royalty rate for publishing given that subscription dollars must be split between multiple services (in this case, books and songs). As a consequence, Billboard calculated that publishers and songwriters will earn an estimated $150 million less in U.S. mechanical royalties than previously expected in the 12 months following the change.
At the time, NMPA’s CEO/president David Israelite said he would “declare war” on Spotify — and he subsequently launched a multi-pronged effort to stop the streamer. This included sending Spotify a cease and desist for unlicensed lyrics, video and podcast content; filing a legislative proposal with both the U.S. House of Representatives and the Senate Judiciary Committees; and filing a Federal Trade Commission complaint. Around the same time, the Mechanical Licensing Collective (the MLC) sued Spotify for “improperly” classifying these tiers as bundles.
“We are optimistic about the new Amazon bundle,” Israelite told Billboard in a statement. “Amazon has engaged with the music publishing and songwriting industry in a respectful and productive way, unlike Spotify. We expect this new Amazon bundle will not decrease revenue for songwriters. Unlike Spotify, Amazon is looking at music creators as business partners and seeking to have a deal in place before the first round of royalty payments. This is in stark contrast to Spotify who is trying to pervert the compulsory license and slash what they pay songwriters.”
The NMPA and Amazon Music have not yet reached a final agreement.
“I feel like that guy in Don’t Look Up,” says Andrew Batey, co-CEO/co-founder of streaming fraud detection company Beatdapp. “I’ve been yelling about the comet coming for years, and so many people haven’t taken it seriously. Now, I think it’s arrived.”
On Nov. 4, Universal Music Group sued TuneCore and its parent company Believe in a $500 million copyright infringement lawsuit, claiming that TuneCore’s “business model” of letting users upload a massive volume of songs for a low flat rate is powered “by rampant piracy” and that TuneCore “makes little effort to hide its illegal actions.”
According to the lawsuit, some of these uploads are remixed or sped up versions of UMG hits and titled with slight misspellings of the artists or works they are infringing — like “Kendrik Laamar,” “Arriana Gramde,” “Jutin Biber” and “Llady Gaga.” UMG also alleges that TuneCore has “taken advantage of the content management claiming system” on YouTube “to divert” and “delay… payment of royalties” that belong to record labels.
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The nine-figure lawsuit serves as a searing indictment of the way one of the world’s largest DIY distributors is allegedly conducting its business. It’s also being viewed as an indictment of the business model of DIY distribution as a whole because, as Jamie Hart — founder of publishing administration company Hart & Songs — explains, “These problems are definitely not unique to TuneCore.” Throughout her career, Hart has spent time at SoundCloud and at Downtown’s YouTube royalty collection service AdRev (now part of FUGA), learning about the intricacies of rights management online, and why it can get so messed up. “This is happening across all self-upload distribution companies at a big rate, and it has been happening for years.”
Along with users profiting from content containing copyrighted material that doesn’t belong to them (sometimes colloquially referred to as “fraud,” “fraudulent content,” or “modified audio” in certain contexts), experts say DIY distributors are also usually the pipes that let in an excessive amount of songs that will be used in “streaming fraud” schemes — a term used to describe the process of artificially juicing stream counts to siphon money out of the royalty pool.
Batey and fellow Beatdapp co-founder/co-CEO Morgan Hayduk see this is the start of a serious crackdown on distribution companies like TuneCore, with “a small window for [distributors] to get on board” and clean up their issues with infringement and fraud before it leads to serious consequences. For those unwilling to put in the extra effort to prevent much of the illegal activity on their services, the Beatdapp leaders fear the financial penalties from streaming services or lawsuits from rights holders, like UMG, could be harsh enough to put some of the small players out of business and lead to consolidation.
“We don’t want to see consolidation,” Hayduk says. “It’s healthy to have a lot of distributors in the market, for users and for our business, too. We want to see them clean up their act, but they need to start now.”
Over the last few years, there have been a number of efforts made to address the growing problems in DIY distribution — from streaming fraud to copyright infringement to sheer volume. Last year, TuneCore, Distrokid, CD Baby, Symphonic, Downtown and more joined together to form the Music Fights Fraud coalition, an attempt to self-police these issues through a shared database. (Since then, Beatdapp alleges that there has only been an increased amount of streaming fraud across the industry.) Spotify also announced new amendments to its royalty payment models in an effort to curb these issues, including financial penalties for distributors and labels that perpetuate fraud.
But this fall, a number of high-profile instances of anti-fraud regulation have started popping up in quick succession. In September, federal prosecutors indicted a North Carolina musician in the first ever federal streaming fraud case, alleging he used two distributors to upload “hundreds of thousands” of AI-generated tracks, and then used bots to stream them, earning him more than $10 million since 2017.
Then, in October, TikTok cited issues with “fraud” as its reason for walking away from renewing its license with Merlin, a digital licensing coalition representing thousands of indie labels and distributors. Instead, TikTok reached out to Merlin members individually — something which TikTok says could help them curb fraud from specific members, but which Merlin calls an excuse to “fractionalize” its membership and “minimize” TikTok’s fees for indie music.
Experts are torn about whether or not the problems at these DIY distributors will be easy or hard to solve. One DIY distribution employee, who requested anonymity, says stopping bad activity is a never ending game of “wack-a-mole” and that it is “impossible to catch everything” even with a quality control team. “There’s so much content pushed through at once that a lot slips through the cracks.” They add, however, that there is too much of an emphasis on “quantity over quality” at these companies and that they need to hire more quality control personnel than they have right now.
But Larry Mills, senior vp of sales at Pex, a company that provides tools for content identification and rights management, believes “it actually isn’t that hard of a problem to solve. Some distributors and DSPs are just making a business decision to use lesser technologies that aren’t tuned to finding modified audio or covers until they are forced to.”
Beyond contracting a third-party service, like Pex or Beatdapp, or spending a millions on more full-time staffers, there are also much more simple measures that can be taken. Greg Hirschhorn, CEO/founder of distributor Too Lost and a member of the Music Fights Fraud coalition, said in an October interview that his company has seen significant success by simply requiring users to submit a photo ID and a selfie before uploading songs to Too Lost. “There’s no hiding from it, and it’s easy,” Hirschhorn says. “If you break the law using our site, I have your information, and I can just send it to local law enforcement or to the streaming service.” Hirschhorn claims he has offered to implement this same service for fellow MFF members, but he says no one has taken him up on it.
According to Mills, the new UMG lawsuit against Believe has encouraged more action. “Thankfully, people are starting to take this seriously. Our phones are certainly ringing more since [the UMG lawsuit],” he says.
An employee at one of the DIY distributors also has seen a change in attitude about these problems in light of the UMG lawsuit. “A lot of us [in distribution] have been talking about this lawsuit,” this person says. “This is a systemic issue in distribution. No company is blameless … Other distributors should be f-cking nervous.”
For those in the business of helping artists and writers collect their rightful royalties online, like Hart and Jon Hichborn, founder of royalty tracking company Records on the Wall, “There’s too much responsibility on the rights holder,” as Hichborn puts it, to police their copyrights. “It’s mind boggling. I track down royalties 24/7. Imagine if I wanted to be a musician who was writing and performing? There would not be enough time in the day to do it all.”
Still, the continued dysfunction and challenges stemming from DIY distributors has birthed a lucrative cottage industry for companies like Pex, Beatdapp, Hart & Songs, Records on the Wall and more that are designed to clean up the mess that is protecting copyrights and collecting royalties on the internet today. “My business unfortunately does thrive on everybody screwing up,” laughs Hichborn. “It’ll never go away.”
It’s unclear what the future looks like for DIY distributors. While Beatdapp foresees “extinction” for distributors that don’t get their act together, Hirshhorn predicts great change “in the amount of quality control, the amount of KYC [“know your customer” checks], the amount of diligence required,” but he doesn’t see it as an apocalyptic event. As he’s found with the implementation of ID checks, even if the scale of songs a distributor releases goes down some, a distributor can still thrive. Too Lost, he says, is doing better than ever, earning over $50 million in annual revenue this year.
“At the end of the day, you just shouldn’t be able to make money on the internet — whether it’s from music, gaming, or the creator economy — if you don’t disclose exactly who you are,” Hirshhorn says. “That just makes total sense… The music industry is always slow to adopt any changes, but this is what the future will look like.”
SoundCloud announced the roll out of a number of new AI partnerships on Tuesday (Nov. 19), underscoring its intent to integrate emerging technology into the platform — as long as it is used ethically.
Now, SoundCloud users will have access to six new assistive AI tools, including Tuney, Tuttii, Beatz, TwoShot, Starmony and ACE Studio. The company is also using Audible Magic and Pex to ensure that these new AI integrations are backed up by strong content identification tools that provide rights holders with proper credit and compensation.
These new partners join a list of existing AI integrations — Fadr, Soundful and Voice-Swap — SoundCloud has already worked into its platform. Now, any artist can use these tools and then easily share them to SoundCloud through a built-in “Upload to SoundCloud” option within each tool. Songs uploaded directly to SoundCloud will be automatically tagged to show the tool used (i.e. “Made with Tuney”) and artists can edit their newly uploaded tracks directly from their SoundCloud profile page.
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Additionally, SoundCloud has signed on to AI For Music’s “Principles for Music Creation with AI,” which was founded by Roland and Universal Music Group. Its principles include five points, like “we believe that human-created works must be respected and protected,” and “we believe music is central to humanity.”
SoundCloud Next Pro creators can access exclusive discounts and free trials for its nine partnered tools through SoundCloud for Artists.
“SoundCloud is paving the way for a future where AI unlocks creative potential and makes music creation accessible to millions, while upholding responsible and ethical practices,” said Eliah Seton, CEO of SoundCloud. “We’re proud to be the platform that supports creators at every level, fuels experimentation and empowers fandom.”
Learn more about the partnerships below:
Tuney: SoundCloud users can now use Tuney’s AI-powered tools to reinterpret original songs they have posted to SoundCloud (including private ones) without having to know the complexities of using a digital audio workstation (DAW). Using the new “Upload to SoundCloud” button, users can then share their creations quickly and easily back to the platform. Tuney’s Beat Swap feature is among the tools available to SoundCloud users, which can generate new remixes of a song by using a vocal stem and filling in the rest of the blanks.
In a statement provided to Billboard, Tuney CEO/co-founder Antony Demekhin said of the collaboration: “At a time when the major music companies are fighting tech platforms that illegally train on copyrighted works, we see this integration as paving the path for the ethical application of generative tech where rightsholders, artists and fans all benefit from innovation.”
Tuttii: SoundCloud fans can now use this AI-powered app to remix and mash up songs to share on social media with greater ease than using a DAW.
AlBeatz: SoundCloud users can now generate and customize professional-grade beats to work off of in their own original creations.
TwoShot: Created to help music producers kick start their creativity, TwoShot now offers SoundCloud users its massive sample library of AI generated sounds. The company also offers an AI co-producer tool, called Aiva, who can talk through musical ideas with users and help users search through TwoShot’s library.
Starmony: Tailored for singers and rappers, Starmony will now let SoundCloud users upload a vocal they’ve composed, and then the platform will provide professional-sounding production to fill in the instrumental elements of the song.
ACE Studio: With ACE Studio’s platform, musicians using SoundCloud can create their own AI voice models for use in the studio. For one, musicians can convert a melody, written out in MIDI, and convert it into a realistic sounding voice. This can also allow users to generate AI choirs of voices and edit vocals generated by Suno.
Australian ticketing company Ticketek was offline Monday (Nov. 18), causing a major outage across the platform while drawing concerns from fans of bands like Twenty One Pilots that the outage could affect upcoming shows this week.
On social media, ticket holders for a Twenty One Pilots concert at Rod Laver Arena on Tuesday (Nov. 19) are increasingly voicing their concerns that the ticketing company won’t be back online in time for the show. Officials with Melbourne & Olympic Parks Trust, which manages the arena, did not respond to questions from Billboard.
@Ticketek_AU @LiveNationAU when will the ticketek app and website be working again? i have a twenty one pilots show tomorrow and can’t access my tickets and i need to add them to my apple wallet!— val (@kilIersqueen) November 18, 2024
@Ticketek_AU website and app are still down. I want to buy presale tix for @KasabianHQ at @Enmore_Theatre How can I make the purchase if the site is down?— Mick Gee (@boomshanka1976) November 18, 2024
On Monday, visitors to Ticketek’s main web page discovered a message reading, “The Ticketek website is currently undergoing maintenance. We apologize that the update is taking longer than anticipated.”
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The cause of the outage is unknown, although a memo circulating online that appears to have been issued by a venue using Ticketek claims the company had voluntarily taken its network offline to “investigate some unusual cyber activity and, as a precautionary measure, the Ticketek Australia and New Zealand Websites and Apps have been temporarily offline today.”
The note adds, “Ticketek are working to reinstate access as soon as possible and apologise for any inconvenience caused. Ticketek are working hard to reinstate the site in the coming few hours.”
Ticketek’s pages in the United Kingdom, Singapore, the Philippines and Malaysia remained operational during Monday’s outage.
Billboard reached out to representatives from Ticketek but did not receive a response.
Ticketek is one of the largest ticketing companies in Australia and falls under the umbrella of Australian promoter Paul Dainty‘s company TEG, which today is majority-owned by Silver Lake and was recapitalized in February in a deal with KKR Credit Markets and the Singapore government-owned investment firm Temasek. TEG’s portfolio also includes TEG Sport, TEG Experiences, TEG Dainty, SXSW Sydney, Qudos Bank Arena, Softix, TicketCharge, TicketWorld and Ovation.
An unnamed “celebrity” has filed a civil extortion lawsuit against Tony Buzbee, a Texas attorney who reps more than 100 of Sean “Diddy” Combs’ alleged abuse victims — claiming the lawyer is threatening to file a lawsuit containing “wildly false horrific allegations” if the anonymous bigwig doesn’t pay up.
In a lawsuit filed Monday (Nov. 18) in Los Angeles, lawyers for a “high-profile” public figure identified only as “John Doe” claim that Buzbee is “shamelessly attempting to extort exorbitant sums from him” by threatening to “unleash entirely fabricated and malicious allegations of sexual assault.”
“This is textbook extortion,” writes the celebrity’s attorneys, who hail from the prominent law firm Quinn Emanuel. “Buzbee pretends to be speaking truth to power, but that is far from the truth.”
Buzbee allegedly contacted the man earlier this month with “vile” false claims: That he had “raped multiple minors, both male and female, who had been drugged at parties hosted by Combs.” If the celebrity did not agree to a “confidential mediation,” Buzbee allegedly warned he would “take a different course.”
“Plaintiff presently faces a gun to his head,” the lawsuit reads. “Either repeatedly pay an exorbitant sum of money … or else face the threat of an untold number of civil suits and financial and personal ruin.”
In a statement to Billboard on Monday, Buzbee said he and his firm “won’t allow the powerful and their high-dollar lawyers intimidate or silence sexual survivors” and warned that a lawsuit against the unnamed plaintiff was looming.
“It is obvious that the frivolous lawsuit filed against my firm is an aggressive attempt to intimidate or silence me and ultimately my clients,” Buzbee wrote. “That effort is a gross miscalculation. I am a US Marine. I won’t be silenced or intimidated. Neither will my clients. Since our professional efforts at resolution obviously have failed, we will instead disclose the demand letters we sent at the time we filed suit.”
Combs has faced a flood of abuse accusations over the past year, starting with civil lawsuits and followed by a bombshell federal indictment in September, in which prosecutors allege he ran a sprawling criminal operation for years aimed at satisfying his need for “sexual gratification.”
Weeks after the indictment, Buzbee joined the fray by holding a press conference in which he claimed to represent 120 individuals who had been victimized by Combs and threatened a flood of litigation. He has since filed more than a dozen such lawsuits, all on behalf of unnamed Doe plaintiffs.
At the time, Buzbee explicitly warned that he would name others: “We will expose the enablers who enabled this conduct behind closed doors.” And later, in an interview with TMZ, he said several such celebrities had settled on private terms to remain anonymous.
In Monday’s complaint, the unnamed celebrity said those efforts represented a “shakedown” and a “cynical extortion scheme” — one in which Buzbee “capitalizes on the bravery of those victims who came forward” against Combs to win unearned settlements from “innocent celebrities, politicians, and business people.”
“Defendants devised a scheme to obtain payments through the use of coercive threats from anyone with any ties to Combs — no matter how remote,” lawyers for the unnamed plaintiff write. “Defendants claim to be investigating the facts, but the reality is they are finding deep pockets and trying to smear all of them with the same brush.”
The unusual episode — a mysterious celebrity plaintiff claiming they’re being extorted with baseless abuse allegations — echoes a similar incident last month involving Garth Brooks. In that case, Brooks filed an anonymous lawsuit as “John Doe” seeking a federal court order to block the publication of the allegations. But the accuser eventually filed their abuse lawsuit against Brooks in a separate court weeks later.
The music publishing industry has long been a battlefield, with independent publishers often struggling against the overwhelming dominance of the majors. Companies like Warner Chappell, Sony Music Publishing and Universal Music Publishing Group control vast resources and have significant influence due to their connections with their major record label counterparts, making it difficult for indies to compete.
Despite these challenges, independent publishers continue to embody the spirit of creativity and resilience, navigating the obstacles with unparalleled determination in the face of industry issues including licensing and financial disadvantages, increasing competition and costs, fewer income streams, and more that threaten to push us out of business. Recently, these obstacles have intensified, demanding a more assertive and determined approach from indie publishers. As we progress through 2024 and look ahead to 2025, the reasons for our frustration are pressing and undeniable.
Over the past few months, the gap between indie and major publishers has widened due to systemic problems and recent controversies. TikTok’s licensing deals, heavily influenced by agreements with major record labels and publishers, have sidelined indie publishers, affecting our ability to monetize our catalogs effectively on a platform that has become critical for music discovery. TikTok’s role in propelling songs and artists to the top of the charts and securing lucrative synch deals makes this marginalization particularly troubling. Indie publishers find themselves at a disadvantage, forced to either accept less favorable deal terms or risk losing out on the opportunity to reach these audiences and, in turn, straining our label relationships.
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Similarly, the recent Spotify bundling controversy highlights the stark inequalities between major and independent publishers. By adjusting its service offerings to lower mechanical royalty rates, Spotify has given a significant advantage to major publishers. While all publishers are aligned in fighting Spotify’s move, major publishers, with their extensive financial reserves, can more easily absorb the impact of reduced royalties. Additionally, integration with their record label arms allows their parent companies to negotiate recording royalty deals that help offset losses on the publishing side. Independent publishers, however, operate with much tighter margins and lack the diversified revenue streams of their larger counterparts. For us, every penny matters. A reduced mechanical rate isn’t just a cut; it’s a threat to our very existence.
Beyond these specific cases, the challenges of 2024, including rising operating costs and intense competition in catalog acquisitions, have placed a heavier burden on indie publishers. The surge in catalog acquisitions by major publishers, driven by their financial power and access to capital, has driven up prices, making it increasingly difficult for indies to compete. This trend not only inflates catalog values to potentially unsustainable levels but also concentrates power in the hands of a few dominant players, stifling diversity in the market. Additionally, the rising costs of daily operations, from licensing negotiations to administrative expenses, are squeezing indie publishers even further, forcing some to consider selling their businesses, merging or even closing down.
Despite these challenges, there are still reasons for indie publishers to be optimistic. The Luminate 2024 Midyear Report shows that indie artists’ market share has grown by an average of 1.76%, with the most significant increase in the 500M+ on-demand audio streams category, increasing 2.7% over 2023 to 9.9%. Additionally, 62.1% of artists with 1 million to 10 million U.S. on-demand audio streams have independent distribution. These two examples out of many showcase the continued impact and growing influence of indie creators in the digital space. Advances in technology, especially AI tools, are providing new opportunities for music production, metadata refinement and distribution, leveling the playing field for indie artists and creators. Organizations like the National Music Publishers’ Association (NMPA), the Association of Independent Music Publishers (AIMP) and the American Association of Independent Music (A2IM) continue to advocate for and support indies, ensuring we have the tools and knowledge needed to navigate the industry. Additionally, the rise in synch opportunities and revenue following 2023’s entertainment labor disputes offer indie publishers a growing source of income in a segment of the industry that, fortunately, remains a free market.
The path forward for indie publishers is clear: We must unite and use our challenges to motivate change. By channeling our collective frustration, we can fight for fairer treatment and greater solidarity in the industry. Far from being destructive, our anger can be a powerful force, driving indies to recognize our strength, advocate fiercely for our rights, and reshape the industry. We can create a more just environment for our songwriters, ensuring they are fairly compensated and contributing to a more balanced music industry. The time for complacency is over; it’s time for indies to take action and secure our future, and the future of the songwriters who depend on us.
Marc Caruso is the co-founder and CEO of Los Angeles-based independent music publisher Angry Mob Music, with successful operations in publishing, music rights management and music production. Throughout his more than 20-year career in music as an entrepreneur, composer, producer and Emmy-nominated music editor, Marc has been at the forefront of music publishing and master rights administration for film and TV and has continually been a champion for musician and songwriters’ rights.
Republic has announced the promotion of Kevin Lipson to the newly created position of chief revenue officer, effective immediately, as touted by president and COO Jim Roppo.
In this role, Lipson will lead revenue strategies for artists across Republic Records, Mercury Records, Def Jam Recordings and Island Records through the Republic Corps. Collective. He’ll oversee teams involved in streaming, e-commerce, data, retail, gaming, sports marketing, media planning and catalog initiatives, while also driving innovation campaigns to boost audience and revenue growth.
The New York-based Lipson is a 28-year veteran of Universal Music Group, having held senior management roles at Republic, Island, Def Jam and Universal Music Group Distribution in both LA and New York. His tenure at Republic — most recently as evp of global commerce and digital strategy — has seen the label earn titles such as Billboard 200 Label of the Year and Billboard Hot 100 Label of the Year, and achieve the industry’s ten biggest streaming weeks of all time.
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His team has delivered successful albums for artists like The Weeknd, Metro Boomin and Morgan Wallen, among others. In mid-2022, Lipson’s marketing rollout strategies for Post Malone’s Twelve Carat Toothache album earned him a hat-tip as Billboard‘s executive of the week.
The expanded role, but not title, for Lipson — encompassing revenue strategy at the label group — was initially announced in March as part of the formation of the East Coast-based Republic Corps, designed to compliment UMG’s Interscope Capitol Labels Group out west.
Roppo praised Lipson as a “tenacious” and innovative, adding, “with a fresh perspective, he’s constantly looking for unconventional ways to break new artists and maximize global repertoire revenue for our roster of superstars.”
Lipson thanked Republic’s leadership for their backing and emphasized the collaborative nature of the team. “They support their people here first—which inspires everybody to compete at the highest level while breaking historic industry records,” he noted. “Our team is involved in many different facets of the label, which is inspiring to all. It’s not exclusive to marketing, sales, and data; it’s all-encompassing. Even with all of the incredible success, we’re constantly trying to evolve and better ourselves while staying humble.”