Business
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Only four of the 20 stocks in Billboard’s Global Music Index were in positive territory this week: Spotify climbed 4.5% to $127.09, Tencent Music Entertainment rose 4.4% to $7.85, Warner Music Group increased 1.5% to $30.21 and Reservoir Media improved 0.2% to $6.15.
Stock markets were rattled again this week by problems in the banking sector. Following a run at Silicon Valley Bank last week, Signature Bank and First Republic faltered this week. Credit Suisse required the backing of the Swiss National Bank on Wednesday after its biggest shareholder refused to inject money to provide much-needed stability. The Dow Jones Industrial Average fell 0.1% this week after dropping 1.2% on Friday (March 17). The S&P 500 improved 1.4% on the week despite falling 1.1% on Friday.
The Global Music Index declined just 0.4% to 1,188.02 despite most stocks falling into negative territory. Spotify and Warner Music Group are two of the most valuable companies in the index. Other large companies had only small declines: Universal Music Group dropped 1.7% to 21.38 euros, SiriusXM fell 0.8% to $3.64 and Live Nation declined 0.4% to $66.36.
The biggest loser of the week was K-pop company SM Entertainment, which fell 23.5% to 113,000 won after HYBE canceled its bid to take control of the company. Last week, SM Entertainment was the Global Music Index’s biggest gainer, improving 14.4% to 147,800 won, after Kakao announced a tender offer to acquire up to a 35% stake from minority shareholders at 150,000 won per share.
The soft advertising market continued to be a problem for radio companies’ stocks. iHeartMedia dropped 12% to $4.31 and Audacy fell 12.5% to $0.14. Morgan Stanley analysts cut the price target for iHeartMedia to $5 from $8 due to “concerns regarding the long-term growth potential of broadcast radio,” according to a March 16 investor note. Year to date, iHeartMedia is down 29.7%, Cumulus Media is off 35.9% and Audacy has declined 39.1%.
Two musicians who sued The Weeknd for allegedly stealing key elements of his “Call Out My Name” say they’ve reached a settlement with the superstar to end the lawsuit.
The case, filed by Suniel Fox and Henry Strange (real names Neil Fox Parakh and Shyhi Henry Hsaio), claimed that The Weeknd’s 2018 hit copied the lead guitar and vocal hooks from their 2017 song called “Vibeking.”
But in a filing Friday (March 17) in Los Angeles federal court, lawyers for Fox and Strange said they had “reached a settlement in principle of this action.” Terms of the agreement were not disclosed, and the notice said the two camps were “still in the process of formalizing, executing, and consummating” the deal.
Representatives and an attorney for The Weeknd (real name Abel Tesfaye) did not immediately return a request for comment on the purported deal.
“Call Out My Name,” off The Weeknd’s the 2018 EP My Dear Melancholy, debuted at No. 4 on the Hot 100. The track, featuring the “menacing themes fans came accustomed to earlier in his career,” eventually spent 18 weeks on the chart.
Fox and Strange, who claim to have worked previously with Drake, Kanye West, Lady Gaga, filed their copyright infringement lawsuit in September 2021, claiming that The Weeknd and co-writer Frank Dukes had stolen the “atmospheric and melancholic sound” of their earlier song.
“’Vibeking’ and ‘Call Out My Name’ contain quantitatively and qualitatively similar material in their respective lead guitar and vocal hooks, including melodic, harmonic, and rhythmic elements distinctive to ‘Vibeking’,” attorneys for the two producers wrote.
Unlike many copyright accusers, Fox and Strange claimed to have solid evidence that The Weeknd actually listened to their song — an important factor in any copyright lawsuit. They cited alleged emails in which they sent the track to The Weeknd’s playback engineer, who allegedly replied: “I sent [The Weeknd] that track u made a while ago. He listened and liked it. But nothing ever happened.”
In a later email cited by the accusers, the same engineer then told them: “Just gonna tell [The Weeknd] that our production team wrote the track. Cool? Or u have another idea? Just don’t wanna say ‘hey, [Strange] wrote this’ when he doesn’t know u.”
The Weeknd denied all of the allegations, but the litigation never progressed to the point that he had a chance to make in-depth arguments about the merits of the case.
In the last 25 years, the music industry has evolved in huge leaps: the arrival of Napster in 1999, the launch of the iTunes music store in 2003 and YouTube’s debut in 2005 are notable, epoch-defining events. But progress often comes in a series of small steps forward.
One such small step is Spotify’s Loud & Clear, an annual report that provides some transparency into the amounts of royalties the company pays each year. The third Loud & Clear report was released March 8 to coincide with Stream On, Spotify’s live-streamed media event where a parade of executives introduced new product features and discussed the future of the world’s largest music subscription service.
Loud & Clear is helpful because it puts artist royalties in context. Any artist knows how much they earned on a streaming platform. But Loud & Clear will tell an artist how they stack up to others. It’s one thing to make $100,000 in annual royalties but another thing to know how many other artists are also making at least $100,000.
“I think it’s very important for ecosystems to have an understanding of the shape and size of how results are going for different participants so that people can understand where they are, where they stand and how the ecosystem is evolving,” says Charlie Hellman, Spotify vp, global head of music product.
And how well is the ecosystem evolving? Spotify wants to give “a million creators the opportunity” to making a living from their art — which could include both musicians and podcasters. That goal goes back to a statement by CEO Daniel Ek at its 2017 Investor Day. At the time, Spotify counted 22,000 artists as “top-tier” earners (it didn’t specify exactly how much they earned, however). Today, thanks to Loud & Clear, we can see a million creators are probably not making a living from their art. But as Spotify, and streaming in general, has grown in popularity, the number of artists making a sustainable amount — define that as you may — is slowly increasing.
There are 27,000 established artists defined as being in Spotify’s top 50,000 artists three straight years but outside of the top 500. In 2022, they earned an average of $224,000 from Spotify and averaged 1.45 million monthly listeners in 2022. So, they’re not superstars but they’re far from hobbyists. They’re also likely signed to record labels and receive only a fraction of those royalties.
In 2022, there were nearly 3,000 “catalog-heavy” artists that earned more than $100,000 on Spotify. Those artists earned over 80% of their streams from tracks five years old or older. Given that Spotify estimates other streaming sources account for 75% of an artists’ revenue, those artists probably earn around $400,000 a year in streaming royalties.
If streaming is going to provide a living for many musicians, the economics need to work for the independent musicians that make up a large portion of the working class. In 2022, a quarter of the 57,000 artists who earned $10,000 or more in royalties from Spotify in 2022 are self-distributed through the likes of DistroKid, TuneCore and CD Baby. That works out to nearly 15,000 artists, a 200% increase since 2017. That’s a far cry from one million. But as streaming platforms continue to grow, the number of self-distributed artists earning that amount will grow, too.
Increasingly, streaming platforms will facilitate other parts of artists’ careers, such as ticket sales and merchandise sales. Spotify lists some merchandise sales through third-party providers such as Shoptify and Merchbar. And although it hasn’t included merch sales in Loud & Clear, Hellman says, “I can imagine in future years doing more data share about that in particular. We didn’t do that this year, but it is a big strategic focus for us.”
Jonas Wikström was promoted to managing director of the Nordics at Universal Music Publishing Scandinavia, succeeding Martin Ingeström, who will remain with the company as chairman of UMP Nordics until his retirement in June. Reporting to UMPG COO Marc Cimino, Wikström is responsible for UMPG’s creative and business operations in the Nordics; he was most recently executive vp of A&R/creative.
Veronica Sanjines was named general manager at Arista Records. The New York-based executive will report to Arista president/CEO David Massey as she oversees general operations for the label and collaborates with the entire roster. She was most recently vp of marketing at Warner Records.
Arica Ng was named president of Asia Pacific at Warner Chappell Music. She joins the company from Meta, where she served as head of music business development in the Asia Pacific.
FUGA appointed Dorothée Imhoff as chief commercial officer, Liz Northeast as senior vp of EMEA and Sven Zeevalk as global head of operations. Meanwhile, former chief commercial officer David Driessen will move to the new position as chief business officer of FUGA’s parent company, Downtown Music, while Darren Owen has been promoted to COO at FUGA. Imhoff has been with FUGA since 2014 when he joined as a business development consultant. Northeast, who was previously FUGA’s GM, U.K., will be responsible for the company’s commercial strategy and business within the wider U.K. and EMEA markets. Zeevalk, who was previously regional head of operations at FUGA, will be responsible for the company’s global operations, including overseeing the regional heads of APAC, EMEA and Americas as well as all client integrations and the global support team. He’s been with FUGA since 2017 when he joined as content manager. Erica De Marchi will take on the role of regional head of operations following Zeevalk’s promotion.
John Coletta was promoted to senior vp & managing director of international at BMI; he was previously vp of international legal & business affairs. Based in New York, Coletta will report to BMI executive vp of licensing & creative Mike Steinberg while overseeing the company’s international department, working closely with foreign performing rights societies to improve business practices and identify growth opportunities. He will additionally work to modernize BMI’s reciprocal agreements and oversee global copyright initiatives. He succeeds BMI vp of international society relations Karen Buse in the role; Buse helped manage the international team on a temporary basis.
Songwriter-producer Bloodpop founded and launched game development studio Genpop Interactive alongside former DeNA and BANDAI NAMCO executive Aubrey Tennant; he will serve as CEO and game director. The studio’s focus is on “building original AAA games that will drive forward the next-gen of music, fashion and gaming culture,” with its first project described as “an ambitious third person shooter with novel movement and combat mechanics.” The company recently raised $6.5 million in seed funding. In a statement, Bloodpop said: “At a time when low risk tolerance among established studios has resulted in predictable re-releases capitalizing on millennial nostalgia, Gen-Z is eager for new IP that speaks to them, and has a long legacy that defines their generation. Major studios have become complacent, relying on giving the Weekend at Bernie’s treatment to their old IP with their publicly traded necromancy. We aren’t just on a mission to create the next great game, but nurture the next generation of popular culture.”
300 Entertainment promoted three executives: Ryan MacTaggart to senior vp of artist development & lifestyle marketing, Gary “Bolo” Sargeant to vp of urban & rhythm promotion and Michael McArthur to vp of A&R. MacTaggart will continue to focus on immersive marketing and artist development, Sargeant will lead promotion at the urban and rhythm formats and McArthur will sign and develop new talent. All three are based in New York.
Shawna Spears was named vp of brand marketing at Venice Music. Joining from TikTok, where she led artist and manager partnerships in hip-hop and R&B, Spears will build and lead the company’s brand marketing team, develop and execute the marketing roadmap across distribution channels and more. She reports to Venice Music executive vp and GM Fadia Kader and can be reached at shawna@venicemusic.co.
The American Association of Independent Music (A2IM) promoted Evan Plake to director of partnerships and Chirag Patel to associate of membership. Additionally, Greyson Zeng was hired as community manager and Nicolle Gutierrez Ospina was hired as executive assistant and accounts administrator. Plake oversees brand partnerships and creative collaborations across the organization’s membership, Patel will continue connecting and supporting indie labels and Zeng will help grow and curate A2IM’s digital and in-person community. Gutierrez Ospina joins from Gold Business Management. Plake can be reached at evan@a2im.org, Patel can be reached at chirag@a2im.org, Zeng can be reached at greyson@a2im.org and Gutierrez Ospina can be reached at nicolle@a2im.org.
Michelle Teh was named senior vp of global classics & jazz at Universal Music Group. She assumes the role after serving on UMG’s global priorities team.
Jesus Trivino is taking on an expanded role at TIDAL; he will continue to lead the company’s Latin team but will now also serve as head of TIDAL’s industry relations (for general market) team.
Vanessa Kanapin was named director of A&R for Germany, Switzerland and Austria at Ultra International Music Publishing. The Berlin-based executive will report to company founder/CEO Patrick Moxey. She joins Ultra from German independent publisher Budde Music, where she was A&R and song plugging manager. Kanapin can be reached at vanessa.kanapin@ultrapublishing.com.
Former Virgin EMI Records senior director Tony Barnes was announced as the co-founder of Karta, a metaverse studio established in 2021 that provides experiential marketing for musicians, brands and sports teams. He co-founded the company with CEO Erik Londré. “Since its launch, Karta has delivered successful projects across Roblox, Fortnite and Decentraland for the likes of Amazon Music, Fnatic, Unilever and Ronald McDonald House,” reads a press release, which notes the company also recently built a fan hub on Roblox for K-pop group TWICE. Barnes can be reached at tony@karta.game.
Jason Leiss was promoted to business manager at FBMM, where he will continue to lead a team of five and oversee all financial aspects for his clients in both business and personal finance.
More than a year after Cher sued Sonny Bono’s widow Mary Bono over royalties from “I Got You Babe” and other hits, a federal judge has issued an initial ruling refusing to dismiss the case.
Cher claims that her 1978 divorce deal with Sonny gave her a permanent 50% cut from songs written before they split, but that Mary recently stopped paying after she invoked copyright’s termination right. Mary’s attorneys say she was entitled to do so, and that the case should be dismissed.
In a split decision on Tuesday, U.S. District Judge John A. Kronstadt trimmed part of the case, saying any royalties from recording rights regained by Mary should stop going to Cher. But when it comes to the bigger question of the underlying musical compositions, the judge said the divorce agreement might entitle Cher to keep receiving those payments.
“The composition royalties appear to arise solely from the [divorce settlement],” the judge wrote. “On this record, it has not presently been established that [Cher]’s rights to the composition royalties have been terminated.”
In a statement to Billboard following the ruling, Mary’s attorney Daniel Schacht said: “We are happy that the court recognized some of the flaws in Cher’s case at this preliminary stage, and we look forward to resolving the remainder of the case.”
Cher’s attorney declined to comment on the decision.
Sonny and Cher started performing together in 1964 and married in 1967, rising to fame with major hits like “I Got You Babe,” “The Beat Goes On” and “Baby Don’t Go.” But the pair split up in 1974, finalizing their divorce with a settlement agreement in 1978. Under that deal, Sonny retained ownership of their music rights, but Cher was granted a half-share of all royalties.
Bono died in 1998 as the result of skiing accident, leaving Mary in control of those copyrights. And in 2016, she invoked the termination right — a provision of the federal Copyright Act that allows creators or their heirs to win back control of rights they signed away decades prior. Mary sent such notices to Sonny and Cher’s publishers, taking back full control of those copyrights.
Five years later, Cher filed her lawsuit — seeking a ruling the divorce agreement was still in effect and that she was still owed her 50% cut of royalties, regardless of who owns the copyrights now. Mary then fired back a few months later, arguing that the case should be dismissed. Her lawyers said that termination rights were designed to trump all pre-existing agreements, including a divorce agreement.
“Cher’s position would subvert Congress’ intent in enacting the copyright termination provisions: to ensure that authors and authors’ heirs, not grantees or ex-spouses, would benefit from the extended term of copyright,” Bono’s attorneys wrote in December 2021.
In Tuesday’s ruling, Judge Kronstadt denied that motion when it comes to the copyrights for Sonny’s underlying musical compositions, citing language in the divorce agreement that such royalties would be owed “from all sources perpetually.” Based on that language, the judge said the issue “cannot be resolved” until both sides have the chance to offer more evidence and arguments.
The judge did dismiss Cher’s lawsuit to the extent that it deals with royalties from any recording rights that had been terminated by Mary, since Judge Kronstadt said those provisions of the divorce agreement were tied to specific record deals that were no longer in existence. But the extent to which Mary’s termination notices actually went to record companies is unclear; earlier filings in the case only indicated that such notices has gone to publishers.
Read the entire decision here:
During a SXSW panel on Thursday, March 16, Billboard’s Kristin Robinson moderated a conversation between fast-rising singer-songwriter JVKE and SoundExchange president and CEO Michael Huppe.
Titled “The Creator Boom: How the Industry Can Transform,” Robinson clarified from the start that perhaps a more appropriate name would be how the industry already is transforming, and noted the ways in which independent artists who take off on TikTok, like JVKE, are helping write a new rulebook, with companies like SoundExchange (a non-profit collective rights management organization) helping newcomers play the game — and get paid.
Below are the five biggest lessons learned from the conversation.
WEIGH THE OPTION OF STAYING INDEPENDENT
JVKE was indeed offered multi-million dollar offers from major labels to sign, and said “there were so many different options and pressures, and it’s a safe option to take the check up front and recoup in 5-10 years, but in that moment I was just like, ‘I’ve seen how much I can grow on my own and we’re curious to see how much further we can go.’ We’re doing it for the greater good, to encourage artists to see how high the ceiling is.”
His best advice for others looking to follow in his path? “It’s really important that every up and coming artist has a tenacious mindset and commitment to overcoming every obstacle, the heart to keep going. It starts with the artist, you yourself have to really go after it. At first, just focus on being self-sufficient – because we have the ability to be now.”
Huppe agreed, and added , “Lower barriers to entry and being DIY means creators are exploding, we’re having so many more people enter the system. It’s fascinating and very fertile for the industry. The problem with that is what used to be a little more orderly, sometimes it feels like chaos out there. Part of what we do is bring order to the chaos.”
WORK TO ATTAIN VIRAL SUSTAINABILITY
“I’m always trying new things and there’s always this balance of trying to fund what you want to do, but you want to balance that with real impact,” said JVKE of his struggle to both sustain momentum and use his platform wisely. “There’s always so much joy that I find in connecting with my fans and I’m always looking through my DMs, looking at my Discord, all sorts of platforms to connect with fans. Now I have a tour coming up and I think that’s really important for a modern artist, to know there are real people, not just numbers [driving your success].
TAKE ADVANTAGE OF TODAY’S ENVIRONMENT FOR RISING ARTISTS
Huppe said that when he first entered the industry, the biggest threat was pirate cassette operations. “Now,” he said, “the biggest change is what used to be an ownership model. For 80 years the industry was based around ownership, everything was for sale.” He added that there are, of course, new products being monetized today, like virtual merchandise in the metaverse. But even so, he said, “Now people own very little and it’s all about access. Record labels have adapted and the artists, especially the younger up and coming artists, have really grabbed onto it and seized it.”
Which is exactly why JVKE believes it’s “the best time ever to be [emerging] because you can make music, put it out, get equipment [shipped to] your bedroom. All of those gates to entry that used to be there are pretty much gone, and I think that’s why we see so many people releasing songs now. And I think in the next few years we’re going to see a lot more up and coming artists with a similar story to me.”
BALANCE CONTENT WITH MUSIC
For an artist like JVKE who took off thanks to TikTok, he spoke to the digital dance of balancing out creator content with posts that directly tease or promote his music. “It was more of a grind when I started out,” he said. “Ultimately, it’s all a mission to connect with people personally. As much as we talk about the algorithm, it’s also just reaching people where they are. Every artist likes doing different things, for me I love writing songs and the raw element of throwing up my phone and playing it and seeing if people like it. Part of growing, for me, means expanding my team so I can stick to what I’m best at. But at first an artist has to do it all themselves.”
MIND YOUR METADATA
Metadata, simply explained by Huppe, “Is data about data.” He said,” In today’s streaming world where 85% of the U.S. recorded music market is streaming, it’s that metadata that determines where the money goes.” He said that over 36 billion performances are reported into SoundExchange each month, with the company paying out every month, totalling over $1 billion annually. “The payment needs to flow properly so people can make a living,” he said. “Metadata is not the sexy part of this, it’s not why anyone does this, but your life will be substantially different if you do it well.”
MELBOURNE, Australia — Live Nation Australia has secured a multi-year lease to operate Festival Hall, the iconic Melbourne live music and sports venue.
Through the arrangement, confirmed late Friday (March 17), LN is expected to invest in several upgrades on the versatile space, which was built during WW1 and currently boasts a capacity of 5,405.
Festival Hall slots into the concerts giant’s existing portfolio of venues, which includes The Palais Theatre in Melbourne, the Fortitude Music Hall in Brisbane, the Hindley Street Music Hall in Adelaide, and Anita’s Theatre, a historic venue in Thirroul, a northern seaside suburb of Wollongong, which last year became LN’s first push into regional Australia.
“We are extremely excited to be delivering the next chapter of Festival Hall’s life,” comments Roger Field, president LN APAC, “not only because it will help support the growing demand of shows that are coming down the pipeline across the industry, but also to put the iconic venue firmly back on the global live entertainment map.”
LN’s vision for Festival Hall, Field continues, is to ensure that the venue “remains a cornerstone of the State’s live music scene for artists, industry, and fans alike.”
The launch of this new project will support 200 full-time equivalent jobs on event days, sources say.
Festival Hall has a storied history. The multi-purpose space at 300 Dudley Street, in West Melbourne, was originally built back in 1915 by John Wren, chairman of Stadiums Pty Ltd. Fire ripped through the room in 1955, but a rebuild was completed in time for the 1956 Olympics Games, where hosted gymnastics and wrestling.
Over time, the likes of the Beatles, Bill Haley, Johnny Cash, Frank Sinatra, Liberace, Shirley Bassey, Foo Fighters, Ed Sheeran and Lorde have played to packed houses at Festival Hall.
In October 2020, the venue was purchased by Hillsong Church with the intention to create a community hub to support live music, entertainment, and other events. At the time Hillsong stated, “it’s a way to give back to Melbourne and continue the venue’s legacy.”
It’s understood the church will continue to use the venue for weekend services and other events.
Iconoclast, an artist and brand development company, has purchased the catalog of Lady Gaga co-writer and producer Nick Monson. His catalog includes hits like “Human” by Rag n Bone Man, which is currently peaking on TikTok, as well as songs like “Applause” by Gaga, “Good For You” and “Nobody” by Selena Gomez, “Home” by Nick Jonas, “Invitation” and “Just Like Me” by Britney Spears.
Netherlands-based music fund Pythagoras Music Fund (PMF) has purchased the worldwide publishing rights to Barton Music and its catalogs, which includes American standards like the Frank Sinatra-recorded “Come Fly With Me,” “Love & Marriage” and more. The acquired catalogs also include compositions recorded by Bing Crosby, Nat King Cole, Doris Day, Billie Holiday, Louis Armstrong, Count Basie, Etta James, Sarah Vaughan, Plácido Domingo, Linda Ronstadt, Michael Bublé, Westlife and Robbie Williams.
Hannah Babbitt has launched BABZ Nashville, a second home for her boutique management company BABZ which represents some of the industry’s top songwriters and producers, including Alex Hope, Jesse Fink, Nick Monson and more.
Sentric Music Group has partnered with Rough Trade Publishing to handle the independent publisher’s global administration. The deal covers all of Rough Trade’s signees, including Alvvays, Chelsea Wolfe, The Tallest Man On Earth, Built To Spill, Black Lips and more.
Platinum-selling producer-songwriter Krupa has signed with independent publishing house Position Music. News of the worldwide deal arrives on the heels of Krupa receiving an RIAA Double Platinum certification for co-writing the song “Blood // Water” by Grandson. He’s also worked with Jessie Reyez, Dillon Francis, Kesha, Travis Barker and more.
EVGLE Publishing has announced the signing of artist, producer, songwriter and violinist GrandMaster Vic, who is best known for his work on Kendrick Lamar‘s Mr. Morale & The Big Steppers. The young publishing joint venture — founded by Blxst, Victor Burnett and Karl Fowlkes — was created in conjunction with Warner Chappell Music and also boasts Jay Millian, J Pilot and Blxst on its roster.
Various Artists Management and Stellar Songs has launched a new joint venture called Alternative Songs. The new company will be administered and funded by Downtown Music Services.
Concord Music Publishing ANZ (formerly Native Tongue) has announced the signing of COTERIE, a five-piece band based in West Australia. The new deal encompasses the band’s back catalog and future works.
Ellen Reid has signed a publishing deal with Wise Music Group and Chester Music Limited. Reid’s work spans opera, sound design, film scoring and ensemble choral writing. In 2019, she won the Pulitzer Prize in music for her opera p r i s m.
Wise Music Group and Chester Music Limited have signed Anoushka Shankar to an exclusive publishing agreement. A film composer, activist, and seven-time Grammy nominee, Shankar said in a statement that it’s a “pleasure” to work with the companies on her future works. “I look forward to expanding my compositional horizons and working with them to bring my creative voice and the sound of my instrument- the sitar- into new spaces.”
Following Bandcamp’s sale to Epic Games last year, employees at the popular independent music streaming and sales platform are making efforts to unionize.
On Thursday (March 16), Bandcamp workers filed with the National Labor Relations Board (NLRB) to authorize a union election, marking the latest push by music company employees to unionize. If approved, the workers will hold an election to officially form the union. The effort follows similar initiatives from employees at indie label Secretly Group and YouTube Music, as well as workers at broader tech and media companies like Amazon, Disney and Tesla.
Bandcamp United is a group of “designers, journalists, support staff, engineers and more,” according to a statement, that is “committed to protecting the benefits we have, fixing historical disparities within and across departments, and promoting equitable conditions and economic stability for all of our colleagues.”
“If you think about Bandcamp, it’s about paying artists fairly for the music that we love so much,” says Eli Rider, a Philadelphia-based data analyst for the music streaming and sales platform, and one of the union organizers, in a phone interview. “So, the workers that build the site and support it also would like to have fair and transparent wages.”
Rider wouldn’t elaborate on specific issues around wages or workplace conditions that prompted the employees’ move to unionize. She also wouldn’t specify how many workers were involved in the union effort, but said, “We have a broad base of support,” including from U.S. and international Bandcamp employees.
Discussions around unionizing began during online meetings last July, according to Rider. “Folks just started talking more about what they were experiencing at work,” she says. “It was mostly talk, but then someone had the idea of getting organized.” At that point, they reached out to existing unions, before deciding to affiliate with the Office and Professional Employees International Union (OPEIU) Local 1010.
Bandcamp was sold to Epic Games, the company that owns Fortnite, for an undisclosed amount in March 2022. After the sale, Rider says there was “a shift in our workplace conditions” that he describes as “unexpected.”
In a statement Thursday, Bandcamp’s CEO Ethan Diamond responded: “We are aware that some Bandcamp employees are seeking to organize a union and [we] are reviewing the petition to understand their concerns.”
Formed in 2007, Bandcamp was a crucial outlet for indie musicians after touring revenue disappeared during the COVID-19 quarantine period. Artists relied on the Bandcamp Fridays promotion to sell merch and music; on those days, they received 93% of the revenue compared to 82% on a typical day. On the first Bandcamp Friday after concerts shut down in 2020, fans bought 800,000 items from artists on Bandcamp totaling $4.3 million.
“It is important to us that Bandcamp’s artist-first mission continues with clarity and accountability, with all resources afforded to us distributed in the fairest and most transparent way possible,” the workers said on their website. “We feel a responsibility to support those who are most marginalized, to use our platform with integrity, and to provide reasonable protections and accommodations for those at-risk.”