merlin
On Sept. 27, indie labels and distributors around the world received a letter from Merlin, the coalition that negotiates their licenses with TikTok and other digital services. “With no warning, TikTok walked away before negotiations even began… they do not want to renew our deal, which expires on October 31st,” Merlin’s letter said.
Instead, Merlin explained, TikTok wanted to forge deals with most of the labels and distributors the coalition represented directly, a move that Merlin read as an attempt to “fragment” its membership and “minimize” payments for indie music. (TikTok says it walked away from negotiations with Merlin due to concerns about fraudulent content from certain Merlin members making its way onto the social media app. The company also says it wanted to form closer relationships with Merlin members.)
TikTok and Merlin both declined to comment for this story.
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Since then, 12 different labels and distributors among the thousands represented by Merlin have spoken to Billboard about what they would do when their licenses expire after Halloween. Will the indies walk away, attempting to take a stand against TikTok in solidarity with Merlin? Will they renew their licenses individually? And if they do, how will those deals compare to what Merlin negotiated previously? (Nearly all of the executives who spoke to Billboard for this story requested anonymity, given most of their respective companies have non-disclosure agreements with TikTok.)
At first, one distribution executive said their company was not yet negotiating its own license with TikTok — because this exec said they were still hopeful that Merlin and TikTok might come back to the negotiating table. “We want to make sure there is no possibility with Merlin first,” the executive said. John Carnell, CEO of Phoenix Music International (PMI), had a similar view. In an email to Merlin, obtained by Billboard, Carnell said that while TikTok has approached Phoenix individually, “There is no way we would undermine Merlin’s position.”
Unlike Universal Music Group (UMG), which pulled its entire label and publishing catalog from TikTok earlier this year when its license with the platform expired amid renewal negotiations, antitrust laws prevent Merlin from forcing its members to move off of TikTok. It can’t even ask its members to collectively strike against TikTok, leaving the coalition with little choice but to accept TikTok’s decision.
Carnell ultimately decided PMI would “not be entering a deal with TikTok,” according to his email, but the other executive holdout took a different tack. This week, in a second interview, the executive said their company had decided to sign a direct deal with TikTok after all. “If I still thought that not signing would help Merlin get a new deal, or could help the independent music community, I would try to not sign,” the distribution executive said. “But even when Universal didn’t sign [a licensing deal], [TikTok] didn’t care… We have no choice [but to sign a new licensing agreement] because our artists want to be on TikTok — perhaps too much — but for them, it is very important.”
This is a commonly held sentiment among Merlin members, many of whom say their artists want to be on TikTok, and they need to oblige — or risk losing talent to competitors. In the last week, both UnitedMasters and Ditto announced that they had signed new agreements with TikTok. Steve Stoute, founder and CEO of UnitedMasters, told Billboard, “I believe we struck a fair deal with TikTok for UnitedMasters and our artists, who understand how valuable promotion can be for their reach… Merlin has done a great job representing independent labels across the world, and I am a proud Merlin member.” TikTok says that now the vast majority of Merlin members have signed direct deals with the company.
Multiple members say TikTok offered them new agreements around the time that Billboard broke the news in late September that Merlin’s negotiations with TikTok had collapsed. But not every member received an offer — which tracks, considering TikTok’s claim that fraudulent activity allegedly stemmed from specific members of Merlin. TikTok’s music licenses typically last two years, and most of the new deals offered this October will expire in late 2026.
Three sources say that the compensation terms provided under the new, individual offers from TikTok are not significantly better or worse than what Merlin previously negotiated, but that there have been some key changes. First, TikTok is now paying out music licensors based on views that videos featuring a song receives, rather than “creates” (how many videos are created with a given song in the background).
Specifically, TikTok will calculate market share based on views, and then the payment will be divided up from there. This does not mean TikTok now pays a certain royalty per view. “It makes sense,” says one indie executive. “I don’t know why they didn’t always pay based on views.” Another exec added, “It won’t lead to a major difference in how much we are paid. We are still doing the math, but it seems like there will be about a 4% difference in what we take in from TikTok, give or take.”
“TikTok was always paying us badly, so none of this is a financial problem in the short term,” says the indie label executive who initially wanted to hold out. “They are one of the biggest social media companies in the world, and the smallest revenue earner for a music company.” Another indie label source had a similar feeling. “It’s a promotional avenue more than anything else,” this person said. “I think there’s value in TikTok deals, but it’s, like, 1% of every company’s books. It’s not a big part of anyone’s business. I truly think the royalty conversation wasn’t the deal breaker, but there were other material terms that we wanted.”
One of those key term changes had to do with “ad credits,” which can also be referenced as “marketing credits.” Three sources said that the deals TikTok sent them did not include these credits, which amount to money offered by TikTok that a label can put toward advertisements and marketing on the app. One source says the previous, Merlin-negotiated agreement guaranteed a budget in the millions for ads and marketing on TikTok, with the sum of credits divided among individual members based on their size. Now, at least some labels, particularly the ones with less bargaining power, might not get them at all.
The three sources also said that while the previous contract included a “most favored nations” (MFN) clause, which gives licensors the right to the same terms and benefits as other licensors who enter similar contracts with TikTok, the new agreements did not. One also said their individual agreement included a new clause requiring “know your customer” (KYC) checks — which would require verification of artists’ identities before allowing them to upload songs — something TikTok says is designed to curb bad actors and fraudsters from getting their music on to TikTok. It also serves to place more responsibility on the labels and distributors for the content they deliver. The executive also claimed, however, that the provision’s language is vague and seems difficult to enforce.
Four sources suggested UMG’s previous licensing dispute with TikTok was the catalyst for TikTok to walk away from Merlin. “[UMG] definitely emboldened TikTok,” says one source close to the situation. “They lost that war, and they created a really bad situation for Merlin. Sony and Warner are up next year, too. If I was them, I’d be terrified right now.”
Still, another indie label executive, whose releases run through a Merlin distributor, holds a different view — that, maybe, TikTok is not so important now after all. “We’re sticking with Merlin,” the executive says. “I don’t know what’s going to happen. If this happened a year, two years ago, I’d be freaking out. But these days, TikTok isn’t moving the needle for our artists like it used to.”
While his artists used to “easily get tens of thousands of views on most TikToks without any spend,” he says the social media platform is too “saturated” now, and he’s watched as his artists’ impressions have tanked. He’s not alone. In a recent Billboard story about the modern creator campaign on TikTok, multiple digital marketing sources expressed that it is harder than ever to get a song off the ground on the service. But, as one source put it, “It’s still the best thing we have.”
“But what does not having a deal even mean at this point?” another indie label executive asked. “When these things come down, it just encourages the bootleg use of songs on these platforms. The music will be up, just not properly attributed.” During UMG’s boycott of TikTok earlier this year, it was common to still find Universal songs on the platform, just as bootlegged remixes, not as official audio. Sometimes, to skirt the effects of the boycott, top UMG stars like Olivia Rodrigo would even use these bootlegs to promote their latest releases.
TikTok originally told Merlin members that the deadline to finalize their individual agreements with the service was Oct. 25, but one label executive said they have heard that TikTok has offered extensions to certain members. Three sources believe that smaller Merlin members won’t have room to negotiate past the original boilerplate offer, but the larger players will find more wiggle room. Those who received extensions or finalized deals will not have their music removed from the app today, but TikTok says it has already started removing songs from those members that chose not to strike a deal. The company assures that the vast majority of Merlin members have already cemented their deals.
“I wish it had worked out differently between Merlin and Tiktok,” one Merlin member says. “But if our partnership needs to be direct with ByteDance in order to serve our clients, then you know, that’s the avenue that we have to take. Only time will tell how this all plays out.”
Additional Reporting by Elias Leight
UnitedMasters has reached a new multi-year licensing agreement with TikTok. News of the deal comes just weeks after Billboard broke the news that TikTok “walked away” from talks to renew its license with Merlin, a collective that negotiates digital licensing deals for more than 30,000 indie labels and distributors.
Instead, TikTok noted that it wished to forge deals with most of the labels and distributors individually and cited previous issues with Merlin’s members delivering “fraudulent content” as the reason why they were not renewing with Merlin. Merlin read this move as TikTok “fragmenting” its membership to try to “minimize” licensing payments for indie music.
UnitedMasters — which has worked with more than 2 million independent artists, including FloyyMenor, Brent Faiyaz, BigXthaPlug, Tobe Nwigwe and Anycia — will include its full, expansive catalog in the new deal. The agreement will also provide additional commercial opportunities for UnitedMasters artists via TikTok’s Commercial Music Library.
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A press release states that TikTok and UnitedMasters “share the vision and understanding that commercial use of music on platforms offers significant revenue and promotional opportunities for artists” — and that having access to TikTok’s Commercial Music Library will give UnitedMasters talent access to new revenue and promotional streams for their talent.
Beyond just TikTok, licensing music for commercial purposes is a crucial focus for UnitedMasters. Previously, it has landed its artists deals with major brands like Bose, Walmart, ESPN, Coca-Cola, IKEA, Dove and more.
“Our partnership with TikTok provides UnitedMasters artists unparalleled access to a vast global audience, while TikTok creators and users gain early exposure to some of the most impactful independent music today,” said Steve Stoute, founder/CEO of UnitedMasters, in a statement. “TikTok recognizes the power of music and creativity, which is why we are excited to formalize this partnership.”
“TikTok has proven that it’s a launchpad for artists, turning viral moments into chart-topping hits,” Stoute added. “With this partnership, I look forward to seeing our artists thrive on TikTok and extend their reach and influence across the music industry. We’re building a future where they can own their success and grow their careers on their own terms.”
“We want to make the world’s best music available to our global community of over a billion music fans,” added Ole Obermann, head of music business development at TikTok. “That’s why we are so excited to be entering into a direct deal with a prominent independent label like UnitedMasters, with its deep, diverse roster of independent artists. Together, we’re ready to amplify these voices and bring their music to a global stage, unlocking new opportunities for discovery.”
Merlin’s license with TikTok is set to expire on Oct. 31. Labels or distributors that have not reached an individual agreement with TikTok by then will become unlicensed and removed from the platform.
TikTok’s decision to boycott Merlin and pursue direct deals with Merlin’s member labels is a troubling move that undermines the rights of labels to choose how their music is licensed. While TikTok frames this shift as a way to tackle streaming fraud, it’s clear that the real motive is to weaken the bargaining power of independent labels and use that leverage to suppress rates.
Merlin has built strong partnerships over the last 16 years with more than 40 digital services worldwide. These partners recognize the value Merlin brings—efficiency, scale, and a deep understanding of the independent music community. TikTok’s move to sideline Merlin is not about protecting against fraud but about undermining the ability of independent labels to achieve competitive terms, not just now but for the long term. The ultimate consequence of its refusal to negotiate with Merlin for the music that earns TikTok billions of dollars, will be to damage artists’ ability to make a living from their art.
This tactic is not new. It echoes the historical struggles of the music industry with partners such as terrestrial radio and MTV, both of which profited massively from the use of recorded music while refusing to pay artists under the pretext of “promotional value” or “exposure” — ostensibly for the sale of an artist’s CDs or LPs. In this largely digital economy the stream is the sale – and it has been widely reported that TikTok pays rights holders far less than other services for equivalent uses of music.
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Richard James Burgess, President and CEO of A2IM
Independent labels choose Merlin to license their rights, because of its expertise, experience and track record in striking these kinds of deals. This ensures compensation at levels enabling them to compete with the majors and protects independents from being unfairly exploited. TikTok’s decision to bypass Merlin and demand direct deals is an assault on the freedom of small and medium sized enterprises to determine their own business strategies. The fact that TikTok is giving Merlin members a matter of days to accept TikTok’s terms or lose access to its massive platform, is an unfair exercise of its market power.
This apparent divide-and-conquer strategy is, we believe, designed to keep payouts for indie artists low by exploiting their perceived reliance on TikTok’s platform. It’s not about addressing fraud or improving the digital music ecosystem. In fact, by exponentially multiplying the number of license deals TikTok will need to strike and by losing Merlin as a partner in the fight against fraudulent material, more fraud is likely to ensue. Merlin simplifies licensing, making it easier for platforms to access diverse, independent music. Fragmenting this system hurts artists and fans and will limit the range of music available on TikTok.
At its core, this issue is about respecting the rights of independent labels to determine how their music is licensed. TikTok’s behavior doesn’t reflect a problem with Merlin; it reflects TikTok’s lack of respect for the value of music. Every other major platform has struck responsible deals with Merlin that balance the needs of the service with optimized compensation for artists. TikTok’s refusal to do so sets a dangerous precedent for recording artists and their labels.
TikTok must stop undermining and disrespecting the independent music community. It can do this by working with the labels’ rights management agency of choice to establish a fair, transparent licensing system that benefits all stakeholders in the music ecosystem. Independent labels have the right to choose their representatives to negotiate deals that truly reflect the value of their artists’ creative contributions. Anything less is a disservice to the artists and the fans and undermines the very fabric of music culture.
Dr. Richard James Burgess is an acclaimed musician, singer, songwriter, record producer, composer, author, manager, marketer and inventor, who presently serves as the president and CEO of the American Association of Independent Music (A2IM).
Over the last decade or two, there have been dozens of difficult licensing negotiations between rightsholders and online music platforms — some of which played out in public or even resulted in content being unavailable online.
Just this week, around the time YouTube temporarily took down music by SESAC songwriters, the digital rights licensing collective Merlin informed its member labels that TikTok “walked away” from talks to renew its license agreement and planned to deal with labels individually. This letter Merlin sent to its members says TikTok’s goal is “fragmenting the Merlin membership, in order, we believe, to minimize their pay out.”
In one way, this is an old story. Most online platforms have so much market share that it’s hard for rightsholders to negotiate good deals: There’s just one TikTok, just like there’s just one Facebook and just one YouTube. But there are thousands of labels. Since smaller labels need giant platforms more than those platforms need labels, they need to bulk up, in order to balance market share against market share. For indie labels, that means either making a distribution deal with a major or joining Merlin, which negotiates on behalf of its members. (This same idea has fueled a merger mania throughout the media business, as movie studios and book publishers merge to better deal with Netflix or Amazon.) Sometimes, though, platforms push back.
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In another way, this is an old story with a new twist. TikTok has suggested that part of the reason it wants to change its deal structure is that it’s concerned about fraud, specifically the alleged delivery of recordings and remixes by labels that do not own the rights to them or assert ownership incorrectly — a problem that sources say comes disproportionately from a few companies. This seems like a reasonable concern, and it’s one that’s widely shared, although the problem is hardly unique to Merlin. Plus, it should be possible to exclude a small number of bad actors from a new Merlin deal, and it’s hard to imagine that dealing with indies directly wouldn’t give TikTok a financial advantage.
In yet another way, this is a whole new kind of negotiation, the likes of which the music business hasn’t seen since the early days of YouTube. These days, most online platforms need to play nice, or at least sort of nice, since negotiations that turn ugly in public tend to be distracting from other public policy priorities, and because today’s negotiating counterparty could become tomorrow’s business partner.
TikTok seems less concerned with these issues: It went without a Universal Music deal for about three months early this year and then didn’t renew its NMPA-blessed deal with independent publishers. Partly, that could be because it’s already facing an existential policy issue in the form of a ban in the U.S., or at least a forced sale to prevent that. It also seems to think that music doesn’t drive as much value — which could be why it’s shutting down its nascent TikTok Music subscription service. Whether or not the company is right, its attitude toward rightsholders can be very different.
TikTok is also developing a reputation, fairly or not, for being less sentimental about the culture business than other platforms. For years, most online platforms have made the case that rightsholders are better off with the deals they’re offering, because of the exposure they offer — think YouTube or Spotify. TikTok clearly has significant promotional value, but it tends to act more aggressively. Or maybe its other reputational issues are so significant that pissing off music rightsholders just isn’t as big a deal.
That could change — TikTok’s Merlin strategy has indie labels rattled because it could splinter the rights group. If the platform’s gambit works, other companies could follow and Merlin could end up in a weaker position. The bigger indies would be fine. Others might look for leverage from the major labels’ indie distribution companies, like The Orchard (Sony Music) and Virgin (UMG), which would further undermine Merlin. This would damage the whole indie ecosystem — especially the small labels run by creative founders who don’t have the infrastructure to negotiate as smartly as Merlin.
There’s also a chance that this won’t be as easy as TikTok thinks. Going around Merlin could save it money, but if it’s so simple you wonder why no other platform has tried it. One reason is that Merlin deals cover a wide range of labels and content, some of which could be hard to get otherwise. Another is that it’s easier to do one negotiation than hundreds. Assuming, of course, that TikTok is serious about negotiating, as opposed to simply sending a letter with deal terms that it expects rigthsholders to accept.
Independent music trade bodies have hit out at TikTok for boycotting collective license talks with Merlin by seeking to strike direct deals with its indie label members, accusing the platform of trying to divide the sector and “drive down the value” of music.
Licensing talks between TikTok and Merlin, which negotiates digital licenses for a coalition of more than 30,000 independent labels and music companies, representing 15% of the global recorded music market, abruptly ended late last month when “TikTok walked away before negotiations even began,” according to a letter Merlin sent to its members on Friday (Sept. 27).
The London-headquartered indie rights organization, which counts the labels 4AD, Domino, Matador, Subpop, Partisan, Warp, XL Recordings and Secretly Group among its members, said that TikTok told them that it would not be renewing its license deal, due to expire Oct. 31, and was instead looking to licence its members directly.
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A spokesperson for TikTok confirmed Monday (Oct. 1) that it was “committed to entering into direct deals with Merlin members in order to keep their music on TikTok.”
One of the reasons TikTok has given for not renegotiating its deal with Merlin is its concerns over alleged streaming fraud, which a TikTok spokesperson told Billboard specifically relates to a handful of Merlin members delivering songs or remixes of songs that they don’t own the rights to.
Addressing those allegations, Merlin told members it has worked “productively and collaboratively with TikTok” on streaming manipulation and fraudulent content “and until now, no concerns have been raised.”
Executives and trade bodies from across the independent music sector have also called into question TikTok’s reasoning for not renewing its deal with Merlin, while also slamming its attempts to boycott collective licensing with the company.
Brussels-based independent labels trade body IMPALA, which represents over 6,000 indie music companies in Europe and has previously criticized TikTok for the low returns it pays to rightsholders, said it strongly opposed TikTok’s attempts to boycott Merlin.
“Given the timing, it seems clear that TikTok’s real intention is to fragment the sector and drive down the value of independent music, rather than deal with streaming manipulation,” said Mark Kitcatt, chair of IMPALA’s streaming group, in a statement on Thursday (Oct. 3).
“Record labels have entrusted their rights to Merlin to negotiate on their behalf and by TikTok going directly to rights holders they are disrespecting the licensing agreements that are in place,” added Dan Waite, chair of IMPALA’s digital committee. “Like a supermarket chain negotiating directly with individual farmers for the price of their milk, it’s difficult to see how this can work out in the farmers’ favour.”
Referencing TikTok’s cited concerns around streaming manipulation, IMPALA’s executive chair Helen Smith questioned how seeking direct deals with Merlin members would better address the issue than renewing a collective license. “This feels like a smoke screen for boycotting Merlin given the history and the timing and the fact the whole industry is working hard on this important issue,” said Smith in a statement.
“TikTok’s claim that leaving Merlin would alleviate fraud is technically and effectively incorrect,” Gee Davy, interim CEO of the U.K.-based Association of Independent Music (AIM), tells Billboard. She claims that TikTok can already choose which music catalogs it uploads through the Merlin deal, and stresses it is by the industry working together “and TikTok re-engaging with Merlin that the industry will fight online fraud.”
“The resource required to close deals and manage a large number of independent music relationships, take down unlicensed music, and handle fraud separately across a number of participants would surely outweigh any gains,” says Davy. “And that’s aside from any reputational issues that arise from TikTok claiming to respect independent music while in practice showing that they don’t respect the licensing choices of independent music businesses.
“Many smaller labels and artists will be locked out of any direct licensing, which will sour relations as well as set back many years of work by Merlin, AIM and others in improving equitable access to the market and diversity of music available to consumers. We urge TikTok to speak to us and consider the bigger picture and; most of all, to recognise the inadvertent damage their actions have caused and return to discussions with Merlin.”
Those sentiments were echoed by Dr. Richard Burgess, president of the American Association of Independent Music (A2IM), who earlier this week told Billboard: “TikTok’s refusal to negotiate a deal with Merlin isn’t just a setback — it’s a threat to the whole music ecosystem.” Burgess said the dispute “isn’t just about Merlin; it’s about properly recognizing the value of artists and their music.”
The Brussels-based International Music Publishers Forum (IMPF) has also urged TikTok to reengage and strike a licensing agreement with Merlin, calling its attempts to “circumnavigate” collective licensing “a thinly veiled attempt to divide independent labels and drive down the price of music.”
“Merlin’s members have entrusted their rights to the organisation in order to uphold transparency, efficiency and fair remuneration. That must be respected,” said IMPF in a statement.
Merlin is the third music organization this year, after Universal Music Group (UMG) and the National Music Publishers’ Association (NMPA), to express challenges in renewing music licenses with TikTok. In February, UMG’s failure to reach a deal with TikTok led to the removal of its entire catalog of hits from TikTok for about three months.
In April, after publicly supporting UMG’s position against TikTok, the NMPA allowed its TikTok license, which was used by a number of indie publishers, to lapse as well. It has not been renewed. A spokesperson for TikTok says that many of the indie publishers have now established their own direct licenses with the short-form app.
Unless a swift resolution can be found between TikTok and Merlin — or Merlin’s label members choose to negotiate individual license deals with the ByteDance-owned platform — hit songs from artists like Nirvana, Phoebe Bridgers, Diplo, The Lumineers, Mac Demarco, Madlib, Mitski, Thundercat, Wet Leg and Coolio could start to be removed from TikTok on Nov. 1.
Last year, TikTok attempted to answer a seemingly simple question: What would TikTok be without music?
In February 2023, the company ran tests in Australia limiting the amount of licensed music some users encountered on the app. TikTok never revealed the results of those tests to the public, but some Australians who had their music libraries limited took to Twitter (now X) to complain. “wtf is up with tiktok removing like half the sounds??? like i swear ive seen SO many tiktoks where the sound has been removed,” tweeted one user.
The evidence is only anecdotal, but these tweets suggest that having limited access to licensed music did have at least some impact on the user experience in Australia.
Since its inception, the value of music has been an existential question for TikTok. This comes as no surprise; the company started out as the lipsyncing app Musical.ly, and in its current form, it is one of the most effective music discovery tools in the world. But since the modern-day TikTok launched as a general social media app — one that still features lots of music — the company has struggled to figure out how big a role music should play in their business — and how much they should have to pay for it.
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In the last year or so, TikTok has fought a prolonged battle against Universal Music Group over music licensing rates, AI, and safety concerns, leading to UMG’s three-month boycott of the platform; downsized parts of its music team; shut down the development of TikTok Music, its nascent music streaming app; and, last week, “walked away” from Merlin’s attempts to negotiate a renewed collective license for the 30,000 indie labels and distributors it represents. Instead, citing issues around fraudulent content, TikTok is only pursuing direct deals with Merlin’s member labels.
The UMG feud in particular seemed to represent a major turning point in TikTok’s perception of the value of music. The stalemate, which lasted from February to May, essentially took the small experiments done in Australia and brought them to a global stage with the world’s single largest catalog. Everyone from stars like Taylor Swift, Billie Eilish, Drake and the Weeknd, down to small artists signed to labels using UMG distributor Virgin, were removed from the platform overnight. If any event would have proved that music had negotiating power over TikTok, it would’ve been this one — but the impact was much more limited than the music biz would have hoped.
From talking to TikTok users during the UMG feud, many felt that the app experience was largely the same. Rarely, if ever, would anyone find a video on their “For You Page” with muted UMG audio. Whatever unknowable algorithm controls that feed simply adjusted to serve videos with still-available songs instead, seamlessly. The only time a user would notice the difference is if they were making a video themselves and realized they couldn’t find songs from a UMG-affiliated artist.
Plus, UMG artists big and small proved that they still wanted to make content for the app, even though doing so diminished the pressure UMG could put on TikTok to improve their compensation. Some UMG artists played their songs live instead of using the UMG-owned recording. Others would use unauthorized remixes (including sped up, slowed down and mashed up versions) of their UMG-controlled songs. Some ended up striking direct deals with the platform or finding contractual workarounds to skirt the ban, and the final nail in the coffin seemingly came when Taylor Swift’s catalog suddenly came back to TikTok on April 11 —– complete with a special campaign around her then-upcoming album, The Tortured Poets Department.
When the two companies finally reached a deal three weeks later, just before UMG’s next earnings call, UMG chairman/CEO Lucian Grainge spoke triumphantly about the new TikTok deal. “This new chapter in our relationship with TikTok focuses on the value of music, the primacy of human artistry and the welfare of the creative community,” Grainge said. It’s quite possible that, with the new deal, UMG extracted many of the concessions that it wanted from TikTok.
Still, overall, the effects of the three-month standoff were pretty limited: many TikTok users didn’t notice a change, while UMG’s stream count went unaffected. The key takeaway is that artists, desperate for promotion, would still make musical content for the app for free, even if it infringed on their own unlicensed copyrights. It became a race to the bottom, like so many other things in music.
So it comes as little surprise that when Merlin’s TikTok license came up for renegotiation, TikTok played hardball —– or rather, TikTok just refused to play ball with Merlin altogether.
Instead, TikTok wants to license its 30,000 indie record label members individually — a move which Merlin sees as an attempt to “fractionalize” members to “minimize” licensing costs, according to a letter Merlin sent to its labels last week.
The whole idea of Merlin — which says it represents 15% of music repertoire globally — is for these small, individual labels to be able to band together and negotiate deal terms with digital partners that are at least in the same neighborhood as their bigger major label brethren. Antitrust laws prevent Merlin from telling its members what to do, meaning TikTok is technically free to negotiate individually and bypass their coalition. Even if Merlin could pull such a move to band together its membership against TikTok, it’s hard to imagine a boycott of indie music going any better than UMG’s.
Optically, it’s one thing for TikTok to stand up to the biggest music company in the world and argue that UMG had put their own greed above the interests of their artists and songwriters” in an attempt to lower the rates it had to pay the label. It’s another entirely for the app, which has over a billion users, to lowball the little guys.
Overshadowing all of this, of course, is the fact that TikTok’s corporate parent Bytedance is in a court battle with the U.S. government that, if it loses, could mean it would be forced to sell its U.S. business. In preparation, TikTok is likely cutting costs wherever it can. Given how tough it is for the music industry to walk away from TikTok, it’s unfortunately one of the easiest places to start.
So what is the value of music to TikTok? It’s been a moving target throughout the company’s history. In light of recent events, however, I’ll let you be the judge.
This story was published as part of Billboard’s new music technology newsletter ‘Machine Learnings.’ Sign up for ‘Machine Learnings,’ and Billboard’s other newsletters, here.
Merlin, which negotiates digital licenses for a coalition of more than 30,000 independent labels around the world, told its members in a letter on Friday (Sept. 27) that TikTok “walked away” from talks to renew their TikTok license “before negotiations even began.”
“[TikTok] informed us that they do not want to renew our deal,” the letter, obtained by Billboard, states. “They informed us that… they intend to license some of our members directly.” The current Merlin-TikTok license is set to expire on Oct. 31.
“Their approach [to pursue direct deals with Merlin members] suggests that [TikTok] believe[s] their objectives can be better served by fragmenting the Merlin membership, in order, we believe, to minimize their pay out,” states the letter. “As you know, Merlin was founded to stand up for and champion its members. We will not support an approach that devalues our community.”
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A TikTok spokesperson says that “TikTok would like to offer all of the world’s music to our users. We are committed to working with the independent sector as well as the major labels and publishers. We know that our community of over a billion music fans value the diversity and richness that independent music brings to our platform. We are committed to entering into direct deals with Merlin members in order to keep their music on TikTok.”
Founded in 2008, Merlin represents 15% of the global recorded music market, and it uses that collective market power to negotiate with digital partners on behalf of its members on a similar footing as the bigger major labels. The end of its license with TikTok would mean that top songs from artists like Coolio, Diplo, Faye Webster, J Dilla, The Lumineers, Mac Demarco, Madlib, Mitski, Nirvana, Phoebe Bridgers, Thundercat, Wet Leg and more will leave the platform after Halloween, unless their respective labels are able to reach agreements with TikTok. Each label individually would have to agree to terms with the platform, negotiating with a much smaller market footprint than they would have collectively.
Merlin is the third music organization this year, after Universal Music Group and National Music Publishers’ Association (NMPA), to express challenges in renewing music licenses with TikTok. In February, UMG’s failure to reach a deal with TikTok led to the removal of its entire catalog of hits from TikTok for about three months. In April, after publicly supporting UMG’s position against TikTok, the NMPA allowed its TikTok license, which was used by a number of indie publishers, to lapse as well. It has not been renewed.
“We believe the most likely reason that TikTok did this is that TikTok does not want to pay a fair rate for the music that powers their platform,” Merlin’s letter to members continues. “If this is right, then TikTok does not value independent music, the independent labels and distributors who support that music, nor the diverse artists who create it. They are unlike every other partner that Merlin works with.”
Along with negotiating digital deals for indie labels on TikTok, Merlin also licenses members’ catalogs to 40 services around the world, including platforms like YouTube, Meta, Spotify, Apple Music, Amazon Music, Tidal, SoundCloud, Deezer and more.
Separately, Billboard obtained an email TikTok sent out to some Merlin members, stating that the short-form video app “decided not to renew [its] license agreements with Merlin” and that TikTok “may be able to do direct deals” with the labels, provided that they agree to sign a non-disclosure agreement (NDA). “The purpose of the NDA is to enable us to discuss direct licensing agreements with you.” The deadline to sign and return the NDA is Oct. 4. A source familiar with TikTok said, however, that any Merlin label that wishes to stay on TikTok after Oct. 31 can review and sign the TikTok and CapCut agreements anytime before Oct. 25.
Merlin told its members that it is doing “all [it] can to re-engage with TikTok… we have already made it clear to them that we are ready to hold an actual negotiation and address any concerns they may have.”
While Merlin believes TikTok’s move is an attempt to keep the price tag for indie music lower than it would like, the organization’s letter to members also says that TikTok has “suggested” they are walking away “because of concerns about ‘fraud.’” “As we have told them on numerous occasions, we are incredibly proactive on this issue,” the letter states.
“TikTok’s refusal to negotiate a deal with Merlin isn’t just a setback — it’s a threat to the whole music ecosystem,” Dr. Richard Burgess, president of the American Association of Independent Music (A2IM), says of the situation. “This isn’t just about Merlin; it’s about properly recognizing the value of artists and their music.”
Merlin declined Billboard’s request for comment. In an interview with Billboard published last week, Merlin CEO Jeremy Sirota discussed his approach to renewing partnerships with platforms such as Meta and YouTube, with which Merlin has struck new deals of late. “We don’t think of it as, ‘Let’s come back and kick the tires every few years,’” Sirota said. “We want to help shape their thinking about music and their understanding of what independents need at an operational level. We want to do the same thing with our partners to create this continual feedback loop and conversation.”
Merlin’s membership includes, but is not limited to, independent labels like 4AD, Brain Feeder, Captured Tracks, Domino, Dualtone, Empire, Higher Ground, Matador, Ninja Tune, Secretly Group, Stones Throw, Subpop, Tommy Boy, XL and thousands more.
Read Merlin’s letter to members below in full:
Dear Merlin Member,
On August 5th, we informed you that we expected a difficult negotiation with TikTok.
This past Wednesday, with no warning, TikTok walked away before negotiations even began. They informed us that (1) they do not want to renew our deal, which expires on October 31st, and (2) they intend to license some of our members directly. To be even more clear, unfortunately, as of now, there will not be a Merlin-TikTok deal after October 31st.
We believe the most likely reason that TikTok did this is that TikTok does not want to pay a fair rate for the music that powers their platform. If this is right, then TikTok does not value independent music, the independent labels and distributors who support that music, nor the diverse artists who create it. They are unlike every other partner that Merlin works with.
TikTok pays substantially less for your music than other services, apparently relying on the perception that artists cannot afford to have their music unavailable on the platform. We made a good faith proposal to narrow this gap, but rather than negotiate, TikTok chose to simply walk away.
Given that TikTok refused to negotiate with us, our view is that they must see the obligation to pay fair royalties as a nuisance. They must view Merlin – with its mission to protect and maximize the value of our members’ music – as too strong a negotiating partner for their liking. Their approach suggests that they believe their objectives can be better served by fragmenting the Merlin membership, in order, we believe, to minimize their pay out.
TikTok has asked us for an “orderly transition” to do direct deals with those members they deem worthy. As you know, Merlin was founded to stand up for and champion its members. We will not support an approach that devalues our community.
The Merlin team remains dedicated to forging meaningful relationships between our members and partners, as well as driving value into every partnership. This includes dedicated teams to answer member inquiries across every aspect of our partnerships, operational support, best practices guides, partner-led and Merlin-led webinars, consolidated pitch forms, and so much more.
We are doing all we can to re-engage with TikTok to secure a renewal agreement for our members. We have already made it clear to them that we are ready to hold an actual negotiation and address any concerns they may have. TikTok has also suggested that they are walking away because of concerns about “fraud,” but as we have told them on numerous occasions, we are incredibly pro-active on this issue.
We recognized early on, and communicated with TikTok, the concerning growth and impact of stream manipulation and fraudulent content both on TikTok and across the marketplace. We have worked productively and collaboratively with TikTok on this issue, and until now, no concerns have been raised about the approach Merlin is taking. We have implemented measures to address illegitimate activity and content; automated systems to detect suspicious activity; and a dedicated team to address issues and impose sanctions, including ultimately, termination of membership for bad actors.
Members must, as ever, make their own decisions on how to deal with TikTok. For our part, we will never stop fighting for the value that our members bring, regardless of how this situation resolves itself.
We will follow-up by separate email with whatever answers we might have on your operational questions.
When Jeremy Sirota signed on as CEO of indie digital rights nonprofit Merlin in January 2020, he had already spent years championing the independent music community.
After starting his career as a tech lawyer in the mid-2000s, Sirota worked for nine years at the Warner Music Group at WEA and ADA, helping to distribute WMG’s affiliated indie-label partners. He then moved to Facebook Music, where he was independent label lead for its business and partnerships team. That experience gives him the perspective needed to assist Merlin’s 500-plus members representing 30,000-plus label partners in more than 70 countries in navigating an increasingly complex digital world.
Over the past four years, he has worked to set those labels — which collectively represent some 15% of the global recorded-music market — on a course to optimize partnerships that increasingly power the business. They include expanded alliances with Meta and YouTube; deals with SoundCloud, for its fan-powered royalties structure, and Deezer, for its “artist-centric” royalties plan; and a new initiative, Merlin Connect, that grants select tech startups a license for its members’ catalogs to help educate those new companies about music usage on their platforms while getting Merlin’s labels and their artists paid.
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Since Sirota became CEO, Merlin has added more than 100 members and launched a mentorship program, Merlin Engage, which pairs women music executives with the next generation of female industry leaders. He’s also debuted Merlin Insights, launched in April to help parse the avalanche of data that indies must process. And as the sector grows globally, Sirota says he’s focused on how to best superserve Merlin’s labels. “There are a lot of ways we think about growth,” he explains. “The most important are ‘Am I driving more value to my members? Am I helping support their ability to be independent? And am I helping to shape a future where artistry, authenticity and creativity can thrive?’ ”
Have you brought in new members and territories this year?
Our growth is about making sure that our values are held by the members who join. This year, 11 new members have joined Merlin, including Artist Partner Group, UNIFIED and Rostrum Pacific. We’ve grown the team to deliver on white-glove support. That involves three things: automate as much as possible; communicate; and collaborate more efficiently and effectively. Something we think about a lot is “How do we free people up?” We’re now over 50 people and have added people around the world at all levels. One of the most important things we do is report and pay to our members on a timely basis so they can pay their bills, their labels and their artists. And we’re deepening our relationships with some of our partners, like Meta, and doing things with [graphic design platform] Canva — which I’m really excited about. We’re finding new ways to monetize music in a healthy and fair way.
A coffee enthusiast, Sirota calls this “my rocket ship of an espresso maker — a Profitec, gifted by my wife — with which I enjoy my daily ritual of making cortados.” He admits to a “guilty love of New York deli coffee with a generous dose of milk and sugar.”
Nina Westervelt
How does Merlin Insights benefit your members?
Insights is a big initiative. We now have a data operations team to make sure that all trends data is being delivered in the right format. Our market share on some of these platforms is significant — more than just the 15% we talk about. So we have this incredible wealth of data. What could we do with that that members cannot do on their own? If you’re not a global organization with 10,000 employees all around the world, we have the ability to pull out interesting stories that help our members — things they don’t know because they’re not on the ground. We do reports, webinars, feedback loops with members around: What else do they want to see? What do we get right? What do we get wrong? That’s where this membership, this community, really comes into play.
What are some of the biggest challenges facing indies right now?
Their world keeps changing so rapidly, and whatever worked six months ago doesn’t work today. That’s why I talk so much about this one-on-one white-glove approach, which is helping them understand where things are headed so that they can make better decisions. Compared to a major, they have less capital, less resources, smaller teams. They have to be more nimble, and the decisions they make have to be right more often. What kind of guidance are you giving them? What does it mean to break and sustain artists, given the way this world’s operating? And what can we be doing with data, our deal-making and with our partners? And then, what are the next, new opportunities? If music is like water, it’s flowing everywhere, and yet it’s not picking up the monetization it should. So trying to find those next, new opportunities.
Is that one of the ideas behind Merlin Connect?
We’re trying to make the ability for startups — pre-seed companies — to be able to more seamlessly tap into music, from a licensing perspective, from an operational perspective, and get value in return for that. But they may not even realize the value of music. We’re also trying to tackle people who may not have thought about music.
I look at so many different types of companies where music could be so valuable to them if they just understood it. We want to make it more seamless, the operations, the licensing, and then there’s an education piece. But it’s not just a license — we’re investing in you as well. You get access to our team, which [collectively] has hundreds of years of music experience with startups about what works and what doesn’t work. You get access to our independent members who love to be on the cutting edge.
We’ve had some really good conversations with some companies now. This is a long-term project — this is our approach now to how we think about the ecosystem and how we nurture it. I’m not going to change the trajectory of every startup just because they have music now, but I think I can fundamentally change the trajectory of so many startups in a way they don’t realize yet.
This photo of David Bowie, taken by Mick Rock, “is a cherished piece because it captures Bowie’s aura.”
Nina Westervelt
Is this about finding new growth sectors?
One hundred percent. It’s almost endless, the types of platforms and startups that could benefit from music. And it’s going to take experimentation. You can’t help everything grow, but there’s a lot out there that’s not growing the way it could. And it’s going to benefit Merlin and its members and their labels and artists, but it could have beneficial ramifications for the whole industry as well. If we can help be a part of that, that would be really exciting.
How have your experiences at Warner and Facebook served you at Merlin?
It gave me the ability to relate to people at different levels in the business, whether it’s a product manager at a digital platform, or an engineer who’s now a founder of a startup, or it’s a member who runs a metal label, or [is] the head of [European indie trade association] IMPALA. I try to see the business through their eyes. I’ve always been on the service side, and that’s always been the through line. People want to know that you understand them, and that they were heard, and that you’re working to do what you can.
When Merlin renewed its Meta partnership this year, you said it was about more than licensing music. What else do you expect of these alliances?
We don’t think of it as “Let’s come back and kick the tires every few years.” We want to help shape their thinking about music and their understanding of what independents need at an operational level. We want to do the same thing with our partners to create this continual feedback loop and conversation.
“These artifacts represent a different period of my life that keeps me grounded,” he says. They include awards from the Eagle Scouts, WEA and the Young Presidents Organization.
Nina Westervelt
What were your reasons for Merlin’s deals with SoundCloud and Deezer over their proposed changes to the royalty payout model for streaming services?
We want to make sure no one’s gaming the system. We want to make sure that fraudulent content is not an issue. We want to make sure that artificial streaming is not an issue. We’re absolutely willing to experiment and try out different models. But when you say, “Let’s change the system,” we need to be really careful about two things. One is unintended consequences. And No. 2 is, sometimes what I hear is, “Let’s penalize independents.” Let’s prevent abuse, but let’s be careful. Let’s be incremental to avoid unintended consequences. And let’s not do something that will make it more difficult for independents to operate. It’s already expensive enough to operate in this space, and it’s creating more barriers to entry for those who don’t have the same level of capital to arbitrage against.
That raises a question. Over the past 10 to 15 years, many of the traditional barriers to the music business have come down. It seems like some of these proposed changes to the model are a bit like “Let’s rebuild some of those walls.” Do you feel like things are too wide open now? Do we actually need barriers to entry?
When I hear “create more barriers to entry,” I have a little bit of reflex [thinking that means] “Let’s make it more difficult for independents.” At the same time, you want to be supporting quality music. What has happened is technology is outpacing how we operate as humans. I think the biggest challenge music always has is that there is a zero-sum game around some of this. It’s one of the reasons we’re always thinking about creating new incremental revenue sources.
Where did the idea of Merlin Engage come from, and how have things gone so far?
Katie Alberts from Reach Records was the first to propose this, and Marie Clausen from Ninja Tune was the second. This is our second year. We’re conscious of not biting off more than we can chew. But what is really great about it is, we’re matching very senior leaders with up-and-coming, next-generation female leaders. And what I find particularly inspiring is that these people who are incredibly busy are willing to put time toward it. The second is, we’re creating another mini community. And it’s global, we’re connecting people from different countries. There’s so much we want to do at Merlin, but this one was just a no-brainer to help move the music industry in a better direction.
“I keep a curated sample of already-read books nearby as an invitation to be inspired,” he says. Above them: “A graffiti artwork by my talented aunt, Laura Shechter, whose art estate I manage.”
Nina Westervelt
This story appears in the Sept. 28, 2024 issue of Billboard magazine.
It’s time for a July 4th weekend edition of the Executive Turntable, Billboard’s comprehensive(ish) compendium of promotions, hirings, exits and firings — and all things in between — across music. Check out this year’s Pride List of top LGBTQ+ executives in the industry. We also have a weekly interview series spotlighting a single executive and a regularly updated gallery honoring many of the industry figures we’ve lost throughout the year.
Thomas Coesfeld celebrated his one-year anniversary as CEO of BMG by joining the executive board of Bertelsmann, parent company of the Berlin-based music giant. The 34-year-old executive is point-person for Bertelsmann’s music business as a member of the board, which also includes chief executive Thomas Rabe and Thomas’ big brother Carsten Coesfeld, CEO of its venture capital arm, as well as company CFO Rolf Hellermann and chief human resources officer Immanuel Hermreck. Coesfeld took the reigns of BMG from longtime CEO Hartwig Masuch on July 1 of last year, and in short order instituted a new organizational structure by globalizing its catalog, sales and marketing teams and a “recalibration” of its presence in continental Europe, among other changes. Prior to rising to CEO, Coesfeld had been named deputy CFO at BMG in October 2021 before taking over as full-on CFO the following spring. During that time he oversaw BMG’s balance sheet and helped the company land 70 deals, including acquiring the catalogs of Mötley Crüe and Tina Turner, as well as those of Paul Simon, The Pointer Sisters, Peter Frampton and others.
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He previously served as chief strategy officer on the executive committee of the Bertelsmann Printing Group, but began his career in 2014 as a consultant at McKinsey. Coesfeld is also a member of Bertelsmann’s Group Management Committee (GMC), which advises the executive board.
“[Coesfeld] knows Bertelsmann well from various positions,” Rabe raved in the announcement. “As CEO of BMG, he has made important decisions for the future of the business, for example by bringing digital distribution in-house and using artificial intelligence in various areas of the music business. Thomas will enrich the work of the Management Board as well. I look forward to working even more closely with him.”
Meanwhile…
Hannah Neaves
Laura Lewis
Universal Music UK promoted Hannah Neaves to sole president of its catalog division, Universal Music Recordings. Her co-president over the last two years, Azi Eftekhari, has left the company, Billboard can confirm. Neaves and Eftekhari joined UMR in early 2022, roughly a year after the pair launched a London-based creative agency called Remedy Inc. Prior to joining forces, Neaves was creative director at TaP Music and Eftekhari had been head of label relations (EMEA) at YouTube. In the last two years, UMR’s wins include “Now and Then” — the “last Beatles song” — and other releases featuring Bob Marley, Amy Winehouse, the Spice Girls and more. “Hannah is, first and foremost, an artist person with an innate understanding of where creativity and discovery meet, something she has brought in abundance since re-joining our team,” said Universal Music UK chief David Joseph, referencing Neaves’ tenure at UMG’s Polydor earlier in her career. “A truly exceptional and inspiring executive, Hannah has already had huge success, most recently creatively leading the global and record-breaking Now And Then campaign for The Beatles, and there’s so much more to come.”
Former BMI executive Jody Williams was elected to a one-year term as the new chair of the Country Music Hall of Fame and Museum‘s board of officers and trustees. The publishing veteran, who founded Jody Williams Songs in 2020 following a 14-year run at BMI, has served on the museum’s board for 17 years. He replaces outgoing chair Mary Ann McCready, who remains as a trustee. CMHFM CEO Kyle Young remarked that Williams is “woven into the fabric of country music’s creative community in a true and meaningful way” and “resolute in furthering country music’s vitality as a cultural artform.” The Nashville institution also elected several new members to the board, including artist manager Clint Higham and WME agent Becky Gardenhire.
Merlin, the digital licensing partner for the independent music sector, welcomed Neil Miller as its new general counsel. Miller arrives from Greenberg Traurig, where he served as partner of the global law firm for three years. Prior to that, Miller was an associate general counsel at Facebook and earlier in his career spent six years as GC at SoundCloud. He is based in the UK. “Merlin is a dynamic organisation operating in a complex and ever changing legal and commercial environment,” said Charlie Sexton, Merlin COO. “Neil’s wealth of experience across music and digital entertainment is exactly what we need to meet these challenges. He is highly respected across the industry and brings a valuable blend of long-term thinking, technical skills, and impressive leadership.”
Believe has new leadership in place for its efforts throughout China, naming Charles Liu as general manager and Rebecca Dong as managing director for the growth-ready region. Based in Beijing and reporting to Sylvain Delange, Believe’s president of Asia-Pacific, Liu will focus on building partnerships and growing Believe’s roster of labels and artists. Dong rolls up to Liu and will manage all operations, along with legal, finance and HR matters. Believe has operated in China since 2016 and has grown to 80-plus “digital and music experts” across offices in five cities, the company said. “Greater China is both an exciting and challenging market where Believe’s unique approach can significantly contribute to accelerate the rise of a strong, diverse and thriving local music ecosystem as we’ve done is so many other markets in Asia Pacific,” said Delange.
NASHVILLE NOTES: Universal Music Group Nashville hired Houston Gaither as director of radio marketing. She was previously Sony Music Nashville’s manager of content, promotion and artist development … Former PLA Media director of publicity and branding Becky Parsons formed Found Sound Media, a PR and management firm focused on developing LGBTQ+ and female artists … Kylie Taylor joined Black River Entertainment as a graphic designer. Reach her at ktaylor@blackriverent.com.
OTM Music, a boutique publishing company with footholds in London, New York and Los Angeles, welcomed Kristin Genovese as the firm’s new U.S. head of sync and Kate Sweetsur as the new head of A&R. The company, which provides creative services for its roster of songwriters and brands, also noted the recent additions of Chi Chi Nwakodo as senior creative and Ethan Mizen as A&R manager.
ICYMI:
Britney Davis
Hipgnosis Song Management founder Merck Mercuriadis will step down as chairman of the investment manager, months after vacating the CEO role … Stephanie Rosa is managing director of Tixr‘s new London office … Former Capitol Music Group executive Britney Davis was named general manager at Quality Control … Warner Records promoted Robert Santini to senior vp of brand partnerships and ad sync … and Mano Sundaresan is the new head of editorial content for Pitchfork.
Last Week’s Turntable: Audacy OG Elevated
Merlin, the digital licensing partner for the independent music sector, announced that it renewed its licenses with Meta on Wednesday (June 12). That means the music of Merlin members — releases from labels like Domino, Secretly, Ninja Tune, Warp Records and many more — can continue to be discovered on Facebook and Instagram.
“This renewal is about more than simply licensing music – it’s about the strength of building long term relationships, seeking innovative ways to deliver music to fans and those discovering our artists for the first time, and the value of the dynamic nature of independent music,” Jeremy Sirota, CEO of Merlin, said in a statement. “Merlin, on behalf of its members and their artists, is leading the way to build an ethical, sustainable, and indie-centric world.”
“Meta is thrilled to renew our partnership with Merlin, one of the leading champions of independent music,” added Tamara Hrivnak, vice president of music & content business development at Meta. “Our continued collaboration will foster further innovation in music discovery and creative expression. We’re excited for what the future holds.”
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Merlin’s global membership accounts for around 15% of the recorded music market, and Merlin negotiates deals not only with Meta but with Apple, Spotify, TikTok, YouTube, and more than 40 other platforms.
“In an industry that has always been in flux, Merlin is the steady hand,” Sirota explained earlier this year. “Merlin doesn’t have investors looking for an exit. There is no parent company with different motives. We are a mission-driven organization that operates like a not-for-profit and is funded entirely by our members.”
As short-form video platforms have become increasingly important for driving music discovery, artists are eager to make their songs available through platforms like Reels. And Reels took on even more importance earlier this year when Universal Music Group’s licensing negotiations with TikTok fell apart.
Historically, no short-form video platform has been able to match TikTok when it comes to causing a previously unknown song to erupt into the public consciousness overnight. When the wider music industry realized it might have to live without TikTok as a marketing tool at some point, many marketers redoubled their efforts to reach an audience through Reels and YouTube Shorts.