sony music
Sony Music is suing the University of Southern California (USC) for more than $25 million over claims that the college sports powerhouse illegally used songs by Michael Jackson, Beyonce and AC/DC in TikTok and Instagram videos hyping its teams.
In a complaint filed Tuesday (March 11) in New York federal court, the music giant says the school posted more than 250 videos featuring over 170 unlicensed tracks to its social media channels, including those by Britney Spears, Harry Styles, SZA, Mariah Carey, OutKast, Pink Floyd and Travis Scott.
“USC has one of the most lucrative college sports programs in the world, realizing over $200 million annually in revenues from its participation in a multi-billion dollar college sports,” the label’s attorneys write. “Despite having been on notice of its infringing conduct, USC has repeatedly failed to obtain licenses for its use of Sony Music sound recording.”
Trending on Billboard
Seeking $150,000 in so-called statutory damages for every song used, the lawsuit is demanding more than $25 million in potential damages — or more, if Sony can prove that it suffered even greater losses.
According to Sony Music, USC was notified of the problem as early as June 2021 and has been repeatedly warned since
“Rather than cease this infringing conduct, USC chose to flout copyright law, repeatedly posting new videos to the USC Social Media Pages that use Sony Music sound recordings knowingly and willfully and without permission,” the company wrote. “USC even left many uses available online after being put on notice from Sony Music that they were infringing.”
Social media platforms like TikTok and Instagram provide huge libraries of licensed music for users to add to their videos. But there’s a key restriction: The songs can’t be used for commercial or promotional videos posted by brands. That kind of content requires a separate “synch” license, just like any conventional advertisement on TV.
That crucial distinction has led to numerous lawsuits in recent years.
Beginning in 2021, all three majors sued drink maker Bang Energy over its TikTok videos, with Universal Music Group (UMG) and Sony Music eventually winning large judgments. In May, Sony filed a case against Marriott over accusations that the hotel chain had used nearly 1,000 of its songs in social media posts. In July, Kobalt and other publishers sued more than a dozen NBA teams over the same thing. The restaurant chain Chili’s has been sued twice, once by the Beastie Boys and later by UMG over tracks from Ariana Grande, Justin Bieber and dozens of other artists.
In Tuesday’s case against USC, attorneys for Sony say that the school’s own social media brand guidelines expressly warned against using copyrighted music in videos: “If you want to feature ‘popular music’ in your video, as in music you hear on the radio, you must license it from the publishing company and or record company,” USC’s guide allegedly reads.
“In flagrant disregard of this clear guidance, USC itself has distributed hundreds of videos (if not more) which contain infringing uses of Sony Music’s sound recordings,” Sony’s lawyers write in the lawsuit. “These uses were made without permission, without compensation to Sony Music and its artists, and in violation of USC’s own written guidelines.”
A spokesperson for USC did not immediately return a request for comment on Wednesday (March 12).
Vermillio, an AI licensing and protection platform, raised $16 million in Series A funding led by Sony Music and DNS Capital, the company announced on Monday (March 3). This marks the first time Sony Music has invested in an AI music company.
Sony Music’s relationship with Vermillio dates back to 2023, when the two companies collaborated on a project for The Orb and David Gilmour. Through the partnership, fans could use Vermillio’s proprietary AI tech to create personalized remixes of the acts’ 2010 ambient album Metallic Spheres.
According to a press release, Vermillio plans to use the funds to scale operations and “continue building out solutions for a generative AI internet that enables talent, studios, record labels, and more to protect and monetize their content.”
Trending on Billboard
Vermillio’s goal is to create an AI platform that securely licenses intellectual property (IP). One of its core products is TraceID, which provides protection and third-party attribution for artists. Through it, the company claims artists and rights holders can control their data and AI rights.
Apart from its collaboration with Sony Music for the AI remix project, Vermillio has also worked with top talent agency WME to shield its clients from IP theft and find opportunities to monetize their name, image and likeness rights by licensing their data. Sony Pictures also worked with Vermillio to create an AI engine that allowed fans to make their own unique digital avatars in the style of Spider-Verse animation. Each of the fan generations were then tracked using TraceID so that all works could be tied back to the filmmakers’ original IP.
“We are setting a new standard for AI licensing — one that proactively enables consent, credit, and compensation for innovative opportunities,” said Dan Neely, co-founder/CEO of Vermillio, in a statement. “With the support of an innovation leader like Sony Music, Vermillio will continue building our products that ensure generative AI is utilized ethically and securely. At this critical moment in determining the future of AI and how to hold platforms accountable, we are proud to protect the world’s most beloved content and talent.”
“Sony Music is focused on developing responsible generative AI use cases that enhance the creativity and goals of our talent, protect their work, excite fans, and create new commercial possibilities,” added Dennis Kooker, president of global digital business at Sony Music Entertainment. “Dan Neely and the team at Vermillio share our vision that prioritizing proper consent, clear attribution and appropriate compensation for professional creators is foundational to unlocking monetization opportunities in this space. We look forward to expanding our successful collaboration with them as we work to support the growth of trusted platforms by enabling secure AI solutions that are mutually beneficial for technology innovators, artists and rightsholders.”
Sony Music Entertainment is asking a judge to throw out a lawsuit brought against the company by Patrick Moxey‘s Ultra International Music Publishing late last year, claiming the suit was an act of “retaliation” against the major label after it filed its own lawsuit against the publishing outfit two years prior.
Ultra International Music Publishing and Ultra Music Publishing Europe brought the lawsuit against Sony Music Entertainment and its subsidiaries — including Ultra Records, which Moxey sold his remaining 50% share of to Sony in 2021 — last November over allegations of copyright infringement, claiming Sony and its affiliates had been using Ultra Publishing’s compositions without a license. Filed in New York federal court, the complaint alleged that Ultra Publishing had conducted an audit finding that Sony had been underpaying royalties to the publisher and its songwriters “for years” — but that after bringing the results of the audit to Sony’s attention, the major label “failed” and “refuse[d]” to pay Ultra Publishing the royalties it was due.
Ultra Publishing claimed that after Sony’s alleged refusal, it ceased granting the music giant licenses to the company’s compositions, but that Sony nonetheless continued uploading tracks featuring Ultra Publishing-owned compositions to streaming services and selling them as digital downloads and physical releases, among other exploitations. The lawsuit concerned more than 50,000 compositions by artists including Ed Sheeran, Madonna, Rihanna and others.
Trending on Billboard
In its response, filed on Monday (Feb. 17) by attorney Tal Dickstein, Sony Music called the lawsuit “an ill-conceived effort by Plaintiffs — two music publishing companies owned by Patrick Moxey — to retaliate against” Sony Music for an earlier lawsuit it filed against Ultra Publishing for the continued use of the Ultra name. In that complaint, filed in November 2022, Sony attested that Moxey had signed away his rights to the Ultra trademark after selling the company his remaining stake in Ultra Records, which he founded in 1995.
Sony claims Ultra Publishing attempted to justify the “nefarious timing” of its own lawsuit — which allegedly dropped the day before the trial for the trademark lawsuit began — “by claiming this lawsuit stems from an audit of the music publishing royalties that Sony Music Entertainment paid to Plaintiffs.” However, Sony alleges that the audit in question, “which involved payments made by Sony Music Entertainment to Plaintiffs through 2016,” was in fact “settled in principle years ago for a small fraction of the amount claimed, and Plaintiffs never pursued those audit claims any further.”
Sony’s filing goes on to say that it and Ultra Publishing “continued working together after the audit was settled, with Sony Music Entertainment paying publishing royalties on the musical compositions that were the subject of the audit without objection from Plaintiffs, and working to license and pay the corresponding publishing royalties for well over a thousand other compositions owned in whole or in part by Plaintiffs.”
“Sony Music Entertainment’s licensing practices are both appropriate and entirely consistent with the licensing practices of every other leading record label that releases new sound recordings, including record labels that Moxey himself controlled in the past and currently owns,” the filing continues. “Moreover, Plaintiffs’ own songwriters and producers continue to write songs and collaborate with SME artists with the intention and expectation that the resulting sound recordings incorporating the underlying musical compositions will be commercially released — underscoring the obvious question of whether Plaintiffs’ attempted boycott of SME is in their songwriters’ best interest.”
An attorney for Ultra International Music Publishing did not immediately respond to Billboard‘s request for comment.
NFTs are back — but don’t worry about holding onto your wallet. At least in the music business, the NFT (non-fungible token) is quietly starting a second, more practical life far removed from the deafening hype that surrounded the digital assets just a few years ago.
At the beginning of the decade, some artists made millions selling NFTs while celebrities were helping legitimize them, with stars like Justin Bieber, Snoop Dogg, Madonna and Paris Hilton all buying NFTs from the then-hot Bored Ape Yacht Club collection. Then, predictably, the NFT bubble burst in fantastic fashion. In less than a year, Bieber’s Bored Ape, which he purchased for $1.3 million, was worth around $69,000.
NFTs were often a bad investment, but the underlying technology still has many believers. Last week, Sony quietly launched a music NFT collection on its Soneium blockchain platform. The fact that Sony — the larger company, not Sony Music Entertainment — is investing in Web3 technology may come as a surprise, but its efforts go back more than a year. Sony Network Communications, later renamed to Sony Block Solutions Lab, revealed in September 2023 that it had created a joint venture with Startale Labs to develop “a blockchain that can become the backbone of global web3 infrastructure” and create “killer web3 use cases to drive the adoption of web3.” Eleven months later, Sony announced the development of the Soneium blockchain that will form the infrastructure for those so-called “killer use cases,” with the goal of expanding Web3 technology and services to a broader audience and “build[ing] a world where web3 services permeate people’s daily lives.” The launch of Soneium was announced on Jan. 14.
Trending on Billboard
One of the applications on Soneium is a new fan marketing platform through which companies can issue NFTs. So far, two of Sony’s music divisions, Sony Music Entertainment France and Sony Music Publishing (Japan), issued NFTs as “demonstration experiment[s]” for its entertainment companies to “provide new value to creators and fans through web3 services.” In France, Sony celebrated the second anniversary of a Web3 community called Sunny B. 1991 by distributing limited-edition NFTs to the community. In Japan, Sony will distribute limited-edition NFTs to coincide with a live event for the girl group SANDAL TELEPHONE.
Sony’s blockchain push comes at a time when music companies are increasingly targeting superfans through digital platforms and merchandise offers. “NFTs are uniquely suited for this because they are programmable digital assets that can evolve over time,” says Cherie Hu of Water & Music, a music industry research and consulting practice. NFTs and their “smart contracts” — self-executing code on the blockchain — allow artists to create membership experiences that can evolve over time. And because NFTs use decentralized technology, they aren’t reliant on any one platform or company — a notable advantage when a country can outright ban a social media platform. “This is quite different from traditional fan clubs, where fan data is otherwise fragmented and hard to act upon from the artist’s perspective,” says Hu.
Sony’s slow launch of its blockchain ambitions will ultimately be helpful to other companies in the music space, says David Greenstein, CEO of two blockchain-related startups, Sound and Vault. “Any legacy company that’s trying to innovate, I have a lot of respect for because I think the industry needs more innovation,” he says. Three years ago, releasing high-priced yet useless NFTs was seen as innovative. In 2025, innovation means using blockchain technology, cryptocurrency and NFTs to create consumer-friendly products that bring artists and fans together.
A fresh approach to NFTs makes sense now that the market is tanking. NFT trading volume fell 19% in 2024, according to DappRadar, making it the worst year for NFTs since 2020 and far below their height in 2022, when they boasted $57.2 billion in trading volume. Last year’s leading NFT collection was Pudgy Penguins, which goes far beyond Web3 by selling plushy toys in brick-and-mortar retailers and sponsoring the uniforms of Spanish soccer club CD Castellón. Bored Ape Yacht Club NFTs still generate a relatively large amount of sales activity, but prices in the last 30 days were down about 91% from their highs in 2022.
As enthusiasm for NFTs waned, some worthwhile experiments went belly up. Universal Music Group’s foray into NFTs was Kingship, a virtual band comprised of three Bored Ape characters and a rare Mutant Ape. The 5,000 NFTs, which would unlock music and other perks for owners, quickly sold out in July 2022. The group landed a sponsorship with M&Ms in 2022 and a Kingship game launched on Roblox in 2023. But by all appearances the project is now dead, and Kingship NFTs that sold for 0.23 ETH three years ago (approximately $300 at the time) are trading for less than 0.002 ETH ($5) today.
“There’s going to be very fruitful, better things that come out of [blockchain technology] that are non-speculative, just because the technology is awesome,” says Greenstein. His latest company, Vault, allows artists to build relationships with fans and creates a blockchain-based digital wallet for each user. But Vault has made a conscious choice to put the technology in the background, and although “everything is Web3 enabled,” he says, it’s not germane to the fans’ relationship with artists. “Nobody asked what the tech stack of Spotify is,” he points out. “They just use the product.”
Sing, a Seattle-based startup that sells both digital collectibles and physical merchandise, also puts Web3 technology in the background. “We don’t talk about NFTs,” says CEO Geoff Osler. “We don’t lead with that, because I don’t think people care.” But Sing has the same end goal as early NFT proselytizers: to facilitate a relationship between artists and their biggest fans while allowing artists to realize more value from those relationships. “We think that artists should make a great deal more money than they already do on the releases,” says Osler. “And that there’s this overall feeling — at least among superfans — that there’s a gap in the market. People want to own their music and own that connection with the artists.”
Speculation isn’t gone, but it’s migrated. Blockchains like Solana that have lower transaction costs and higher speeds than Etherium have become “hotbeds” for the trading of memecoins, says Hu. Rather than pump money into NFTs, people are buying into the TrumpCoin and the Hawk Tuah coin. “In certain segments of pop culture and politics, I’d say the appetite for high-risk digital assets remains really strong,” she says.
But players in the music space seem content to focus on practical use cases and leave the speculation to memecoin hustlers. “Once we come out of this period, and people start to accept blockchain tokens, there’s some very, very interesting stuff that the technology will enable,” says Osler. “But for now, meet them where they are. Let’s sell them records from artists they love. Show them there’s this amazing digital stuff that goes along with it, and that it’s collectible, and just leave it at that.”
Sony Music reported 14% revenue growth in the quarter ending last year — or total revenue of 482 billion yen ($2.72 billion) — bolstered by big releases from ATEEZ and Tyler, the Creator and subscription streaming growth across recorded and music publishing divisions, its parent company Sony Group Corp., reported Thursday (Feb. 13). Sony Music’s […]
Universal Music Group (UMG) signed a strategic partnership deal with global advertising and public relations giant WPP that will center around audience engagement strategies “leveraging the power of music,” according to a press release. The deal will allow WPP clients access to UMG’s music catalog, with the two companies working together to “unlock additional areas of amplification through data-driven and technological innovation” and exploring ways artificial intelligence “can better help brands and artists connect and create authentic cultural moments,” the release adds. The partnership builds on a pre-existing relationship between UMG and WPP, which have previously teamed up on initiatives including the Coke Studio and Sprite Limelight music platforms. In a statement, UMG chief digital officer and executive vp Michael Nash said that by “combining innovative new technologies with UMG’s industry-leading data insights, we can create significant new commercial opportunities for our artists and songwriters. In addition, working together with WPP, we will harness and amplify the unmatched power and reach of music for WPP’s clients and brands through new strategic initiatives and programs.”
Sony Music launched in Greece following its acquisition of Cobalt Music, one of the country’s biggest independent labels, to re-establish Sony Music Entertainment Greece. The deal will allow Cobalt artists to connect with audiences internationally. it was concurrently announced that Anna Maria Antippas will serve as MD of Sony Music Entertainment Greece after having held leadership roles in the Greek music industry for nearly 20 years. Greek music industry revenues reached $70.4 million last year, a 14.91% increase from the prior year. Streaming accounts for 63.1% of that revenue, marking year-over-year growth of 15.2%, while synch revenues have increased 49.4%, according to a press release.
Virgin Music Group struck a strategic long-term agreement with Hungama Digital Media, a leading digital entertainment company operating out of India. Through the deal, Virgin will help expand the global reach of Hungama’s music catalog, including SVF, Grassroute, OTV and numerous film soundtracks. In turn, the deal will allow Virgin to deepen its presence in India’s regional music scene. “Hungama’s expansive network will enable us to unlock incredible new opportunities for our artists,” said Amit Sharma, country manager of India for Virgin Music Group, in a statement.
CTS Eventim acquired a 17% stake in French ticketing company France Billet from Fnac Darty, making it France Billet’s majority shareholder. Fnac Darty retains a 35% stake after the transaction and will continue its involvement in the company’s governance. France Billet’s management team will remain in place following the deal.
AEG Presents assumed a partnership stake in Germany-based concert promotion company MCT Agentur. “I wanted a partner who shared my vision of how our business should run and could provide some extra muscle in my corner when needed,” said MCT Agentur founder Scumeck Sabottka in a statement on the deal. “Concert promotion is still a gamble…that’s what makes it fun, but it’s a full-contact sport at times. You need a teammate you can trust and Jay and I trust each other.”
Warner Music Japan (WMJ) entered a strategic partnership with NBCUniversal Entertainment Japan (NBCUJ) through which it will produce and promote new releases by NBCUJ’s artists. WMJ will additionally acquire the distribution rights of more than 9,000 works in NBCU’s music catalog, including anime-related tracks, and begin digitally distributing them globally starting early next year. WMJ will also handle distribution and sales of physical products. The two companies will also work to expand opportunities for music tie-ins with anime projects, exploring possibilities for WMJ artists to contribute songs to NBCUJ titles. With the deal, WMJ has also launched an anime business division, which has brought on former Aniplex president/CEO Koichiro Natsume and former TMS Entertainment Co. senior executive officer Hiroyasu Shinohara as external advisors. “This partnership will not only enable us to help bring NBCUJ’s catalog to the world through our global network, but also give our artists opportunities to further grow their careers by leveraging anime-related collaborations,” said Takeshi Okada, president/CEO of WMJ, in a statement.
Under a new strategic partnership, ADA — Warner Music Group’s indie music distribution and artist services arm — will now oversee worldwide distribution for music projects developed by FaroLatino Music, the label division of ForoLatino. “This alliance marks an important chapter for both companies as we unite to champion Latin American music on a global scale,” Javier Fainzaig, president of FaroLatino, said in a statement. ADA president Cat Kreidich added, “We’re excited to partner with FaroLatino and help lead the charge on the global growth and recognition of the many diverse artists and genres that make up Latin music.” Launched in 1995, FaroLatino offers artist services ranging from marketing and press to strategic partnerships. Some of its latest projects include Jessi Uribe and Alejandro Fernández’s collab “Tu Maniquí” and Noche de Brujas and Jorge Celedón’s cross-genre single “Vente Conmigo.” – Griselda Flores
Event management platform Events.com acquired the Wonderfront Music & Arts Festival out of San Diego. “Under our ownership, we’ll streamline operations and create more digital engagement opportunities for guests,” said Stephen Partridge, president/COO of Events.com, in a statement. Launched in 2019, Wonderfront boasted nearly 42,000 attendees at this year’s edition of the festival. “With Events.com’s expertise in event management and the innovative capabilities of its platform, we’re looking forward to creating even more memorable experiences for our guests as we enhance our operational efficiencies, including ticketing, guest engagement, and overall festival management,” added Wonderfront founder/executive producer Paul Thornton. The 2025 iteration of the festival is slated for May 16-18.
Create Music Group acquired a 50% share of the London-based dance music label and music publisher Enhanced Music, which boasts such genre brands as Enhanced Recordings, Enhanced Progressive, Colorize, Shapes of Solitude and Enhanced Chill. Enhanced has publishing rights to thousands of songs by artists including The Chainsmokers, Elley Duhé, Tiësto and Steve Aoki.
Symphonic Distribution partnered with Masterchannel to provide artists with an AI mastering tool that makes tracks release-ready and optimized for streaming. Under the deal, Symphonic artists can upload as many tracks as they want and receive unlimited free full-length master previews.
Also at Symphonic, the company signed South Korean lable EchoesInDream (EID) to a global distribution deal. Upcoming EID releases include “Swimmin’”, a collaboration between Filipino R&B artist Jay R and emerging artists PAAK and AVN, along with new music from PAAK, an Afrobeats artist. Both are slated for release in January.
Sony Music UK has appointed Azi Eftekhari as its chief operating officer, effective immediately. Reporting directly to Jason Iley, chairman and CEO of Sony Music UK & Ireland, she’ll oversee key operational areas, including the label’s Commercial Group, and play a pivotal role in shaping the company’s overall growth strategy.
Eftekhari brings two decades of experience in the music and entertainment industries to her new position, having most recently served as co-president of Universal Music Recordings, managing global artists such as The Beatles, Elton John, Amy Winehouse, The Rolling Stones and The Spice Girls at the label’s catalogue division.
Prior to UMG, Azi held a significant role at YouTube as head of label relations, where she spearheaded the launch of YouTube Music across Europe and secured a landmark partnership with The BRIT Awards, further cementing her reputation as an innovator in the intersection of music and technology. Additionally, she co-led Remedy Inc., a creative agency delivering projects across music, theatre and branding.
Trending on Billboard
Eftekhari’s career began at Mercury Records, where she collaborated with Iley as director of digital and publicity, contributing to campaigns for artists like U2, Justin Bieber and Rihanna. Her leadership extended beyond individual companies, as she also served on the boards of the Official Charts Company and the Entertainment Retailers Association, showcasing her influence within the broader music industry.
Iley expressed confidence in Eftekhari’s “depth of experience straddling the world of music, tech and culture combined with commercial acumen,” while Azi voiced her gratitude for the opportunity to work with Illey. “He’s built an exceptional, future-facing company and I look forward to playing a part in continuing to champion the incredible roster of artists,” she said. “In this rapidly changing marketplace, there are many exciting opportunities to harness, and I can’t wait to help drive the business into the next chapter.”
Sony Music has settled a lawsuit filed by a former assistant to Columbia Records chief executive Ron Perry who claimed she was forced to resign after pushing back on hiring practices that allegedly discriminated against white applicants.
In a filing Tuesday (Nov. 19), attorneys for both sides told a federal judge that they had “reached a settlement in principle” to resolve the lawsuit, in which Patria Paulino claimed she was told she could “only hire Black candidates.” Sony had called those accusations “contradictory and false” and was actively seeking to have the case dismissed when the settlement was reached.
The specific terms of the agreement, including whether any money exchanged hands, were not disclosed in court filings. A spokesperson for Sony declined to comment on Wednesday (Nov. 20); an attorney for Paulino did not return a request for comment.
Trending on Billboard
Paulino sued Sony and Perry in February, claiming she had been effectively terminated as retaliation because she pushed back on race-conscious hiring practices.
After being hired in late 2022, Paulino claimed that she was repeatedly told she could not hire white candidates for a vacant assistant role in Perry’s office. She says that Perry had been hit with “multiple racial discrimination complaints by former employees” and that he and the company wanted to “have more color in his office.”
Despite the directives to aim for diversity, Paulino’s lawsuit claimed she “continued to recommend qualified Caucasian applicants” for the role. At one point, when she advanced a particular white candidate, she says that another Sony employee told her in writing: “We can’t hire another white Jewish girl unfortunately.”
The lawsuit came in the wake of a high-profile U.S. Supreme Court ruling last year that outlawed the use of race-conscious admissions in higher education, commonly known as “affirmative action.” Though that ruling didn’t directly deal with hiring or with the state laws at issue in Paulino’s case, it has led to overall increased scrutiny of corporate practices aimed at diversity, equity and inclusion.
A week after Paulino filed her case, Sony asked the judge to toss it out of court. Far from being effectively terminated, Sony said she had instead “voluntarily resigned after receiving unfavorable performance feedback.” The label said she had filed her case simply “to harass her former employer and boss” with a “contradictory and false” lawsuit.
“She alleges … that defendants both discriminated against her because they preferred white employees but also constructively discharged her because she would not play along with their preference for non-white employees,” the label’s lawyers wrote, adding the italics themselves for emphasis. “In reality, plaintiff worked for Sony … for less than five months, performed poorly, and was a willing participant in the entirely legal hiring practices she now alleges were discriminatory.”
Sony Music has reached a settlement to end a lawsuit claiming the producers of Whitney Houston’s 2022 biopic Whitney Houston: I Wanna Dance With Somebody never fully paid to use her songs.
The case, filed earlier this year, alleged that the companies behind the movie had signed deals for sync licenses to feature songs like “I Will Always Love You” in the film – but that more than a year after it was released, the label still hadn’t been paid a dime for those rights.
In a motion filed Monday in New York federal court, attorneys for Sony say they will drop the case voluntarily. The motion did not provide any terms of the apparent settlement, and neither side immediately returned requests for comment.
Trending on Billboard
Riding a wave of enthusiasm for musical biopics – 2018’s Bohemian Rhapsody earned more $900 million at the box office and Baz Luhrmann’s 2022 “Elvis” made $288 million – “I Wanna Dance” was released in December 2022 to middling reviews and an underwhelming return of $59.8 million gross.
A little over a year later, Sony added a copyright lawsuit to the movie’s woes – claiming the movie had featured “some of the most iconic and popular sound recordings of all time” without properly paying for them.
The February lawsuit claimed that Anthem Films, Black Label Media and others behind the movie had signed a sync license agreement on Dec. 5, 2022 – less than ten days before the movie’s release – covering the use of Sony’s sound recordings of Houston’s songs, also including “Greatest Love of All,” “I’m Every Woman” and the titular “I Wanna Dance with Somebody.”
Sony argued that the producers did so because they essentially had to if they wanted to create “a biopic about the life and music of Whitney Houston.”
“Unlike other types of films, musical biopics by their nature require use of the subject musician’s music, as it is nearly impossible to explain the importance of a musician’s creative genius or unique style and talent without the use of the musician’s music,” Sony wrote.
But the label said that by August 2023, it still had not been paid anything under that deal. After notifying Anthem of the problem, the company allegedly told Sony that it was waiting on funds from a tax credit owed by the state of Massachusetts. But such a payment never came, Sony said.
“As a result of Anthem’s failure to pay the fees to SME, it is clear that there was no license or authorization to use the SME Recordings used in the Film,” the company’s attorneys wrote. “Nevertheless, the Film embodying the SME Recordings was, and continues to be, exhibited, distributed, and exploited.”
Sony Music revenue grew 10% year-on-year to 448.2 billion yen ($2.9 billion) last quarter, as hit records by SZA, David Gilmour and Travis Scott, coupled with higher sales from live shows and merchandise, helped boost growth in both recorded music and music publishing.
For its fiscal second quarter ended Sept. 30, Sony Music — comprising Sony Music Entertainment, Sony Music Entertainment Japan and Sony Music Publishing — reported quarterly operating income of 90 billion yen ($589 million), a 12% rise on the same period a year ago.
Adjusted operating income before depreciation and amortization (OIBDA) climbed 15% year-on-year, totaling just under 112 billion yen ($733 million), Sony Music’s parent company, Sony Group Corp., reported Friday (Nov. 8).
Trending on Billboard
The company said growth in revenue from streaming subscriptions, live events and merchandise from recorded music, as well as the impact of foreign exchange rates were among the key drivers of its positive quarterly financial results. They bring Sony Music’s half-year earnings up to 890.2 billion yen ($5.8 billion), up 16% year-on-year, with a half-year operating income of 176 billion yen ($1.1 billion).
Breaking down Sony Music’s quarterly earnings, recorded music revenue increased 14% year-on-year to 290 billion yen ($1.9 billion), with subscription and ad-supported streaming up 9% to 189 billion yen ($1.2 billion), accounting for around 65% of the firm’s recorded music earnings.
Physical revenue jumped 22% year-on-year to 25 billion yen ($164 million), while Sony’s “other” category — which includes revenue from merchandise, live performances and licensing revenue from synch, public performance and broadcast — was up 33% to 68 billion yen ($446 million).
SZA’s blockbuster album SOS, which has broken numerous chart records since it was first released in December 2022, including overtaking Aretha Franklin’s Aretha Now as the longest-running chart topper of the Top R&B/Hip-Hop Albums tally, was Sony Music’s top seller of the quarter.
In second place was Gilmour’s first studio album in nine years, Luck and Strange, which debuted at No. 10 on the Billboard 200 earlier this year. Other top sellers for Sony Music in the three month period included Scott’s UTOPIA, Future & Metro Boomin’s WE DON’T TRUST YOU, Beyoncé’s COWBOY CARTER, Harry Styles’ Harry’s House and Luke Combs’ This One’s for You. The one title in the top 10 from outside this decade was Michael Jackson’s Thriller, the 1982 classic co-produced by Quincy Jones, who passed away on Sunday (Nov. 3).
On the music publishing side, Sony Music reported revenue of 92 billion yen ($604 million), up 11% year-on-year. The company said the strong performance of its publishing arm was led by strong gains in streaming income, which rose 9% to just under 53 billion yen ($347 million). Publishing’s “other” category grew by around 13% year-on-year to 38.6 billion yen ($253 million). The company disclosed that as of March 31, its publishing division either owned or administered approximately 6.24 million songs.
Visual media and platform sales, which includes revenue from animation titles, game applications and service offerings for music and visual products, fell slightly to 62 billion yen ($407 million), down 1% on the same period last year.
Sony Music said its forecast for full-year revenue was unchanged from the previous quarter with projected sales of 1.74 trillion yen (approximately $11.4 billion) and projected operating income of 330 billion yen ($2.2 billion).
Sony Music’s fiscal second quarter highlights:
Revenue of 448 billion yen ($2.9 billion), up 10% year-on-yearAdjusted operating income of 112 billion yen ($733 million), up 15%Recorded music revenue increased 14% year-on-year to 290 billion yen ($1.9 billion)Music publishing revenue of 92 billion yen ($604 million), up 11%Visual media and platform revenue of 62 billion yen ($407 million), down 1%