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Spotify Technology SA said on Monday it would cut its workforce by 6% amid a broader leadership shuffle, according to a filing with the U.S. Securities and Exchange Commission.

The company said it estimates 35-45 million euros ($38-$49 million USD) of charges related to letting these employees go, and that its chief content & advertising business officer Dawn Ostroff will also leave the company. Ostroff will act as a senior adviser helping to facilitate the reorganization, which will include Alex Norström, currently freemium business officer, and Gustav Söderström, currently chief research & development officer, becoming co-presidents of Spotify.

Spotify is the latest big tech company to announce a wave of layoffs, following a similar announcement by Google parent company Alphabet, which said last week that it would let go of some 12,000 workers.

Companies, including Spotify and Alphabet, staffed up during the pandemic and are now looking to cut costs amid slowing global economic growth.

Spotify employed 9,800 employees, according to recent filings. The company will announce its most recent quarterly earnings on January 31.

Several music companies  let go of staff or cut investment budgets in the second half of 2022 in preparation for a possible economic downturn. Spotify said it would cut hiring by 25%, SoundCloud laid off 20% of its staff and BMI said it was cutting just under 10% of its total workforce, through a combination of letting 30 people go and leaving certain jobs unfilled.

Spotify is set to have layoffs as soon as this week as the company moves forward with plans to reduce operational expenses, according to a person familiar with the matter.

The layoffs are expected to be more broad than a previous round of cuts in October, which impacted staff members working on canceled shows from in-house podcast studios Gimlet and Parcast.

A representative for Spotify declined to comment.

Spotify executives have previously signaled plans to reduce headcount-related expenses, with CEO Daniel Ek telling staff last June that the company would reduce its hiring growth by 25 percent and “be a bit more prudent with the absolute level of new hires over the next few quarters.” Paul Vogel, the company’s chief financial officer, also pointed to “increasing uncertainty regarding the global economy” at Spotify’s investor day in June as a reason for “evaluating [Spotify’s] headcount growth in the near term.”

Though the exact number of layoffs — first reported by Bloomberg — is not immediately clear, other tech companies like Amazon, Microsoft and Meta have each announced major rounds of layoffs impacting thousands of employees in recent months. The most recent layoff announcement came from Google parent company Alphabet, which is set to reduce its staff by 6 percent, which represents around 12,000 employees.

As of the end of the third quarter, Spotify employed around 9,800 people. The audio company brought in €3.04 billion in revenue and added 195 million paid subscribers during the third quarter. At the time, Ek said the economic downturn had not had a “material impact” on the company’s business but that Spotify would be “more selective” with its “overall spending.”

Spotify will report its fourth-quarter earnings on Jan. 31 before the market opens.

This article originally appeared in THR.com.

The Ledger is a weekly newsletter about the economics of the music business. An abbreviated version of the newsletter is published online. The Ledger is sent to Billboard Pro subscribers. You can also sign up here to receive The Ledger and many other Billboard newsletters.
The way things are going, music rights valuations are likely to remain steady in the new year, according to dealmakers.

Total music consumption in the United States rose 9.2%, according to Luminate’s 2022 year-end report. While that was slower than the 11.3% consumption growth in 2021, “9.2% relative to 11.3% is not a massive move in growth,” says David Dunn, managing partner at Shot Tower Capital. “As a whole, the growth rates are within expectation for me and still very healthy,” adds Andy Moats, executive vp and director of music, sports and entertainment at Pinnacle Financial Partners. Last year’s numbers were also in line with the expectations of Daniel Weisman, principal at Bernstein Private Wealth Management. “Goldman Sachs’ report published in June of 2022 put streaming CAGR [cumulative annual growth rate] at 12%,” he says.

A mitigating factor is the difference in margins between digital and physical formats. On-demand song streaming — both audio and video — climbed 12.2%. On-demand audio streaming grew 12.1%, the same rate achieved in 2021. Physical album unit sales dropped 3.5%. CD unit sales fell a modest 11.6%, while vinyl LP unit sales grew 4.5% to a record 43.5 million units. Despite Taylor Swift selling nearly 1 million units of her Midnights album on vinyl and Beyoncé showing strong album sales across vinyl and CD formats, music consumption was — again — more digital than the prior year.

With streaming up and physical formats down, that mix is favorable for catalogs. “Margins are improving” as a result of increased digital consumption, says Dunn. Digital music is less expensive to distribute than physical formats — especially vinyl, which has relatively weak margins and high shipping costs. The cost of producing an additional download or stream is effectively zero, aside from negligible costs of data storage and bandwidth. That’s a net positive for catalog valuations. Experts value music catalogs by discounting future cash flows to a single present value. When revenues shift to higher-margin digital formats, rights holders will receive more cash.

The gains do not accrue evenly to all recordings and compositions, though. Last year’s streaming growth could “potentially” support current valuations for a catalog 10 years or older, “especially against a rising rate environment,” says Weisman.

Younger catalogs with decaying royalty growth, however, are a different matter. “I think for newer catalogs that have not yet leveled off and whose royalties are not increasing, it’s hard to argue that all the external economic factors — rising interest rates, inflation, etc. — do not have an impact,” says Weisman.

The shift in product mix carries implications for recorded music valuations specifically. As consumption increasingly skews toward digital, recorded catalog margins will catch up to those in the publishing business, says Dunn. “I generally think margin growth is continuing and I think investors are realizing you can exploit recorded catalog at margins similar to publishing.”

Focusing only on unit sales doesn’t tell the entire story, however. Vinyl records may have relatively poor margins, but rising vinyl prices create more margin dollars for labels. In the first half of 2022, the average sale price of vinyl in the United States rose 5.6% to $26.16, according to the RIAA.

Streaming is also becoming more valuable. After more than a decade of flat subscription prices, companies such as Apple, Amazon and Deezer are raising prices. Spotify’s CEO has indicated the company intends to raise prices in 2023, as well. Due to these increases — often just $1 per account — the U.S. streaming market could generate hundreds of millions of additional dollars this year without sacrificing a meaningful number of subscribers.

Nari Matsuura, partner at Citron Cooperman, believes the U.S. market is even healthier than Luminate’s data shows. That’s because music is becoming more ubiquitous with tech in our everyday lives, meaning there is revenue growth that consumption data can’t track.

“While streaming growth captured the whole narrative of the U.S. market a few years ago, now the narrative has changed to include much more than streaming,” she says. “Growth also needs to take into account the licensing of alternative music platforms, such as Peloton and Facebook, as well as the stellar growth in synch licensing due to the volume of new programming by SVODs as they compete for subscribers.”

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Source: NurPhoto / Getty / Netflix
If you’re one of those people who share their Netflix password with friends, count your days because the streaming service is coming for you.
Spotted on The Verge, Netflix will begin cracking down on password sharing “more broadly” toward the end of the first quarter of 2023, the streaming giant announced in its earnings report.

“While our terms of use limit use of Netflix to a household, we recognize this is a change for members who share their account more broadly,” Netflix writes. “As we roll out paid sharing, members in many countries will also have the option to pay extra if they want to share Netflix with people they don’t live with.”
Netflix fully expects the crackdown will cause a “cancel reaction” in each market in the short term but also feels there will be “improved overall revenue” as a long-term benefit as it will force more people to pay their subscriptions.
The streaming giant has been testing different methods to crack down on password sharing in South America. In countries like Chile, Costa Rica, and Peru, Netflix has begun prompting users to dish out coins for an extra account if Netflix determines someone is using the subscription outside of the primary user’s home.
According to a report from the Rest of the World, the anti-password sharing policy was not going over well with subscribers in Peru.
If it’s not going over well in Peru, we can only imagine how upset subscribers will be when the password-sharing crackdown begins in the United States.
The streamer is trying to maximize every dollar as it continues to pump out premium content like Glass Onion: A Knives Out Story and see its subscription growth slow down.

Photo: NurPhoto / Getty

Subscribers to Amazon Music Unlimited in the U.S. and U.K. will have to pay a higher price for the on-demand streaming service starting in February. According to Amazon’s customer service pages in both countries, subscribers to both individual and student plans will begin paying more starting Feb. 21.

In the U.S., Amazon Music Unlimited will increase from $9.99 to $10.99 for individual subscribers and climb from $4.99 to $5.99 for subscribers to the student plan. Likewise, U.K. prices will increase from 9.99 pounds to 10.99 pounds for individual subscribers and from 4.99 pounds to 5.99 pounds for student subscribers.

The e-commerce giant’s decision follows Apple’s move in October to charge higher prices for Apple Music as well as other cloud-based entertainment platforms and services. Apple Music also raised individual subscriptions from $9.99 to $10.99 per month in the U.S. It also increased the price of family plans, which offers up to six accounts under a single subscription, from $14.99 to $16.99 per month. Deezer, a small player in the U.S., raised the price of individual plans to $10.99 per month in 2022.

In May 2022, Amazon raised the price of Amazon Music Unlimited for Prime subscribers from $7.99 to $8.99 per month, and from $79 to $89 annually.

Spotify, the largest music subscription service, could soon follow suit. On the heels of Apple’s announcement, CEO Daniel Ek said during the company’s Oct. 25 earnings call that a U.S. price increase “is one of the things we would like to do.” Spotify has not raised its standard price from $9.99 since launching in the U.S. in 2011.

More than 1 billion music streams in France — or between 1% and 3% of all streams in the country — were detected to be fraudulent in 2021, according to a report released this week by a French government organization that analyzed data from Spotify, Deezer and Qobuz. 
If the report’s number were to hold true for the worldwide music market — which the IFPI valued at $16.9 billion in 2021 — that would mean approximately $170 million to $510 million of streaming royalties are being misallocated globally. This is roughly in line with a 2019 estimate of $300 million lost to streaming fraud cited during Indie Week.

The Centre national de la musique (CNM), an organization created by the French government in 2020 that operates under the Ministry of Culture, found that fraud is widespread in France, the fifth-largest music market, to a sobering degree: “Irregularities are spotted” on both major-label and independent releases, national and international albums, old catalog and fresh new singles alike, the CMN says in its 56-page study. “The methods used by fraudsters are constantly evolving and improving,” it notes, “and fraud seems to be getting easier and easier to commit.”

The genres which had the highest percentage of fraudulent streams detected in the CNM’s report were background music (4.8% on Deezer) and non-musical titles (3.5%). While the raw number of fraudulent streams detected was highest in rap — the most popular genre in France — that represented just 0.4% of overall plays in the genre on Spotify and 0.7% on Deezer.

CNM’s report appears to be the first country-wide investigation of streaming fraud. “We’re happy with the effort by the CNM and the French government as a whole to look into this and take it seriously,” says Morgan Hayduk, founder and co-CEO of Beatdapp, a Canadian company that provides fraud detection software to streaming services, labels, and distributors. “This issue deserves the weight and attention that they gave to it.”

CNM’s report comes with several caveats, however. The organization’s data does not include information from Apple Music, YouTube and Amazon, who declined to share information about fraud on their platforms. According to a recent estimate from MIDiA Research, those three services account for slightly more than 35% of global streaming subscriptions. (MIDiA did not share country-level figures.)

In addition, Hayduk says, the report only looks at country-level data. This means it does not account for VPN usage that allows fraudsters to mask their country of origin.

Bad actors committing streaming fraud often “rotate through multiple countries redirecting traffic constantly,” says Andrew Batey, Beatdapp’s other co-CEO. “It’s not uncommon when we find fraud cases to see 15 devices spreading plays across 30 countries.” To catch that, he says, “you need a global view.”

Fraudulent streams, once defined by former Napster executive Angel Gambino as “anything which isn’t fans listening to music they love,” have become a major topic of music industry concern in Germany, France and Brazil. That’s because undetected fraudulent streams can impact market share calculations and divert money from honest artists. 

The countries have taken different approaches to combat this fraud. The IFPI led a legal effort to shut down German websites that offered streams for cash starting in 2020. The organization made the case that manipulating play counts allows artists to create a false impression of popularity, ultimately misleading consumers and violating Germany’s Unfair Competition act. 

In Brazil, law enforcement worked in conjunction with Pro-Música, IFPI’s Brazilian affiliate, to shut down 84 stream-boosting sites in the country in 2021. Prosecutors there argued that sites that offered fraudulent streams were violating Brazil’s Consumer Defense Code and treated the activity as a criminal act.

Brazil’s coordinated effort — dubbed Operation Anti-Doping — determined that the fraudulent streams were actually being generated outside of Brazil, illustrating the limitations of a single-country approach to fraud reduction. “No company in Brazil has the technology to make these fake streams,” Paulo Rosa, Pro-Música’s president, told Billboard in 2021. “This technology comes from websites hosted in Russia.”

The U.S. industry has historically appeared less bothered by streaming fraud — or at least less willing to acknowledge its existence publicly, with executives and streaming services reluctant to discuss the subject. This may be starting to shift, however. At a Music Biz panel in May, SoundCloud vp of strategy Michael Pelczynski noted that the current streaming ecosystem is rife with “very prevalent fraud and abuse,” and that this activity has “cultural ramifications.” When undetected fraudulent streams “start influencing the way we measure the success of music, we are literally supporting inauthenticity,” Pelczynski said. 

The CNM appeared heartened by the fact that, since the summer of 2021, it has seen “the growing mobilization of platforms, distributors and producers” worried about fraud, resulting in the creation of “dedicated teams” and the outlay of increased resources to battle “manipulation.”

But there remain several key challenges when attempting to tackle fraud. The lack of transparency from some streaming platforms, and the inability to push toward assembling a comprehensive global data set, means that the scale of the problem is still unknown. 

What’s more, as the CNM points out, it’s nearly impossible to punish those engaged in fraud because they are rarely identified. The penultimate section of the report lays out potential legal remedies that could be used to fight fake streams in France — if authorities were able to prove that bad actors violated laws related to illegal hacking or unfair business practices. They include fines of up to 300,000 euros ($324,000) and prison sentences of up to five years for perpetrators. 

The CNM pledged to release a follow-up report in 2024.

LONDON — A U.K. Parliament committee is calling on the British government to address the “pitiful” returns that many artists and creators earn from music streaming and says it should develop and implement a “wide-ranging national strategy for music.”  

A report from The Digital, Culture, Media and Sport (DCMS) Committee published Friday (Jan. 13) urges the government to take a “more proactive strategic role” in the music industry to help ensure creators and performers receive a greater share of streaming revenue.  

The report doesn’t go into detail about what form an overarching national music strategy would take. But it nevertheless recommends it be developed and overseen by the DCMS and looks at the impact of new digital technologies on musicians, songwriters and composers, as well as the U.K. industry’s potential for growth.

Taking such an approach could help address many of the issues caused by the government’s current approach to policymaking for the music business, which sees policy and trade negotiations handled by multiple different government departments and, says the report, is “too scatter-gun to be effective.”  

The DCMS Committee’s recommendations come 18 months after it published a damning report in July 2021 on the economics of music streaming that called into question the major record labels’ dominance of the industry — and how they leverage that market power at the expense of artists, songwriters and independents. It concluded by saying that the global streaming model is unsustainable in its current form and “needs a complete reset.”   

In response to that report, the U.K. competition regulator carried out a market study review of the record business. It ended in November with the Competition and Markets Authority (CMA) surmising that low returns from streaming “are not the result of ineffective competition” between the three major labels — Universal Music Group, Sony Music Entertainment and Warner Music Group.     

The British government has also set up a number of working groups — led by the Intellectual Property Office (IPO) and made up of industry stakeholders — to look at issues raised in the Parliament probe, including problems around transparency and metadata.   

Reviewing the progress that has been made since July 2021, the DCMS committee commended the government and IPO for the work and research it has undertaken but said that more still needs to be done on core issues, such as creators’ share of streaming royalties.  

In particular, the committee recommends the IPO establish working groups to look specifically at remuneration and performer rights, with greater involvement from government officials and ministers. It also says there needs to be greater transparency around membership of the working groups, agendas and deadlines, none of which are currently made publicly available.  

“Over the last 18 months the Government has made some welcome moves towards restoring a proper balance in the music industry, but there is still much more to do to ensure the talent behind the music is properly rewarded,” Damian Green MP, acting chair of the DCMS Committee, said in a statement.  

Green says too many musicians and songwriters are frustrated at receiving “pitiful returns” from streaming and says the government “now needs to make sure it follows through on the work done so far to fix the fundamental flaws in the market.”  

The committee has also requested that the three major labels provide it with evidence of the royalties they have distributed to legacy artists under the various unrecouped advances programs introduced over the past two years.  

Sony Music Group was the first to announce, in June 2021, that it would start paying royalties to artists with unrecouped advances from pre-2000 record deals. Warner Music Group followed in February 2022 and Universal Music Group in March 2022. 

A spokesperson for the DCMS committee says that while it has no formal powers to compel businesses to provide them with information, businesses are expected to comply with the request. The government now has two months to respond to the committee’s recommendations and outline any actions it will be taking. (The DCMS committee, which is made up of 11 members of Parliament, is responsible for monitoring the policies and practices of the Department for Digital, Culture, Media and Sport and its associated bodies, including the BBC.)

Responding to Friday’s report, David Martin, CEO of the Featured Artists Coalition, and Annabella Coldrick, chief executive of the Music Managers Forum, said they “wholeheartedly” welcomed Parliamentary support for improved remuneration and contractual rights.  

“Our organizations are in complete alignment with other creator bodies on the need for greater fairness, transparency and remuneration.” Martin and Coldrick said in a joint statement. “These issues are not going away, and neither are we.”  

A spokesperson for U.K. labels trade body BPI thanked the committee for highlighting “the positive steps that the industry has taken” since its original 2021 report but cautioned against any calls for sweeping government reforms.

“At a time when the global music market is more competitive than ever,” the spokesperson says, “public policies must be firmly rooted in driving sustainable growth across the entire U.K. music ecosystem.” 

Apple TV+ will boot scoot into the reality music competition space on March 24 with the launch of My Kind of Country. The series will feature country stars Jimmie Allen, Mickey Guyton and masked crooner Orville Peck as scouts who will search the world to find the next big country star. In addition, executive producers actress Reese Witherspoon and singer Kacey Musgraves will be featured in the series.

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The show was described in Friday’s (Jan. 13) release as, “a fresh take on a competition series, breaking down barriers in country music by providing an extraordinary opportunity to diverse and innovative artists from around the world.” The three A-list scouts will choose a roster of up-and-coming artists, who they will invite to Nashville to showcase their sounds for the panel in a chance to win a once-in-a-lifetime shot at stardom.

The winner of the eight-episode series will receive what is described as a “life-changing prize” from Apple Music that will include “unprecedented support and exposure on the platform.”

In addition to Witherspoon and Musgraves, the show’s other executive producers include Hello Sunshine’s Sara Rea and Lauren Neustadter; Sandbox Entertainment’s Jason Owen; Emmy-nominated showrunner Izzie Pick Ibarra (The Masked Singer, Dancing With the Stars); and Done + Dusted’s Katy Mullan (The Disney Family Singalong, The Little Mermaid Live!). Emmy-winner Adam Blackstone (Justin Timberlake, Alicia Keys, Faith Hill) is the series’ music director.

This is The Legal Beat, a weekly newsletter about music law from Billboard Pro, offering you a one-stop cheat sheet of big new cases, important rulings, and all the fun stuff in between. This week: A huge group of artists push to clear up uncertainty about termination rights and streaming royalties, Dr. Dre threatens to sue Marjorie Taylor Greene, the man accused of murdering Takeoff is released on bond, and more.

Sign up for the free email version of The Legal Beat here.

THE BIG STORY: Top Artists Demand Streaming Royalties Rule

When I first reported in October that the U.S. Copyright Office was looking to enact an “obscure” rule change about termination rights and streaming royalties, I received a bit of light-hearted criticism from some folks who had been following the issue closely. They conceded that the subject matter was complex — it’s mind-meltingly complex, trust me — but also said that the stakes were huge.

I guess others agree: In a letter sent last week, more than 350 artists, songwriters, managers and lawyers threw their weight behind the Copyright Office’s proposed rule change, saying they were worried about music creators being “deprived of the rights afforded to them by copyright law.” Signed by Don Henley, Sheryl Crow, Sting, Bob Seger, Maren Morris, John Mayer, Dave Matthews, members of The Black Keys and many others, the letter said that opposition to the agency’s new rule would constitute “a vote against songwriters.”

What’s this new rule they’re so fired up about? As mentioned, it’s pretty arcane stuff. (Go read our explainer if you want more details.) But basically:

The group created by the Music Modernization Act in 2018 to collect mechanical royalties from streaming services (the Mechanical Licensing Collective, or MLC) enacted a new policy in 2021, dealing with who should receive such royalties after a songwriter invokes their termination right. Termination is a provision under copyright law that allows creators to take back control of their works decades after signing them away to a publisher. The problem? The MLC’s new policy seemed to say that if a song had already been uploaded to Spotify’s server prior to when a songwriter invoked their termination right, those royalties would need to keep flowing to their old publisher — seemingly forever — regardless of who now owned them.

That bizarre outcome would seem to be at odds with the basic point of termination, which is designed to help original creators finally derive value from their own works. So in October, the Copyright Office proposed a new rule requiring the MLC to “immediately repeal its policy in full,” calling it an “erroneous” reading of the law. And last week, spurred by groups like the Music Artists Coalition, a huge number of influential members of the music industry said they agreed.

Some of the wording of the letter — about a “vote against songwriters” — was pretty ominous. But it doesn’t seem like there’s any real industry opposition to the Copyright Office’s change. The National Music Publishers’ Association has quibbles about how such changes are enacted, fearing that they might lead to uncertainty and litigation over past practices. But the group says it fully supports a rule change and the goal of making sure that terminating songwriters actually get paid.

Will the Copyright Office enact the new rule as originally proposed, or make changes when the final rule is released? We’ll let you know what the final rule looks like — and whether everyone likes it.

Other top stories this week…

DR. DRE WARNS REPUBLICAN – Dr. Dre sent a scathing cease-and-desist letter to Rep. Marjorie Taylor Greene, threatening the conservative lawmaker with a copyright lawsuit for using the rapper’s 1999 smash hit “Still D.R.E.” without permission in a social media post. “One might expect that, as a member of Congress, you would have a passing familiarity with the laws of our country,” the letter read.

MORE MUSIC TROUBLE FOR TRILLER – Universal Music Group filed a lawsuit against Triller over allegations that the video-sharing app has failed to make payments for months under its music licensing agreements, despite “lavish” spending elsewhere.

MIGOS MURDER SUSPECT RELEASED – Patrick Xavier Clark, the man accused of murdering Migos rapper Takeoff, was released from a Houston jail after posting a $1 million bond. He was placed under house arrest and will be subject to GPS monitoring.

LAWSUIT OVER UMG’S SPOTIFY STAKE – ’90s hip-hop duo Black Sheep filed a class action against Universal Music Group over the label’s ownership stake in Spotify, claiming UMG has accepted low royalties in return for stock in the streaming service. Seeking to represent thousands of others, the case says UMG is “withholding hundreds of millions of dollars in royalties.”

SONY SETTLES FUTURE CASE – Sony Music reached a settlement to end a lawsuit that claimed the name of Future’s chart-topping album High Off Life infringed the trademark rights of a company called High Off Life LLC, a creative agency that says it’s used the name for years.

ROCKER ARRESTED ON GUN CHARGES – Matt Shultz, the lead singer of the band Cage the Elephant, was arrested in New York City and hit with two charges of criminal possession of a weapon after police found two loaded firearms in his room at the Bowery Hotel.

MARILYN MANSON CASE DROPPED – A federal judge tossed out one of the several sexual abuse lawsuits filed against Marilyn Manson, dismissing a case filed by model Ashley Morgan Smithline because she failed to retain a new lawyer after splitting with her old legal team last fall.

GLORIA TREVI ABUSE SUIT – Mexican pop star Gloria Trevi was hit with a new lawsuit over a decades-old claim of sexual assault against two minors, who alleged the singer “groomed” and “exploited” them when they were between the ages of 13 and 15 back in the early 1990s. Trevi strongly denied the accusations, saying she’d been “totally acquitted” when such claims were made in a criminal case in Mexico in the 2000s.

Your nightmares have been answered. Netflix confirmed on Friday (Jan. 6) that its massive hit series Wednesday will return for a second season on the streamer. Though a date has not yet been announced for season 2, in an interview with Tudum, creators/executive producers Alfred Gough and Miles Millar talked about bringing back Wednesday Addams (Jenna Ortega) for another go.
“We can’t wait to dive headfirst into another season and explore the kooky, spooky world of Nevermore,” showrunners Millar and Gough exclusively told the Netflix news site. “We just need to make sure Wednesday hasn’t emptied the pool first.” 

The news came along with a video trailer teasing the return cued to the viral TikTok hit launched by Wednesday’s dance to The Cramps’ 1981 single “Goo Goo Muck,” which inspired users to swap in Lady Gaga‘s 2011 Born This Way deep cut “Bloody Mary.” In the 45-second clip, perennially dyspeptic teen detective Wednesday recaps being hunted by monsters, haunted by ghosts and mocked on the internet.

“It’s been pure torture,” she says grinning as the sped-up version of Gaga’s “Mary” swells in the background and the screen reads, “More misery is coming.”

“[Wednesday] sticks to her guns, and she’s not out to please anybody,” Ortega told Tudum of the series that smashed records for Netflix, with 411.29 million hours viewed in its second week, 22 billion views on TikTok and 1.237 billion hours viewed, making it the second most-popular English-language hit in the streamer’s history. “Which, as someone who used to be an immense people pleaser, I really respect.” 

The viral “Bloody Mary” phenomenon helped push the Gaga track into the top 40 of the Billboard Global Excl. U.S. chart las month despite it not being featured in the series proper; the revamped dance sequence also helped propel “Bloody” onto the Billboard Global 200. The trend blew up so big, in fact, that even Mother Monster got in on the action, posting a black and white response video in early December in which she slips into the signature Wednesday Addams look and dancing with her hands, hands, hands.

“It’s been incredible to create a show that’s connected with people across the world,” Millar and Gough said while (spoiler alert) hinting that the stalker running around Nevermore in the season one finale remains a threat to Addams. “We’re thrilled to continue Wednesday’s torturous journey into Season 2.” Millar and Gough said that casting and plot news will be revealed at a later date.

Check out the video below.