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Universal Music Cuts Deal With Soundcloud, Reported Equity Stake Could Hurt Artists

August 17, 2015 · Leave a Comment

Hypebot:

Soundcloud is in the final stages of a licensing deal with the Universal Music Group, sources tell MBW. The deal would reportedly give UMG a substantial stake in Soundcloud.



While details of the deal are not yet known, many in the industry question the efficacy of similar label deals with other music streamers which exchange potential revenue for artists for an equity stake for the corporation which artists often do not participate in.



That leaves Sony, the second largest player after UMG, the missing deal in Soundcloud’s monetization strategy; and given Sony forced takedowns earlier this year, a deal may not be imminent.

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Related posts:

  1. SoundCloud’s Life Raft Floats In Rough Waters
  2. SoundCloud’s Move Into Distribution
  3. We Now Return To The SoundCloud Soap Opera …

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8sided.blog is a digital celebration of sound, culture, and what Andrew Weatherall once referred to as 'the punk rock dream'.

It's also the online home of Michael Donaldson, a slightly jaded but surprisingly optimistic fellow who once competed under the name Q-Burns Abstract Message. He was the widely disputed king of sandcastles until his voluntary exile from the music industry.

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