Can Biden Really Fix Ticket Prices?
The Major Labels Are Locking Horns With TikTok
TAKEAWAYS
Salient statements from this week’s music news.
1. How Syncs Boost Listener Engagement on Spotify
A new study by Spotify and Netflix underscores the impact that a song’s placement can have on the entire catalog for artists of all sizes.
Takeaway: there are many examples of sync placements driving listeners far beyond the featured song, deep into the artist’s whole catalog. Even better: the data shows that these upticks apply to artists of all levels.
2. Record Labels Ask TikTok to Share More of Its $12 Billion
As existing contracts expire in the coming months, TikTok’s runaway success has raised the stakes for the next negotiation.
Takeaways: An executive at one of the major labels said that TikTok should be paying between two and ten times more than its existing agreement, based on similar relationships with other platforms with large audiences, such as Facebook and YouTube.
3. 3LAU Made Millions Off His Music NFTs. Now a Collaborator Claims She’s Owed a Cut
Vocalist Luna Aura has filed a lawsuit claiming “unjust enrichment and breach of contract” following the $11M NFT sale of a song the two collaborated on in 2017.
Takeaway: While 3LAU Entertainment was given the “sole and exclusive right” to the master recording, the contract stipulated that Flores would receive a “basic royalty rate” on top of the money she received from her 30 percent stake in the song’s publishing.
4. How Much More Revenue Can Streaming Price Hikes Bring?
If Spotify follows Apple Music’s price increase, the combined additional revenue could reach $650M per year.
Takeaway: Spotify has not announced a broad price increase on its individual and family plan subscriptions, but CEO Daniel Ek signaled the company would likely follow Apple Music’s lead when speaking to investors during Spotify’s Oct. 25 earnings call.
5. Meta Says AI-Powered Audio Codec Offers 10x Compression Over MP3
This is way too complicated for us, but maybe readers will understand.
Takeaway: Meta seems to be aiming the technology at delivering voice calls over bad network connections with smaller files, but there are also metaverse applications too.
6. The White House Promises to Crack Down On Concert Tickets’ ‘Hidden Junk Fees’
President Biden’s official Twitter took aim specifically at concert ticket fees this week.
Takeaway: The precise details (including possible legislation and/or an executive order) of this crackdown remain to be seen; the initial speech pertaining to the subject mentioned “concert tickets” only once and focused chiefly on banking, airline, and credit-card fees.
