Universal Music Group, which represents megastars similar to Taylor Swift, Bad Bunny and Drake, is warning it can pull its songs from TikTok after failing to comply with new licensing phrases.
In a quick assertion late Tuesday, UMG stated it “will cease licensing content to TikTok and TikTok Music services” after the present contract expires Wednesday.
In an open letter to artists and songwriters, UMG claimed TikTok “is trying to build a music-based business, without paying fair value for the music.”
TikTok didn’t instantly reply to a request for remark.
The massively well-liked video-sharing platform, owned by China-based Bytedance, is a large influencer within the music world and UMG stated its evaluation discovered “a majority of content on TikTok” accommodates music, extra so than different social networks.
UMG, which is likely one of the world’s largest music corporations, stated within the letter that it has been unable to achieve an settlement with TikTok over three key points: compensation for artists, defending human artists from the “harmful effects” of AI, and on-line security of TikTok’s customers.
“TikTok proposed paying our artists and songwriters at a rate that is a fraction of the rate that similarly situated major social platforms pay,” UMG stated, including that TikTok “is allowing the platform to be flooded with AI-generated recordings … in a move that is nothing short of sponsoring artist replacement by AI.”
UMG stated TikTok was detached to its considerations, and tried to “bully” the corporate into accepting a deal price lower than the present one.
Other UMG artists embrace Ariana Grande, Billie Eilish, Kendrick Lamar, Harry Styles, U2, Pearl Jam, Justin Bieber, Adele, Elton John and Bob Dylan.
UMG’s Amsterdam-listed shares
UMG,
have risen about 18% over the previous 12 months.
Source web site: www.marketwatch.com
