And here we go for another Weekly Roundup! Let’s talk platforms, videos and music industry veterans’ thoughts, let’s dive in together!
#1. The impact of AI when it comes to audio could be a piracy issue
Without any surprise, AI poses a new threat to the music industry reminiscent of the early 2000s era of rampant digital piracy. While streaming platforms like Deezer and Spotify are beginning to address streaming fraud, the emergence of AI-generated content presents a new challenge.
Similar to the rise of fake books in the publishing industry, AI-generated music and audiobooks could become the next frontier for piracy. Platforms may need to adapt by creating secondary markets for AI-generated content and ensuring proper compensation for creators. With the ease of replicating voices using AI, audiobooks appear particularly vulnerable to this form of piracy. As technology outpaces legislation, the industry faces a critical juncture where innovation risks overshadowing creator compensation once again.
#2. Fresh takes on streaming from DiMA
Let’s stay on topic for a while. Graham Davies, president & CEO of DiMA (the Digital Media Association), gave his thoughts this week on several critical issues facing the music industry. As a quick reminder, DiMA serves as a lobbying voice for major streaming companies, including Amazon, Apple, YouTube, Spotify, Pandora, and Feed.fm.
Davies highlighted the importance of transparency in modernizing licensing and operations, particularly concerning the Mechanical Licensing Collective (MLC). He emphasized the need for the MLC to operate transparently, efficiently, and neutrally to ensure its success over the next five years.
Additionally, concerns were raised about the impact of AI-generated music on streaming platforms and the challenges it poses to existing copyright laws. Davies stressed the need to address metadata flaws before tackling the labeling of AI-generated music and acknowledged the rapid evolution of technology, which makes it difficult for laws to keep pace. Overall, DiMA aims to navigate these complex issues to support the streaming industry while advocating for fair practices and compensation for creators.
#3. Is video done for online medias?
While music videos were once eagerly anticipated events, their relevance is now being questioned as streaming dominates music consumption. Data from sources like the Internet Music Video Database (IMVDb) indicates a decline in music video releases over the years, raising concerns about demand.
However, while not essential, music videos remain a valuable creative tool for artists in a competitive market. So it’s not all to waste. Despite debates on viewership decline, analysis of YouTube's most-viewed videos suggests that newer releases still garner substantial initial views, albeit potentially at a slower rate than before.
The economics of music video production vary widely, with costs ranging from minimal to exorbitant, leading some artists to reconsider their investment strategies. Shifts towards visualizers and short-form content reflect changing audience preferences and economic realities, yet music videos continue to serve as a means of artistic expression and marketing. Strategic timing and alternative formats are emerging strategies for maximizing music video impact in the current landscape. While the industry evolves, music videos retain a role in connecting artists with their audience and conveying their creative vision.
#4. CD Baby is officially a Downtown Music Holdings’ company
Downtown Music Holdings has completed its integration strategy by merging its indie distribution brand CD Baby into its Downtown Music division. This solidifies Downtown's focus on providing comprehensive services to artists and businesses in the music industry. With over 600 employees globally and a client base of over 4 million artists and 5,000 business clients across 150 countries, Downtown aims to capitalize on the opportunities ahead.
Andrew Bergman, CEO of Downtown Music Holdings, expressed enthusiasm about the unified operating structure, emphasizing the company's commitment to supporting creators and businesses. Pieter van Rijn echoed this sentiment, highlighting the enhanced offering resulting from the merger and the company's unified approach to serving its customers.
#5. KISS sells their catalog to Pophouse
For old times sake, here is the latest catalog sale. KISS has sold their song catalog to music investment firm Pophouse Entertainment in a deal reportedly valued at over $300 million. This acquisition encompasses KISS' brand name, song catalog, intellectual property, artist share of master recordings, and publishing rights.
The deal also includes plans for a KISS biopic, avatar concerts, and themed experiences. Pophouse aims to unlock new audiences and revenue streams while enriching the KISS legacy with creative storytelling and immersive content. This acquisition follows Pophouse's recent purchase of Cyndi Lauper's music catalog and previous acquisitions of Avicii's and Swedish House Mafia's catalogs, signaling the company's strategic expansion beyond Sweden into the global music market.
