… And what the market is doing about them. It’s that time of the year when we get insights and full overview of last year’s performance from the music industry, feeding predictions and pushing for changes in the field!
#1. The latest numbers on the Music Industry
It’s time to take a look at the latest reports; this week we got news from IFPI with their Global Music Report 2025 and RIAA‘s end-of-year music report for 2024. Trying to sum this up for you here:
Global recorded music revenues reached $29.6 billion in 2024, growing 4.8% YoY—a slowdown from previous years. Subscription streaming remains the primary driver, up 9.5% YoY, while ad-supported streaming lagged at just +1.2%. The U.S. market underperformed (+2.2% YoY), causing North America’s share of global revenues to drop, while emerging markets like MENA, Latin America, and Sub-Saharan Africa saw double-digit growth. Physical sales declined (-3.1% YoY), though vinyl continued its steady rise.
Europe held strong at +8.3% YoY, while Mexico surpassed Australia to enter the top 10 music markets. Industry leaders are pushing for fairer artist compensation, AI regulation, and innovation-driven growth. IFPI’s CEO warned of AI’s risks to human artistry, emphasizing the need for policies that protect creators while fostering technological progress.
#2. Audio Creators Driving Business for the Creator Economy
While video and music creators dominate headlines, audio creators (that is to say: podcasters, audiobook narrators, and voice artists) are an emerging powerhouse in the creator economy. According to MIDiA’s latest report, audio creators are more likely to treat their work as a business and invest heavily in creator tools, spending more per month than any other creator type. However, the market still lacks end-to-end platforms tailored to their needs, creating a major opportunity for toolmakers and tech companies.
As digital audio expands across platforms, the demand for professional tools that streamline recording, editing, and distribution is rising. Most existing tools cater to music and video, leaving a gap for solutions built specifically for audio creators.
#3. Development in Universal Music Group VS Limp Bizkit
Limp Bizkit’s legal battle against UMG is gaining traction, with a federal judge allowing the band’s copyright infringement claims to proceed. The lawsuit, which alleges UMG withheld up to $200 million in royalties, also includes claims of breach of contract, fraudulent business practices, and more. While most of the band’s allegations must be refiled in state courts, the copyright dispute remains in federal court, pending a decision on whether Limp Bizkit can rescind its contracts and regain ownership of its copyrights. UMG has until April 7 to respond.
The case highlights ongoing concerns about artist royalties in the streaming era, as Limp Bizkit claims UMG’s royalty tracking systems were designed to obscure payments. Fred Durst argues that the band, along with potentially hundreds of other artists, has been shortchanged. UMG previously dismissed these allegations as “fiction,” but with renewed interest in Limp Bizkit’s catalog generating millions of streams, the financial stakes—and industry implications—are high.
#4. Music Rights Groups Push for a Collective Model for AI Training
Staying on legal aspects, as generative AI platforms increasingly rely on copyrighted music for training, a coalition of music rights organizations is advocating for a structured licensing framework. The Songwriters Guild of America (SGA), Society of Composers & Lyricists (SCL), and Music Creators North America (MCNA) have proposed a blanket music licensing system that would ensure AI developers compensate rights holders for both ingesting copyrighted works and generating AI-based outputs. Their plan includes sui generis rights for music creators, royalty payments for AI training, and an opt-out mechanism, all overseen by a board where music creators hold a two-thirds majority.
This proposal directly challenges AI companies like OpenAI, which argue that current copyright laws stifle innovation. However, with studies predicting substantial revenue losses for human creators, music industry stakeholders are pushing for clear legal protections and a sustainable revenue model. The plan would require AI platforms to properly license copyrighted music, enforce metadata preservation, and distinguish human-authored works from AI-generated content. If adopted, this approach could reshape how AI interacts with the music industry—ensuring both technological advancement and fair compensation for creators.
#5. Are Vinyls Still All the Rage?
After nearly two decades of continuous growth, vinyl sales may be hitting a plateau—at least in the U.S. RIAA data for 2024 shows a mere 1% increase in units shipped (43.6 million), despite a 6.9% revenue growth ($1.44 billion). While this suggests that vinyl is holding steady, it also signals a slowdown compared to past years, when double-digit growth was the norm. However, considering that U.S. vinyl sales have more than doubled since 2019, the format’s momentum is still significant.
On a global scale, IFPI reported a 4.6% increase in vinyl revenue, with mixed results across markets—modest growth in the U.K. (2.9%) and Italy (6.8%), but a decline in Spain (-3.8%). While superfans and high-profile releases continue to drive demand, this data raises questions about whether vinyl’s rapid ascent is beginning to stabilize. That said, with streaming already experiencing its own plateau, vinyl’s resilience remains a key storyline in the evolving music market.
