New challenges are emerging for players in the music industry. Between TikTok's reconciliation with streaming platforms, the development of a streaming platform at Nintendo and more. Let's see what's happening!
#1. Lily Allen's OnlyFans Move: A Response to Music Revenue Realities
Lily Allen recently made headlines by promoting her OnlyFans account dedicated to photos of her feet. This initiative sparked mixed reactions on Twitter, with some users questioning her value as an artist. In response, Allen claimed that she earns more money on OnlyFans with a thousand subscribers than she does from Spotify, where she has nearly 8 million monthly listeners.
At a subscription price of $10 per month, she could potentially earn around $8,000 monthly. Meanwhile, her Spotify revenue, estimated at $122,000, is distributed unevenly among rights holders. Despite the criticism and misogynistic comments, Allen's decision to turn to OnlyFans highlights the need for artists to diversify their revenue streams in an ever-evolving music landscape.
#2. Music and the challenges of generative AI
While streaming revenues remain modest and thousands of songs are uploaded daily, music synchronization (or “sync licensing”) remains a valuable source of income for artists. However, with the arrival of generative AI tools like Suno and Udio, which are capable of creating new tracks in seconds, this model could be disrupted, offering advertisers a fast and low-cost alternative. Major players like Sony Music and Warner have been quick to respond, pursuing legal action against some of these platforms for using protected content to train their AI models without authorization.
In response to this new context, "descriptive" AI technologies are emerging. Some musictech startups (such as ourselves!) are now using AI to classify tracks according to various criteria, making them easier for professionals to discover and helping boost artists’ visibility. These technologies aim to support the promotion of human-created content, exploring new ways to harmonize technological innovation with artistic creativity.
#3. TikTok Expands Strategy with Album Pre-Save Feature
TikTok continues to strengthen its music strategy by allowing users to add songs they discover on the app to their libraries and playlists on other streaming services. Now, TikTok is testing a new feature: the ability to pre-save entire albums. This "pre-save" button, linked to upcoming albums, allows fans to pre-save music on Apple Music or Spotify.
Currently in beta, this feature aims to help artists promote upcoming albums, which will automatically be added to fans' libraries upon release. This addition reinforces TikTok’s goal of driving music discovery toward other platforms, even after the shutdown of its own TikTok Music streaming service.
At the same time, TikTok faces criticism following its decision not to renew its deal with Merlin, an agency representing independent labels, in favor of offering direct contracts with confidential terms. However, the pre-save initiative is part of TikTok’s broader effort to engage with the music industry, demonstrating the platform's capacity to boost listening on traditional streaming platforms.
#4. Creators’ Organizations Call for Meaningful Implementation of the AI Act
More than 24 organizations representing creators and rights holders have signed a joint statement demanding meaningful implementation of the AI Act to protect their rights against the unauthorized use of their works by generative AI companies. Among these organizations are GESAC, IMPALA, and IFPI.
The statement emphasizes that the AI Act should establish an ethical framework for innovation while supporting the cultural industries in the EU. The signatories stress the importance of ensuring that creators can exercise their rights to prevent abuse and ensure accountability within the AI industry. They specifically urge the European Parliament to translate these standards into concrete actions during the implementation phase.
#5. Nintendo Launches a Music App for Switch Online
Nintendo is innovating by launching an app for its Nintendo Switch Online service, providing subscribers with access to 40 years of soundtracks on iOS and Android. Unlike other gaming companies, Nintendo does not upload its music to Spotify; instead, it offers a streaming service with offline download options. Users can search for tracks by song, game title, or even through screenshots. The app also allows users to create personal playlists, and favorite songs, and receive recommendations based on their gaming activity.
This initiative reflects Nintendo's desire for creative control, following recent crackdowns on YouTube regarding game music. By doing so, Nintendo aims to enhance the value of its content while providing additional benefits to subscribers of its online service.
