Universal Music Group announced on Wednesday that it will stop licensing its music to TikTok. The company also accused the popular short video platform of bullying and intimidating tactics during contract negotiations.
Known for representing mega-stars like Taylor Swift and Drake, Universal Music Group alleged that TikTok is trying to establish a music-centric business 바카라without paying fair value for the music.바카라
TikTok responded by stating that Universal Music Group has prioritized 바카라their own greed above the interests of their artists and songwriters.바카라
The music licensing agreement between UMG and TikTok, which is owned by the Chinese tech company ByteDance, expired on Wednesday, and no new terms have been agreed upon. As a result, UMG may withdraw its music catalog from TikTok.
A short list of Universal Music Group (UMG) artists whose music is set to disappear from the platform includes renowned names such as Taylor Swift, Bad Bunny, The Weeknd, Drake, Billie Eilish, Justin Bieber, Adele, Coldplay, J Balvin, Post Malone, and Sophie Ellis-Bextor.
Notably, Sophie Ellis-Bextor's 2001 track 'Murder On The Dancefloor' gained significant popularity on TikTok, especially after the release of Saltburn.
In an open letter released on Wednesday, Universal Music Group (UMG) highlighted that during contract negotiations with TikTok, they have been advocating for three key concerns. These include 바카라appropriate compensation for our artists and songwriters, protecting human artists from the harmful effects of AI, and online safety for TikTok바카라s users.바카라
Universal Music Group pointed out that TikTok's proposed payment for its artists and songwriters is 바카라at a rate that is a fraction of the rate that similarly situated major social platforms pay.바카라
UMG emphasized that despite TikTok's 바카라massive and growing user base, rapidly rising advertising revenue and increasing reliance on music-based content,바카라 only 1% of their overall revenue is derived from TikTok.
Universal Music Group (UMG) further claimed that TikTok is permitting its platform to be 바카라flooded with AI-generated recordings.바카라 Additionally, TikTok is actively working on tools to 바카라enable, promote and encourage AI music creation.바카라
UMG asserted that TikTok is 바카라demanding a contractual right which would allow this content to massively dilute the royalty pool for human artists, in a move that is nothing short of sponsoring artist replacement by AI.바카라
The music industry has been contending with the emergence of artificial intelligence, which has the capability to create music and even replicate the voices of prominent artists.
Universal Music Group (UMG) also asserted that TikTok has shown limited effort in addressing the extensive amount of content on its platform that infringes on artists' music rights.
바카라When we proposed that TikTok takes similar steps as our other platform partners to try to address these issues, it responded first with indifference, and then with intimidation,바카라 UMG said.
바카라As our negotiations continued, TikTok attempted to bully us into accepting a deal worth less than the previous deal, far less than fair market value and not reflective of their exponential growth. How did it try to intimidate us? By selectively removing the music of certain of our developing artists, while keeping on the platform our audience-driving global stars.바카라
TikTok accuses UMG of 바카라Greed바카라 over Artists
TikTok issued a response to Universal Music Group's allegations on Wednesday.
In a statement, TikTok expressed disappointment, stating, 바카라It is sad and disappointing that Universal Music Group has put their own greed above the interests of their artists and songwriters.바카라
바카라Despite Universal바카라s false narrative and rhetoric, the fact is they have chosen to walk away from the powerful support of a platform with well over a billion users that serves as a free promotional and discovery vehicle for their talent.바카라
TikTok contested Universal's claims and emphasized that they are walking away from a platform with over a billion users, which serves as a valuable free promotional and discovery tool for their artists.
TikTok also noted that it has successfully reached 바카라artist-first agreements with every other label and publisher,바카라 and highlighted their music licensing deal with Warner Music Group from the previous year.
