WEDNESDAY 5 APRIL 2017 | COMPLETEMUSICUPDATE.COM | ||||||||||||||||||||||||||||||||||||||||||
TODAY'S TOP STORY: Spotify and Universal Music yesterday confirmed that they had finally inked a new multi-year licensing deal after long drawn out negotiations that could now be turned into some kind of opera. With Universal Music boss Lucian Grainge dressed in his knight's armour throughout and Spotify chief Daniel Ek delivering all his lines falsetto. I'd buy tickets... [READ MORE] | |||||||||||||||||||||||||||||||||||||||||||
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Universal Music signs new licensing deal with Spotify As much previously reported, Spotify needs new multi-year licensing deals with all the big music rights owners before it goes to Wall Street with its IPO. It also needs to ensure that its original business plan of keeping 30% of revenue is in tact, despite recent efforts by the music publishers to increase the share of digital income they receive. That chiefly means getting a better rate from the record companies. Although the labels and publishers have no interest in the Spotify IPO tanking - what with the majors and Merlin-repped indies having equity in the business, and the recent growth in the recorded music market being mainly down to subscription streaming services of which Spotify is the biggest - at the same time, the rights owners know that their negotiating power will likely decrease post Spotify's flotation. Hence the driving of a hard bargain on Universal's part, the slow and tortuous deal negotiations, and the very dramatic last minute jousting tournament between Grainge and Ek in which no one held back. But whose lance hit its target first? As expected, Universal gets itself some windowing as part of the new deal, with the label now having the option to keep new releases off Spotify's free service for the first two weeks of release. Such windowing - seen by many at the labels as an incentive for freebie streamers to upgrade to premium - has been long discussed in the music community, and has seemed inevitable for some time. Of course, if the windowing really does persuade free users to go premium, Spotify wins too. Though the streaming service has been hesitant of stripping back its free offer to date, mainly because it fears freemium subscribers might switch to YouTube or piracy services, and Spotify relies on its free userbase as the key marketing channel via which to upsell premium. Confirming windowing was a key concession made to Universal in the new deal, Ek warbled yesterday: "We know that not every album by every artist should be released the same way, and we've worked hard with Universal Music to develop a new, flexible release policy. Starting today, Universal artists can choose to release new albums on premium only for two weeks, offering subscribers an earlier chance to explore the complete creative work, while the singles are available across Spotify for all our listeners to enjoy". As for the other kickbacks provided to the mega-major in the new deal, Ek and Spotify were less specific, except to say that "the new agreement will also provide Universal with unprecedented access to data, creating the foundation for new tools for artists and labels to expand, engage and build deeper connections with their fans". In terms of the specific financials - the new revenue share arrangement and any accompanying advances and minimum guarantees - those are, of course, top secret. Because imagine if a Universal-signed artist actually knew how their music was being monetised by the world's biggest streaming service! The sky would surely fall in and not even Grainge's trusty sword could save us all. "Working hand in hand with these digital services brought us the industry's first real growth in nearly two decades", boomed the Universal boss when confirming the new Spotify deal yesterday. "Our challenge now is transforming that upturn into sustainable growth. In a market this dynamic, one evolving more rapidly than ever before, success requires creative and continual re-evaluation of how best to bring artists' music to fans". As previously reported, sources say that Universal has agreed to offer Spotify more preferential rates, but that is dependent on the streaming service achieving certain growth targets. The major will also be hoping that the increased flexibility on releases, and extra data and marketing benefits, will help it maximise streams and therefore royalties on Spotify itself, as well as boosting revenue opportunities elsewhere. Meanwhile, it remains to be seen how quickly the other labels and publishers sign up to the kind of multi-year deals Spotify needs for its IPO. I'm planning on turning the Sony negotiations into a Brechtian play. | |||||||||||||||||||||||||||||||||||||||||||
Rick Ross pleads no contest to kidnapping charges As previously reported, Ross and his bodyguard Nadrian James were accused of attacking two of his employees - Jonathan Zamudio and Leo Caceres - at his home in Atlanta, Georgia in 2015. The incident apparently occurred after Zamudio and Caceres held a party at the house without Ross's permission. The rapper attempted to employ various tactics to have the case dismissed, the last immediately before entering his plea. When that failed, both he and James pleaded no contest to the charges against them. Ross also pleaded no contest to marijuana possession charges. Both men were given five years' probation, in which time they are not allowed to contact Zamudio and Caceres. They are also barred from using drugs or alcohol, and will have to attend anger management classes. "The resolution to the case was reached after discussion with the prosecution team, victims and law enforcement", said Fayette County District Attorney Benjamin D Coker, according to the Atlanta Journal-Constitution. "It was the best resolution to the case considering the facts and circumstances at hand". Outside the court, Ross said that he respects and appreciates the ruling. | |||||||||||||||||||||||||||||||||||||||||||
Lords call for extension of agent of change principle As previously reported, this is the rule that if a developer puts a new residential property next to an existing live music venue, they must take responsibility for ensuring there will be no resulting noise issues once the new residents move in. The principle aims to overcome the phenomenon where the cultural community revitalises an area of a town or city, property developers then capitalise on that by building new flats, and then complaining residents in those new properties cause licensing headaches for the venues that enticed them to that part of town in the first place. The Lords committee that has been reviewing the licensing rules that impact on gigs and venues said that the 2012 Live Music Act - which aimed to simplify the licensing process for smaller gigs - was working largely as intended. They also said that the appointment of 'night czars' in cities to focus on the local night-time economy - like London's Amy Lamé - was a good thing. In terms of proposed changes, extending the agent of change principle was a key recommendation. The UK government has actually already committed to boost agent of change style protections via the National Planning Policy Framework, though the Lords recommendation - if followed - could further protect venues from new property developments resulting in noise complaints. The Lords also proposed that the 'late night levy' - an extra tax local authorities can charge licensed premises which open late into the night - should be abolished. The parliamentary report argued that the levy, where employed, was a burden on pubs and clubs, and wasn't contributing to local policing costs as had been originally intended. Welcoming the report, UK Music boss Jo Dipple said: "UK Music asks government to take forward the Lords suggestion that a full 'agent of change' principle for planning and licensing guidance be introduced. If implemented, recommendations to introduce an agent of change principle and ditch the late night levy will make a big difference to the provision of music across the UK's cities and regions". However, Dipple noted that one new measure her organisation has been lobbying for was not backed in the report. That's the proposal that 'cultural benefit' be added as a criteria for consideration when local councils are reviewing event licensing applications. Lord Tim Clement-Jones proposed adding that extra criteria via the Policing And Crime Bill last year, but the government argued that it wasn't necessary. On that proposal, which is not backed in the new Lords report, Dipple said: "A proposed 'fifth objective' for licensing decisions, which would enable local authorities to weigh up positive cultural impacts, would also have helped [the provision of live music] and it is a pity the committee did not accept this". | |||||||||||||||||||||||||||||||||||||||||||
AC/DC's Brian Johnson to present Sky Arts show The first 'A Life On The Road' show will air on 28 Apr and feature Roger Daltrey. As well as the Who vocalist and Elliott, Johnson will speak to Metallica's Lars Ulrich, Pink Floyd's Nick Mason, Sting and Robert Plant. | |||||||||||||||||||||||||||||||||||||||||||
Five updates on the CMU@TGE Royalties Conference 1. How exactly do you license a global streaming service? Digital music expert Becky Brook has navigated the complexities of music licensing across the globe on behalf of large blue chip companies, and will talk us through the different deals a streaming platform must do with the music industry in order to go live. And if you think recording rights are tricky, wait till we get to the publishing rights! 2. What's going down in Europe? The European Union is busy revising its copyright regime for the digital age via an all-new Copyright Directive. European IP law specialist Sophie Goossens will tell you which elements of that directive will impact on music, and how things are shaping up as of May. 3. Direct licensing in live. We're pleased to confirm that rights management expert Maria Forte will be joining our conversation on direct licensing in live. CMU's Chris Cooke will explain why some artists are now leaving the collective licensing system when they go on tour, before discussing the pros and cons of this approach with both Maria and Adam Elfin of PACE Rights Management. 4. The ins and outs of TV sync. We're also pleased to announce that Stacey Mitsopulos, Director Of Commercial & Business Affairs at The Box Plus Network, will be discussing the ins and outs of music on TV, from a rights and royalties perspective. She'll be joining CMU's Chris Cooke and Sentric Music's Simon Pursehouse as part of the session 'When Music Gets Synchronised'. 5. Get up to speed before the event. For the first time this year, we will be offering some CMU Insights ahead of the conference so that delegates can learn the basics that will help them get more out of the debates on the day. Attendees will be able to access an exclusive pre-event CMU Insights online seminar via the TGE Industry Extra service. Signed up delegates should look out for more information about all this soon. | |||||||||||||||||||||||||||||||||||||||||||
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Fall drummer seriously injured in "horrific assault" An update on a Fall fansite suggests that Melling had stepped in to break up an altercation with another passenger before the two attackers turned on him. The two men repeatedly stamped on his head, leaving him in a pool of blood when they left the train at Smithy Bridge in Rochdale Police have released a CCTV image of two men they want to speak to in relation to the attack. Investigating officer DS Stephen Kite said in a statement: "This was a horrific assault. The behaviour of the two suspects who fled the area makes me believe they are not residents of Smithy Bridge. They seemed lost and confused so it is likely they intended to stay on the train until a later destination. Therefore, we would also like to appeal to people from Blackburn and other areas who may know who these men are". Melling is now recovering from his injuries at home. Anyone who believes they have information relevant to the attack is asked to contact British Transport Police by texting 61016, or calling 0800 405040 quoting reference '572 of March 27'. You can also contact Crime Stoppers anonymously on 0800 555111. | |||||||||||||||||||||||||||||||||||||||||||
Beth Ditto announces debut solo album The record comes six whole years after her debut solo release, a Simian Mobile Disco-produced EP. While that saw her take a route into dance music, the album goes in an entirely different direction. Speaking about the inspiration for 'Fake Sugar', she says: "[Previously] I was running away from the bad parts of Southern culture [but] I'm old enough now and so grateful for my family that I can finally embrace the good in where I grew up". You can catch Ditto live at Omeara in London next week, on 11 Apr. Here's first single, 'Fire'. -------------------------------------------------- Mew release new single from Visuals "This song took shape during a long jam session, like we hadn't done in a long time", says the band's Jonas Bjerre. "It's a joyful song, with dark lyrics. I guess the song is about being confused, and unable to keep your mind still from all the stuff that floats around it. The expectations we put on ourselves. But also there's a sense of celebration in it". Watch the video for 'Twist Quest' here. -------------------------------------------------- UNKLE to release new album "I hadn't made a record in a long time, and the incarnation of UNKLE had changed in that now, it was me on my own", says Lavelle. "For that reason, I wanted to make a record that I hadn't been able to before, going back to the roots of where I came from, with a foot in modern London". Among the guests featured on the record are Mark Lanegan, Primal Scream's Andrew Innes, poet Keaton Henson, The Duke Spirit's Liela Moss, and Eska. And here's the new video for 'The Road', featuring Eska. | |||||||||||||||||||||||||||||||||||||||||||
Ole, Regina Spektor, Jorja Smith, more Other notable announcements and developments today... Â Toronto-based music rights firm Ole has announced a deal with Canadian broadcaster Bell Media, which sees the music firm manage and administer the media company's in-house catalogue of musical works. Bell Media hopes that the deal will grow the international exploitation of its music rights. Â A new trade organisation for music supervisors in the UK and Europe you say? You bet. It's called the UK & European Guild Of Music Supervisors and it will officially launch at Metropolis Studios in London tomorrow. Lovely stuff. Â Public Service Broadcasting have released a video for new single 'Progress'. Â There's a new Sleep Party People album, called 'Lingering', coming out on 2 Jun. About time too. Here's first single 'The Missing Steps'. Â Noga Erez has released the title track from her debut album, 'Off The Radar', which is out on 2 Jun. Â Regina Spektor will be touring the UK this summer, ending with a show at the Hammersmith Apollo on 9 Aug. Â The Drums have announced a short UK tour in October, finishing up at the Shepherds Bush Empire in London on 7 Oct. Â Jorja Smith will play her biggest headline show to date at Electric Brixton on 20 Jul. | |||||||||||||||||||||||||||||||||||||||||||
Ed Sheeran is making you fat The study was carried out in Sweden at a mystery American burger chain, reports The Guardian. Analysing nearly two million sales, researchers found that certain songs could boost sales of burgers by 8.6%, chips by 8.8% and desserts by as much as 15.6%. "Music triggers associations in our brain", says consumer behaviour expert Philip Graves. "The way in which we process our environment is primarily unconscious. What gets passed through to us is a feeling, and that feeling is then misattributed to the thing we are looking at. [The result is that] we like that thing more". Spotify-backed start-up Soundtrack Your Brand recently raised $22 million for international expansion, so this study is seemingly timed to lay some groundwork for that (it's clearly no coincidence that the brand chosen for the study was an American burger restaurant). The company's head of music Magnus Rydén says: "When you're curating for a business, it's important to really understand them. It's about expressing that brand through music. Once we've got the parameters right, it comes down to our daily sourcing of new music". That said, he also admits that his team have as yet failed to find "the perfect burger-and-shake tune", but says that Ed Sheeran's 'Shape Of You' works particularly well in getting people to buy more food. | |||||||||||||||||||||||||||||||||||||||||||
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