Welcome to Music Enterprise Worldwide’s weekly round-up – the place we be sure that you caught the 5 largest tales to hit our headlines over the previous seven days. MBW’s round-up is supported by Centtrip, which helps over 500 of the world’s best-selling artists maximise their revenue and cut back their touring prices.
It’s honest to say that Common Music Group‘s newest monetary outcomes this week introduced excellent news for traders within the firm – and traders in music extra usually.
That’s due to the essential stat that MBW pored over yesterday (March 2), which confirmed that UMG’s annual turnover from recorded music subscription streaming grew by 10.0% year-on-year (at fixed foreign money) in 2022 – sustaining, simply, the double-digit yearly development the music business has grown used to in latest occasions.
Throughout UMG’s complete enterprise (data, publishing, and different actions), the corporate generated EUR €10.34 billion (USD $10.87bn) in 2022, up by a powerful 13.6% YoYat fixed foreign money
Elsewhere, this week, MBW ran an in-depth report on HYBE, its relationship with Scooter Braun, and the motivations behind HYBE America’s $300 million acquisition of US hip-hop specialists High quality Management final month.
Tl; dr? HYBE is determined to dilute its continued business over-reliance on BTS, particularly contemplating the Okay-pop superstars are on hiatus (on account of army commitments) till 2025. May High quality Management be the agency’s golden ticket to rising vital market share in a special world of music?
Additionally reported this week: Deezer, the Paris-headquartered streaming platform, introduced its 2022 FY outcomes. Annual income was up 10.6% YoY to EUR €451 million, whereas working losses stood at €167 million.
Deezer had extra huge information, too: Former Warner exec, Stu Bergen, has joined the corporate’s Board as a Director, succeeding Amanda Cameron (aka: Amanda Ghost), who has stepped down from her obligations with the corporate.
In the meantime, prior to now few days, the US Home International Affairs Committee voted on a invoice that TikTokactually didn’t like, as Lyric Capital, mum or dad firm of Spirit Music Group, raised $800 million in a mixture of funding and senior debt. It’s going to purchase copyrights with the money.
Right here’s a style of what occurred on MBW this week…
Zooming out and taking a look at UMG’s holistic enterprise – throughout recorded music, music publishing, merch, and associated exercise – Common posted full-year revenues of €10.34 billion ($10.87bn) for 2022, up by a powerful 13.6% YoY at fixed foreign money.
In This autumn 2022, these total revenues grew by 8.8% YoY, to €2.942 billion.
A “multi-label construction” which, it says, will “proceed to create music and set up artists that may resonate with our followers”.
Final yr, the corporate mentioned it was “trying to M&As and establishing joint ventures in order that we could broaden on our multi-label construction each in and outdoors of Korea”.
Added HYBE: “We need to [merge with/acquire] varied labels, administration [firms] and every other corporations that pursue companies associated to musical mental property.”
New York-based personal fairness agency Lyric Capital Group, mum or dad firm of Spirit Music Group, has efficiently closed its second fund, with complete commitments of roughly $410 million.
As well as, the agency additionally raised senior debt financing to deliver Lyric’s new deployable capital to over $800 million.
Lyric says that it exceeded its funding goal, with “assist from a various group of latest and current institutional traders”.
Paris-listed streaming firm Deezer has a brand new Director on its Board: former Warner Music Group government, Stu Bergen. The appointment is efficient instantly.
Bergen was previously the long-time CEO of Warner’s Worldwide Recorded Music operations exterior the US and UK. After 14 years at Warner, he left the most important music firm in January 2021.
There’s a long-running hyperlink between Deezer and WMG, after all: Warner Music Group’s controlling shareholder, Entry Industries, can be a shareholder within the music streaming agency.
One other day, one other political hurdle for ByteDance-owned app TikTok.
On Wednesday (March 1) the US Home International Affairs Committee voted to advance a invoice that may successfully give President Joe Biden powers to ban TikTok within the US.
“A U.S. ban on TikTok is a ban on the export of American tradition and values to the billion-plus individuals who use our service worldwide,” mentioned a TikTok spokesperson.
“We’re disillusioned to see this rushed piece of laws transfer ahead, regardless of its appreciable destructive influence on the free speech rights of hundreds of thousands of People who use and love TikTok.”
