Music Publishing News Roundup 10.31.14: Soundcloud, T.I. + Sony/ATV, TIDAL Hi-Def
Soundcloud is looking to start making money. The Berlin-based online music streaming giant has grown its user base to 350 million since launching in 2007. Up till now, the company has lost up to $29.6 million. Soundcloud currently pays no publishing royalties because they are not making money from advertising like Youtube is. For this reason, they have managed to avoid any legal problems with organizations like NMPA. However, David Israelite of the NMPA has recently said that they may still sue, but are looking for a win win situation. In an effort, to launch their ad-supported streaming smoothly, Soundcloud has hired fore Warner Music executive Stephen Byran as VP of business development.
Rapper and songwriter T.I. has signed with Sony/ATV for a worldwide publishing deal. In addition to covering all future works, this deal also includes his just-released studio album and his share of the cut for "Blurred Lines," the biggest hit of 2013. T.I. has sold more than 14 million albums and 30 million singles worldwide, and has been a lead or featured artist on over 100 singles since 2003. His new album, Paperwork, was released on October 21 on Grand Hustle/Columbia Records and features collaborations with artists such as Iggy Azalea, Usher, and Pharrell Williams.
Hi-def streaming service, Tidal has launched in the US and UK. The service, launched by Scandinavian company Aspiro offers a catalog of over 25 million audio tracks and 75,000 music videos in FLAC and ALAC formats. While most streaming competitors like Spotify and Beats Music offer audio quality at 320kbbps, Tidal offers a high-quality audio experience with 1,411kbps of lossless files. The subscription cost will be $19.99 in the US and £19.99 in the UK. Harry Fox Agency has since signed a licensing and music administration deal with the company in support of their launch.