TikTok's $12 billion year has music labels ready to cash-in too
There’s no question TikTok is the new Instagram if not the new Google for social media in 2022. So buzz about record labels wanting a bigger slice of the profits pie should be no surprise with the holidays around the corner.
TikTok has music labels wanting to go into the billion dollar bag
Buzz is generating over TikTok feeling the pressure of music companies leaning toward wanting more benefits from green lighting its artists’ music for being used by users.
It’s about to go down 🥊 @universalmusicgroup@sonymusic and @warnermusic are asking for a bigger portion of revenue and advertising money from @tiktok.
When the social media app was on the rise they agreed to pay the labels a flat fee to license music in its users’ videos.
The social media app has started to profit from its popularity. It earned $4 billion in revenue last year and is on track for $12 billion in 2022, according to the research firm @emarketer
TikTok feels as though they shouldn’t have to pay more since they are technically not a streaming service.
The labels are arguing that it is a streaming service because:
- Their parent company @bytedance owns music streamer @resso.
- The company recently registered to trademarked a “TikTok Music” app.
- It’s @soundon feature allows artists to upload and earn royalties on their music
- They have began hiring people to sign and develop new artists.
Do you think TikTok should have to pay more money?🤔
