UMG and TikTok close licensing deal after three-month hiatus

Universal Music Group (UMG) and TikTok have entered into a new licensing agreement that will soon bring UMG's catalog of millions of recordings and songs back to TikTok after three months off the platform. While it's unclear exactly when all of UMG's catalog will return to the app, a press release about the new license says it will return “in due course” and the two companies are “working quickly” to bring the music back.

UMG's last license with TikTok expired at the end of January, after negotiations between the two companies deteriorated. UMG announced that its music would be pulled from the app from February 1 in a letter to its artists and songwriters, saying that TikTok refused to pay the “fair value” of the music and that it had concerns about TikTok's attitude on artificial intelligence and artist safety. .

Finally, during February, millions of recordings and compositions in the UMG catalog were removed from TikTok, known as perhaps the most effective artist promotion and marketing platform of the 2020s. This included the removal of superstars such as Taylor Swift, BTS, Drake, Ariana Grande, The Weeknd, Lady Gaga, Lana Del Rey, Billie Eilish, Eminem, Nicki Minaj, Justin Bieber, Karol G and Post Malone. Its impact was further extended when UMG's publishing interests were also removed from TikTok, which included many recordings released by other record companies.

According to a press release about their new agreement, UMG and TikTok will now enter a “new era of strategic collaboration” and that the deal “enhances remuneration for UMG and artists, new promotional and engagement opportunities for recordings and their songs and industry-leading protections in relation to genetic artificial intelligence.'

The two companies will now work together to realize more monetization opportunities within TikTok's e-commerce services, which the short-form video app has been leaning towards in recent months, particularly with the launch of the TikTok Shop. TikTok will also invest “significant resources to build artist-centric tools.” This will include integrating ticketing capabilities and better data and analytics.

To address UMG's concerns about artificial intelligence and artist security, the press release states that the app will enhance security for artists and fans, and that the two companies will work together to remove unauthorized music that generated by AI from the platform. Ever since anonymous TikTok user Ghostwriter used the platform to release his song “Heart On My Sleeve” last year, which featured the AI ​​voices of Drake and the Weeknd, TikTok has been a destination for AI voice parody songs, including of a highly popular authentic sound. which combined the voice of an AI Lana Del Rey with Mitski's “My Love Mine All Mine.”

TikTok will also “improve artist and songwriter performance” as part of the deal, which will ultimately help UMG's talent get paid for uses on the platform.

Lucian Grainge, chairman and CEO, Universal Music Group, says of the deal: “This new chapter in our relationship with TikTok focuses on the value of music, the primacy of human artistry and the well-being of the creative community. We look forward to working with the TikTok team to advance the interests of our artists and songwriters and drive innovation in fan engagement while driving social music monetization.”

Shou Chew, CEO of TikTok, adds: “Music is an integral part of the TikTok ecosystem and we are delighted to find a path forward with Universal Music Group. We are committed to working together to drive value, discovery and promotion for all of UMG's amazing artists and songwriters, and to deepen their ability to grow, connect and interact with the TikTok community.”

All ObermanTikTok's Global Head of Music Business Development, says: “We are happy to welcome UMG and UMPG back to TikTok. We look forward to working together to forge a path that creates deeper connections between artists, creators and fans. In particular, we will work together to ensure that AI tools are developed responsibly to enable a new era of musical creativity and fan engagement while protecting human creativity.”

Michael NashChief Digital Officer and EVP, Universal Music Group says:” Developing transformational partnerships with influential innovators is critical to UMG's commitment to fostering an environment in which artists and songwriters thrive. We are pleased to renew our relationship with TikTok based on significant advances in commercial and marketing opportunities, as well as protections provided to our industry-leading roster on their platform. With the ever-evolving ways in which social interaction, fan engagement, musical discovery and artistic ingenuity converge on TikTok, we see great potential in our partnership going forward.”