From Universal’s $2.46bn in Q1 to the record labels and publishers’ major settlement: It’s MBW’s Weekly Round-Up

Welcome to Worldwide music businessweekly recap – where we’re sure you’ve caught the five biggest stories that will make our headlines over the past seven days. MBW’s round-up is powered by Centtriphelping more than 500 of the world’s best-selling artists maximize their income and reduce their touring expenses.

This week, groups representing musicians, music publishers, and record labels in the United States reached an agreement on the percentage of mechanical royalties paid to musicians to sell physical music as well as downloads.

Since 2006, the mechanical price paid to publishers/musicians for music purchased on physical discs (or downloads) has been set at 9.1 cents per track.

This week’s deal proposes a 32% increase in current royalty rates, to 12 cents per track.

It also stipulates that this musician’s royalties will automatically increase each year over the period of the exchange rate relative to the Consumer Price Index (i.e. the rate of inflation).

The settlement will now be reviewed by the Copyright Rights Division.

Also this week, Universal Music Group announced its financial results for Q1 2022 (three months to the end of March).

Across all of its divisions (including recorded music, publishing and more), UMG posted sales of 2.199 billion euros ($2.46 billion). That was up 16.5% year over year in constant currency, thanks to growth across all revenue segments.

Streaming was UMG’s biggest revenue driver in Q1 2022, with the company’s recorded music streaming revenue growing 14.6% year-over-year in constant currency. to 1.209 billion euros ($1.35 billion).

Giant concert Living country also released its Q1 2022 financial results this week, reporting quarterly revenue of $1.8 billion across all divisions, including concerts, ticket sales, and advertising & sponsorships. aid. Live Nation said it was “the best first quarter ever”.

In other places, SoundCloud acquired the artificial intelligence-powered music company Musiio, while UnitedMasters launched its own beat market called Beat Exchange.

Here’s what happened this week…

1) MAJOR SETTING INK PUBLICATION AND LABELING, 9.1 Cents TO 12 Cents EVERY TRACKING FOR US MECHANICAL COMPANY ON PHYSICAL SALES

Last month, MBW told you about a monumental negotiation going on in the US about some kind of mechanical royalty rate that pays musicians to sell physical music, as well as downloads.

This week, we learned that groups representing musicians, music publishers and record labels have now reached an agreement to negotiate that rate.

The important background to this story is that since 2006, the mechanical price paid to publishers/musicians for music purchased on physical discs (or downloads) has been set at 9, 1 cent per track.

This week’s settlement proposes a 32% increase in the current royalty rate, to 12 cents per track…

2) POPULAR MUSIC GROUP $2.46BN REVENUE IN Q1 2022

Universal Music Group has announced its financial results for the first quarter of 2022.

Across all of its divisions (including recorded music, publishing, and more), the world’s largest music rights holder posted revenue for the three months to the end of March of 2.199 billion euros ($2.46 billion).

This is up 16.5% year over year at fixed prices, driven by growth across all revenue segments….

3) SOUNDCLOUD INQUIRY AI MUSIC COMPANY MUSIIO

SoundCloud has acquired Musiio, a Singapore-based Artificial Intelligence music management company founded in 2018.

The news was first reported by TechCrunch, which reports that SoundCloud plans to use Musiio’s technology to enhance its own music discovery.

Co-founded by Hazel Savage who has previously worked at companies like Shazam, Pandora and Universal Music, which claims to have built AI that can “listen” to music at scale.

4) NATIONWIDE DIRECT SALES INCREASE TO $1.8 BILLION IN Q1 2022, BE A ‘BEST FIRST QUARTER’ DELIVERY COMPANY EVER’

Live Nation announced financial results for Q1 2022 (ended March 31), and on file, the company reports quarterly revenue of $1.8 billion across all divisions, including concerts, ticketing, advertising and sponsorship.

That overall revenue figure grew to the $290.6 million the company announced in Q1 2021, as the broader concert business remained afloat with reduced show numbers due to epidemic.

In a letter to investors, Live Nation CEO Michael Rapino noted that “artists are back and fan demand has never been stronger”…

5) UNITEDMASTERS, VALUED 550M USD, LAUNCHED IN IT’S OWN BEER MARKET

UnitedMasters has announced a new platform to buy and sell beats called Beat Exchange.

Through the platform, UnitedMasters artists now have access to purchase or license beats from both emerging and established producers such as Grammy Award-winning producer Hit-Boy (Nas, Drake , Beyonce) , Turbo (Gunna, Travis ScottLil Baby), and Sham “Sak Pase” Joseph (Kodak Black, Rihanna, SAINt Jhn).

UnitedMasters says their new product is designed to “simplify browsing of beats when looking for specific sounds (genre, mood, instrument, etc.) practice highlighting both established and emerging producers”…

MBW’s Weekly Round-Up is powered by Centtrip, helping more than 500 of the world’s best-selling artists maximize their earnings and reduce their touring costs.

Worldwide music business