Sony Music Pulls Adele, Hozier, Miguel, Others Off SoundCloud
May 7, 2015 at 11:36 AM (PT)
The major labels' campaign against free took yet another step today with SONY MUSIC pulling music from over a half-dozen artists from SOUNDCLOUD after the two companies failed to agree on a payment plan. A source recently told BILLBOARD that "a lack of monetization opportunities" was the reason for the removals, which include music by ADELE, HOZIER, MIGUEL, KELLY CLARKSON, PASSION PIT, MS MR and LEON BRIDGES, the latter owing exposure on the service to signing with SONY in the first place.
The company made an attempt at sharing revenue when it debuted on SOUNDCLOUD last summer, ad ad-supported iteration of the service with "free," "paid" and "invite" levels, offering both promotional tools and sponsored content. SOUNDCLOUD insists it has paid out more than $2 million in ad revenue to more than 100 partners in the interim. Before that, SOUNDCLOUD relied on subscriptions, as well as deals with artists and labels, for income, with a $29 million loss in 2013 on $14 million in revenues.
WARNER MUSIC GROUP signed a formal licensing deal with SOUNDCLOUD in NOVEMBER (NET NEWS 11/4/14), while UNIVERSAL MUSIC GROUP reportedly continues in negotiations.
"We will continue to add partners to the program," a SOUNDCLOUD spokesperson told BILLBOARD. "We've always put control in the hands of creators and anyone who makes music and audio can decide when and how they want to share it with fans."