YouTube Renews Deal With Sony Music
March 20, 2009 at 5:14 AM (PT)
YOUTUBE has renewed a global licensing deal with SONY MUSIC ENTERTAINMENT which allows it to continue showing music videos of artists like BEYONCE and AVRIL LAVIGNE, reports BROADBANDINDIAMAGAZINE. The deal with SONY, the world’s second largest music company, is important in light of a decision by WARNER MUSIC GROUP to walk away from similar contract renewal talks with YOUTUBE last DECEMBER in a dispute over licensing fees. WARNER asked YOUTUBE to take its music videos down.
A person familiar with SONY MUSIC’s plans said the company still sees great value in YOUTUBE’s huge numbers of users both to SONY’s artists and to the artists’ fans.
YOUTUBE, which is owned by search giant GOOGLE INC, had more than 100 million users in DECEMBER, according to data from COMSCORE, a Web audience measurement service.
Music videos, once a free promotional tool on television, have become one of the fastest growing digital revenue streams for music companies on sites like YOUTUBE and NEWS CORP’S MYSPACE.