Music News
Week of April 22nd, 2024
Concord vs. Blackstone: Concord offered $1.51 billion to acquire Hipgnosis Songs Fund’s assets, slightly surpassing Blackstone’s $1.5 billion bid. Blackstone advised shareholders to hold off on any actions as they contemplate next steps.
TikTok’s US Challenges: Following the new US law requiring divestment or a ban, ByteDance, TikTok’s parent company, may shut down TikTok in the US rather than sell it without its key algorithm, despite differing reports about selling the operations.
Spotify’s Growth and Profit: Spotify’s subscriber base increased to 239 million, contributing to its largest quarterly profit of $182 million. Following the earnings announcement, Spotify’s stock rose, and CEO Daniel Ek sold 400,000 shares.
Latin Music Revenue Surge: The RIAA reported a 16% year-over-year increase in US Latin music revenues, totaling $1.4 billion, highlighting the genre’s significant market growth.
Believe’s Revenue Increase: Believe reported a 15.9% increase in quarterly revenue to $250 million, driven by growth in paid streaming and price hikes across digital service providers.
Week of April 15th, 2024
Concord’s Acquisition Strategy: Concord is planning to acquire the UK’s Hipgnosis Songs Fund assets for $1.4 billion, supported by Apollo Global Management.
Cutting Edge Group’s Financial Moves: Secured $500 million through debt refinancing to fund acquisitions in music rights spanning film, TV, and other media, aiming for a $1.5 billion investment pipeline.
HYBE’s Innovative Tech: Released Supertone Shift, an AI tool enabling real-time vocal changes for artists, furthering content creation possibilities.
Armada’s Expansion and Investment: After acquiring Cloud 9 Music, Armada Music plans to invest $500 million in the next five years, aiming to grow its music publishing division.
Spotify’s Royalty Controversy: Changed its payout model for mechanical royalties in the U.S., considering Premium subscriptions as “bundles” that include audiobooks, effectively reducing payments to songwriters and publishers, causing friction with the NMPA.