The long-running royalty dispute between TikTok and Universal Music Group finally comes to a halt. TikTok and Universal have settled the dispute with a new agreement and some fair terms for both parties.
TikTok & Universal Music Group finally settle dispute on good terms
In the new deal, Universal Music Group and TikTok promise to pay UMG’s artists and songwriters better and explore new ways to promote their music. Of course, Universal’s music will be back on the social media platform dealing with hot waters in the U.S. and Europe (but that’s just another story).
“This new chapter in our relationship with TikTok focuses on the value of music, the primacy of human artistry, and the welfare of the creative community,” said UMG Chief, Lucian Grainge, in a statement. Consequently, TikTok chief Shou Chew commented, “Music is an integral part of the TikTok ecosystem and we are pleased to have found a path forward with Universal Music Group.”
What was the dispute about?
The backstory to the TikTok vs Universal Music Group dispute — now settled — originated in February, when Universal Music Group began pulling music catalogs of performers associated with the label, including top artists such as Taylor Swift, Drake, and Olivia. Notably, the previous licensing agreement had expired on January 31st. UMG claimed TikTok was pressuring them into an unfair deal. TikTok fired back, calling it disappointing and accusing UMG of prioritizing greed over its artists’ interests.
In the present scenario, to borrow from Thanos in Avengers: Infinity War, “Perfectly balanced, as all things should be.” Artists will receive fair pay, and their work will be shielded from generative AI. Both companies are eager to tap into “new monetization opportunities” surges as the fastest-growing social media platform in the U.S. In addition, Gen Zs are increasingly relying on TikTok and others for “Googling” stuff!
2024-05-02 15:05:34