The major Universal Music announces the withdrawal of its catalog from the social network TikTok.
When two giants collide, the consequences are serious: Universal Music Group, a global major in the music industry, announced on Tuesday January 30 the withdrawal of its entire catalog from the social network TikTok. In question ? The failure of negotiations around several issues, notably that of the remuneration of artists by the platform. The previous contract between the two protagonists ends this Wednesday.
In an open letter relayed by AFP, Universal Music accuses TikTok of wanting to “build a business based on music, without paying the fair value of the music.” Statements deemed false by the social network preferred by young people, which considers that Universal has “chosen to turn away from the powerful support of a platform which has more than a billion users and which serves as a vehicle for promotion and free discovery for their talents.”
Universal receives, like all platforms playing its catalog and like all music labels, royalties, accusing TikTok of offering “a rate which is only a fraction of the rate paid by the main platforms in a similar situation.” The major adds: “Today, to show how little TikTok pays artists and songwriters, despite its massive and growing user base, rapidly growing ad revenue and growing reliance on music content, TikTok only represents about 1% of our total revenue.”
In 2022, the Chinese social network claimed 1.7 billion users worldwide, including 150 million in Europe for an estimated turnover of $9.4 billion that year. Unless there is a last minute agreement between TikTok and Universal and due to the end of their contract this Wednesday, users of the social network will no longer be able to wiggle their hips on video on Taylor SwiftThe Weeknd, Kendrick Lamar, Eminem, Bad Bunny, Rosalía, Drake, SZA, Justin Bieber, Adele, Billie Eilish, Ariana Grande or Lady Gaga.