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Universal Music Group, the world’s largest music company, said it would revoke licenses for its vast catalog of TikTok songs after its current contract expires on Wednesday if the two companies could not reach a new deal that addressed concerns. from Universal on artist compensation and artificial intelligence. and other issues.
In an open letter published Tuesday night, Universal accused TikTok of responding to its requests with “indifference and then intimidation,” sparking a public dispute in the remaining hours of the existing contract between the two companies. If the talks fail, TikTok users would be unable to use music from Taylor Swift, Lady Gaga, U2, Bad Bunny and thousands of other artists in their videos.
TikTok, owned by Chinese company ByteDance, is one of the most popular and fastest-growing social media platforms in the world, with more than one billion users, and its influence on youth culture around the world is unparalleled. The company says it is used by more than 150 million Americans. For most TikTok users, music is an integral part of the experience, with songs often comically accelerated — playing the short clips that fill users’ feeds.
In its public letter, Universal said that during negotiations it asked TikTok to address its concerns on three issues: compensation for artists and songwriters, online safety for TikTok users and “protecting human artists from the harmful effects of AI.” “. Universal accused TikTok of allowing the platform to be “flooded” with songs created by artificial intelligence, which Universal claims dilutes royalties from real human artists and amounts to “sponsoring the replacement of artists with AI.”
In response, TikTok accused Universal of putting “its own greed before the interests of its artists and songwriters.”
“Despite Universal’s false narrative and rhetoric, the fact is that they have decided to walk away from the powerful support of a platform with over a billion users that serves as a free vehicle of promotion and discovery for their talent.” TikTok said in a statement..
TikTok has existing deals with other major music companies, including one announced last year with Warner Music Group – home to artists including Dua Lipa, Zach Bryan and Cardi B – which the companies say would “create new revenue, marketing and awareness opportunities for WMG’s artists and songwriters, while deepening engagement with the massive audience of passionate TikTok music fans.”
By highlighting the value of TikTok as a “free vehicle for promotion and discovery,” the company touched A common nerve in the music industry.: that technology platforms use music without fair compensation and justify it by claiming promotional value.
TikTok has clear promotional value and for years has been a powerful engine for turning sometimes little-known songs, like Lil Nas X’s “Old Town Road,” into hits, sometimes generating more money for artists on other platforms than they. do on TikTok. And as any TikTok user knows, music is often used as sound wallpaper for comedy sketches, dances, or time lapse pressure washing videos.
Universal’s dispute with TikTok is a sign of the power of the social media platform and its continued importance to the music industry. In the past, major music companies have feuded with Spotify, YouTube and Pandora because each was perceived to be violating copyright law or simply deviating from the music industry’s preferred parameters in licensing agreements.
Now it may be TikTok’s turn to face large-scale content removal. However, as of Wednesday morning, popular Universal songs still appeared to be used in many users’ videos.