Apple has reached a new deal with Warner Music Group, its first agreement with a major label since launching Apple Music, reports Bloomberg.
Warner will provide its catalog to Apple for the iTunes Store and Apple Music. Notably, Apple will pay the label a smaller percentage of sales from Apple Music subscribers than it did under its original agreement.
Apple pushed for a rate cut in this new round of talks after Spotify, the world’s largest paid music service, secured a rate reduction earlier this year. Apple has been paying labels 58 percent of sales, a higher rate than Spotify pays. Apple also traditionally granted publishers a higher rate than its Swedish rival. Apple is now considering giving labels a cut of 55 percent, which would decrease if subscriber numbers met targets.
Apple is also said to be near a deal with Sony Music Agreement; however, a deal between the company and the bigger Universal Music is further off.
Hit the link below for more details...
Read More
Warner will provide its catalog to Apple for the iTunes Store and Apple Music. Notably, Apple will pay the label a smaller percentage of sales from Apple Music subscribers than it did under its original agreement.
Apple pushed for a rate cut in this new round of talks after Spotify, the world’s largest paid music service, secured a rate reduction earlier this year. Apple has been paying labels 58 percent of sales, a higher rate than Spotify pays. Apple also traditionally granted publishers a higher rate than its Swedish rival. Apple is now considering giving labels a cut of 55 percent, which would decrease if subscriber numbers met targets.
Apple is also said to be near a deal with Sony Music Agreement; however, a deal between the company and the bigger Universal Music is further off.
Hit the link below for more details...
Read More