WASHINGTON.- The group Universal Music warned this week that it would remove its songs from TikTok, after a breakdown in talks with the video platform over issues such as compensation for artists and songwriters.
In an open letter, Universal accused TikTok of trying to build a business based on music without paying a fair value for the music.
Both parties have discussed the terms of a new agreement prior to the expiration of the existing contract this Wednesday, January 31.
But the contract has not been renewed.
Among the issues that have been discussed are appropriate compensation for artists and songwriters, digital security for users, and protection for artists from the harms of artificial intelligence, the letter adds.
Intimidations against Universal
“TikTok tried to intimidate us into accepting an agreement for less value than the previous one, very far from the fair market value and that does not reflect its exponential growth,” Universal detailed.
The biggest music companies earn royalty payments from streaming platforms. streaming and social networks.
However, Universal said TikTok proposed paying a fee that is a fraction of what similar major social platforms pay.
In a statement, TikTok said it was sad and disappointing that Universal Music Group had put its greed above the interests of its artists.
The social network described Universal’s claims as false and added that the label decided to abandon the powerful support of a platform with more than 1,000 million users that serves as free promotion and a vehicle to discover new talents of its kind.
A person with knowledge of the matter told AFP that all music licensed by Universal will be removed from TikTok in the coming days, starting on January 31.
According to the source, TikTok has agreements in place with all other major and independent record labels.
“TikTok is not a platform streaming musical and should not be treated as such,” the source said, noting that users cannot play full songs on TikTok and are limited to 60 seconds of music in their videos.
Despite the huge user base, TikTok accounts for only about 1% of Universal’s total revenue, the label said.
Taylor Swift and The Weeknd are some of the artists in Universal’s portfolio.
TikTok, owned by the Chinese company ByteDance, has more than 1 billion users.
FUENTE: AFP
