U.S.-based Universal Music Group struck a deal with Chinese music streaming service NetEase Cloud Music, the two music companies announced Monday.
TL;DR
- Universal Music Group has signed a new multi-year licensing agreement with NetEase Cloud Music.
- The deal allows music by UMG artists including Taylor Swift to be streamed on NetEase’s platform.
- The agreement includes provisions covering artificial intelligence use in music.
- Terms of the deal were not disclosed.
What’s Happening
The multi-year license agreement enables UMG-signed artists like Taylor Swift to have their music available for streaming on NetEase Cloud Music in China. The two companies first entered into an agreement in 2020 that was similar to Monday’s deal. Specific financial terms and conditions of the new licensing pact were not disclosed. The agreement includes provisions and terms on artificial intelligence that both companies said reflect a “shared commitment to responsible AI practices that support and protect the music and artists that UMG represents.”
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What They Said
“We are thrilled to expand our partnership with NetEase Cloud Music to further introduce UMG’s unrivaled artist roster and music catalog available to Chinese music fans,” said Timothy Xu, CEO of Universal Music Greater China, in the statement.
The Bigger Picture
Universal Music Group is one of the major global music labels with a roster of international artists including Taylor Swift. China represents one of the largest streaming markets globally, and major labels have been expanding licensing deals with Chinese platforms to grow legal digital music consumption. NetEase Cloud Music is a leading music streaming service in China that has previously worked with international music rights holders.
What’s Next
UMG and NetEase Cloud Music did not provide specific future plans in their announcement beyond expanding access to UMG’s catalog and working on responsible artificial intelligence practices in music.
