Soundcloud Confirms Deal With Sony, The Orchard, RED Distribution [FULL TEXT OF OFFICIAL ANNOUNCEMENT]
Earlier today we reported that Soundcloud has reached a deal with Sony Music Entertainment. Now it's official. Alongside deals with WMG, UMG and Merlin, the agreement paves the way for a Soundcloud paid subscription service later this year. Here is the full text of the announcement:
SOUNDCLOUD ANNOUNCES CONTENT PARTNERSHIP
WITH SONY MUSIC ENTERTAINMENT
Agreement Includes Content From The Orchard and RED Distribution
NEW YORK CITY & BERLIN – March 18, 2016 – SoundCloud, the world’s largest community of music and audio creators with 175 million monthly listeners, today announced a landmark agreement with Sony Music Entertainment that creates a range of new revenue opportunities on SoundCloud for artists signed to SME plus its affiliated and distributed labels, including those distributed by The Orchard and RED Distribution.
This major new partnership provides SoundCloud listeners with access to music from SME’s exceptional roster of emerging artists and global superstars, and supports SoundCloud’s continued investment in monetization, which includes an advertising platform launched in August 2014, and the introduction of subscription services in the US and other markets later this year. SME’s labels and artists will also gain access to SoundCloud’s promotional tools, analysis and data, providing them with new opportunities to generate revenue and to build deeper direct relationships with their fans.
“We are pleased to be making content from Sony Music Entertainment available to SoundCloud’s large user base of highly-engaged, passionate music fans,” said Dennis Kooker, President, Global Digital Business & US Sales, Sony Music Entertainment. “This agreement creates a business framework for the use of Sony Music songs on the SoundCloud platform that meets the needs of our artists and labels, and supports the growth of SoundCloud through its new premium on-demand music tier.”
The deal further strengthens SoundCloud’s unique ecosystem; a place where all forms of music and audio creation can live. With the number of tracks on the platform now totaling over 110 million, the addition of SME’s artist’s repertoire further cements SoundCloud as the largest music and audio platform, allowing anyone to discover and enjoy music from the world’s most diverse creator community.
“Today is of particular significance to us as a company, as the addition of SME means we now have deals in place with all of the major music labels,” said Alexander Ljung, SoundCloud Founder & CEO. “With SME now on board, we continue on our journey building a unique platform, empowering our community of more than 18 million artists at every stage of their careers to share their work and connect with their fans, and enabling listeners to discover and be inspired by new music and audio. We are very excited to be working with SME and cannot wait to see what we can achieve together as we continue to transform the future of music online.”
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About Sony Music Entertainment
Sony Music Entertainment is a global recorded music company with a current roster that includes a broad array of both local artists and international superstars. The company boasts a vast catalog that comprises some of the most important recordings in history. It is home to premier record labels representing music from every genre, including Arista Nashville, Bazmark Records, Beach Street Records, Black Butter Records, BPG Music, Bystorm Entertainment, Columbia Nashville, Columbia Records, Day 1, Descendant Records, Epic Records, Essential Records, Essential Worship, Flying Buddha, Fo Yo Soul Recordings, Freesolo Entertainment, Kemosabe Records, Latium Entertainment, Legacy Recordings, Louder Than Life, Masterworks, Masterworks Broadway, OKeh, Polo Ground Music, Portrait, RCA Inspiration, RCA Nashville, RCA Records, Relentless Records, Reunion Records, Sony Classical, Sony Music Latin, Star Time International, Syco Music, Vested in Culture and Volcano. Sony Music Entertainment is a wholly owned subsidiary of Sony Corporation of America.
About The Orchard
The Orchard is a pioneering music, video and film distribution company and top-ranked Multi Channel Network operating in more than 25 global markets. With a holistic approach to sales and marketing combined with industry-leading technology and operations, The Orchard amplifies reach and revenue across hundreds of digital, physical and mobile outlets around the world. The Orchard streamlines content owners’ business complexity with an intuitive client dashboard, comprehensive rights management and tailored client support. Founded in 1997, The Orchard empowers businesses and creators in the entertainment industry. For further information, please visit www.theorchard.com
About RED Distribution
RED, an award-winning division of Sony Music Entertainment, headquartered in New York City, is widely recognized as the industry leader in music distribution and artist development. RED specializes in digital and physical sales, digital and retail marketing, DTC, radio promotion and product development for more than 60 independent record labels, as well as artists from Sony owned labels and Sony joint ventures with Descendant Records, Ultra Records, Red Bow Records and RED Associated Labels (RAL). RED's marketing outreach is unsurpassed in generating consumer awareness for artists, labels and brand partners. In 2009, RED launched 'stache media, a full service marketing agency specializing in music to support RED releases and artists. 'stache media's expert staff provides marketing services in digital marketing, influencer marketing, advertising, consumer insights, art direction + design, the green room, brand/strategic marketing, publicity, retail marketing, licensing and radio. Sony Music Entertainment's joint venture with The Orchard has expanded RED's reach into international as well as domestic markets.
About SoundCloud
SoundCloud, launched in 2008 by Alexander Ljung and Eric Wahlforss, lets people discover and enjoy the largest selection of music from the world’s most diverse creator community. This is made possible by an open platform that directly connects creators and their fans across the globe. Music and audio creators can use the platform to instantly share their content with a global audience, as well as receive detailed stats and feedback from the SoundCloud community. For more information, go to: (http://soundcloud.com/).
MORE: Soundcloud Signs Sony Music, Runs Out Of Excuses To Better Monetize Content
