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SoundCloud Merges With Independent Labels

Popular streaming site SoundCloud has reached a deal with more than 20,000 independent record labels according to an article published by the New York Times. And just back in November the site signed a licensing deal with Warner Music Group

These independent labels are represented by Merlin, an agency that manages their digital rights and negotiations. This new deal will allow the labels to receive royalties, which Soundcloud began to pay last year.

SoundCloud founder Alexander Ljung told the Times in a statement, “Independent creators have always been at the core of SoundCloud, and with this partnership we’re thrilled to extend new revenue-generating opportunities to thousands of independent labels” .

Last month, Sony pulled the music of its artists from SoundCloud after a licensing agreement could not be reached. However this new deal seems better suited for SoundCloud and will assist in generating money as well as reaching a new platform in the music industry. 

[Source: PitchFork.com]

[Image Source: Flickr.com]

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Author: Duney Kush

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