Welcome to the MacNN Forums.

If this is your first visit, be sure to check out the FAQ by clicking the link above. You may have to register before you can post: click the register link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below.

You are here: MacNN Forums > News > Mac News > Streaming music services are highest revenue source for Warner Music

Streaming music services are highest revenue source for Warner Music
Thread Tools
NewsPoster
MacNN Staff
Join Date: Jul 2012
Status: Offline
Reply With Quote
May 6, 2016, 02:01 PM
 
Music streaming services have become the largest source of revenue for Warner Music Group, the record label has confirmed. In its second quarter financial results ending March 31, streaming from services such as Apple Music have overtaken both physical sales and downloads from iTunes and other online stores to provide the most recorded music revenue in the quarter, marking the first time a major record label's revenue sources have changed in this way.

Digital revenues for the label increased by 21 percent year-on-year, with Recode noting streaming revenue increased by $72 million in the quarter, half stemming from outside the United States, and seemingly correlating with reports from other industry bodies. While digital helped total revenue for Warner increase ten percent compared to the same period last year, it wasn't helped by losses in both download and physical sales, reduced by $17 million and $6 million respectively.

"These impressive results were driven by outstanding music from our artists and songwriters, the expansion in our global footprint, our leadership in the industry's digital transformation, and excellent execution globally," said group CEO Stephen Cooper. "We are now the first major music company to report that streaming is the largest source of revenue in our recorded music business, surpassing our revenue from physical formats. And this new milestone comes only four quarters after our streaming revenue first topped our download revenue. "

Despite being the highest earner for the label, Warner is still wishing to continue the fight with streaming services to increase royalty payments, especially online venues such as YouTube. "It is imperative that we ensure a fairer correlation between the massive consumption of music via services built around user-uploaded content and the value generated for artists, songwriters, and rights holders," said Cooper in an earnings call. "We have made our views known through our submissions to the European Commission and the US Copyright Office."
     
bobolicious
Mac Enthusiast
Join Date: Aug 2002
Status: Offline
Reply With Quote
May 6, 2016, 03:03 PM
 
"They're the brains that create the songs you love, but don't expect songwriters to be able to make a living by writing hits that get millions of plays on streaming services."

www.cbc.ca/1.3567947

I just say no, and still buy CD @ shows, or lossless bandcamp, supporting the content creators as directly as possible...
( Last edited by bobolicious; May 6, 2016 at 03:47 PM. )
     
Charles Martin
Mac Elite
Join Date: Aug 2001
Location: Maitland, FL
Status: Offline
Reply With Quote
May 7, 2016, 05:21 PM
 
Not a bad plan there, boblicious, and a good way to support the artists you already know you like. I see streaming as a good way to discover other artists, but yes: people should continue to buy CDs or iTunes/bandcamp/et al, if for no other reason than to directly support the artist and to have a "permanent backup" of the music.
Charles Martin
MacNN Editor
     
   
Thread Tools
 
Forum Links
Forum Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts
BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Top
Privacy Policy
All times are GMT -4. The time now is 11:41 PM.
All contents of these forums © 1995-2017 MacNN. All rights reserved.
Branding + Design: www.gesamtbild.com
vBulletin v.3.8.8 © 2000-2017, Jelsoft Enterprises Ltd.,