Universal Music Group (UMG)one of the world’s leading music entertainment companies, and TikTokhave reached an agreement on the payment of rights that would allow songs by artists like Lady Gaga or Taylor Swift can be heard again on that social network.
In a statement, UMG announced this new “multidimensional licensing agreement that will provide significant benefits” to both companies and “will return their music to the billion-plus global community that comprises TikTok“.
Both companies had disagreed over the royalties paid by TikTok to the American multinational and UMG withdrew last January the license so that the music of its artists could appear on this platform.
UMG even published an open letter accusing TikTok, based in Shanghai, Chinaof “trying to build a business based on music, without paying a fair value for it.”
In a statement, the music industry giant then announced that it was ready to withdraw the platform’s access to the songs of its artists, including superstars like Taylor SwiftBad Bunny or Rosalíaas of January 31, which was when the contract with TikTok expired.
The now-announced agreement marks “a new era of strategic collaboration between the two organizations, based on a shared commitment to helping UMG artists and songwriters realize their creative and commercial potential,” the note noted.
Read more: “Don’t fight”: TikTok users react after the first day without Universal music
Lucian Grainge, president and CEO of Universal Music Group, said in the note: “This new chapter in our relationship with TikTok focuses on the value of music, the primacy of human art and the well-being of the creative community.”
“We look forward to collaborating with the team at TikTok to promote the interests of our artists and songwriters and drive innovation in fan engagement as we advance the monetization of social music,” he added.
In this way “the fans of TikTok can look forward to the return of UMG’s recorded music and publishing catalogs and once again enjoy creating videos using music from some of the most important artists and composers in the worldas well as exciting emerging talent.
UMG owns the rights to music by legendary and current artists from The Beatles, Bob Dylan, Elton John or Justin Bieber, Adele, Coldplay, Bad Bunny or Rosalía.