After a nine-month long dispute over licensing terms, Warner Music Group Corp has finally agreed to return its tracks and music videos to the Google-owned online video platform YouTube, according to media sources.
The two companies are reportedly planning to pen a new deal that would include sharing advertising revenues with YouTube on music videos offered by Warner Group from various artists including Michael Buble and Red Hot Chili Peppers, along with songs uploaded by users.
Back in December last year, Warner Group pulled its songs and music videos from the website, claiming the payments didn’t reasonably compensate the label or its songwriters and artists.
As per the new arrangement, Warner Group will have a larger share of advertising revenues, simply because it’s also taking the onus of selling ads via third party agencies.
Artists will now have their own separate channels that will pave the way for enhanced fan interaction. In addition, it will further let marketers to target a better-defined customer group.
This reported move comes as a huge relief for the fans of Alanis Morissette, Regina Spektor, and Red Hot Chilli Peppers, who have been missing their favourite stars on world’s topmost online video platform. However, an official declaration over such a deal is yet to be made.
Good news for everyone from the songwriters to the copyright owners. It is not known how much money will flow in the coffers of the artists but you can be sure that Google and Youtube will be laughing all the way. Youtube is fast becoming as essential for music moguls as television.
(The Wall Street Journal)