WMG scores new, expanded deal with Meta

The move, confirmed by multiple sources, builds on WMG’s previous agreements with Meta and Facebook from 2018 and 2020. It is expected to enhance exposure and support for WMG’s artists and songwriters across Meta’s platforms. 

“We’re pleased to have renewed our deal with Meta, expanding opportunities for artists and songwriters across all its platforms, and furthering our discussions on the potential of AI,” a spokesperson for WMG told Billboard.

The new deal will facilitate discussions on leveraging AI for music content. Meta’s AI initiative currently has 400 million users each month and aligns with WMG CEO Robert Kyncl’s advocacy for regulations on AI deepfakes in the US Senate. Kyncl has outlined WMG’s strategy for addressing generative AI by focusing on licensing, monetisation, and protecting artists’ rights.

It also follows WMG’s recent restructuring of its Recorded Music operations, appointing industry veteran Simon Robson to lead efforts in Europe, the Middle East and Africa.

WMG has backed African companies like Ziiki Media, Chocolate City, and Africori, boosting artists like CKay and Rema, while also partnering with Nigerian singer Joeboy, South African DJ Yumbs, and Ghanaian label Small World Records. WMG reported robust financial results for the quarter ending 30 June, featuring a 14% increase in net income to $141m, driven by significant growth in subscription streaming and effective cost management strategies. While overall revenue experienced a slight decline of 1%, digital revenue increased by 4.7%, indicating strong demand for recorded music and music publishing, particularly in the streaming sector.

In a related development, rival label Universal Music Group announced a similar deal in August to enhance opportunities for its artists on Meta’s platforms, including Facebook and WhatsApp, building on their 2017 partnership and focusing on fair compensation and addressing AI-generated content issues.

“We are delighted that Meta shares our artist-centric vision for respecting human creativity and compensating artists and songwriters fairly,” UMG chief digital officer & EVP Michael Nash said at the time. “We look forward to continuing to work together to address unauthorised AI-generated content that could affect artists and songwriters so that UMG can continue to protect their rights both now and in the future.”