Warner Music Group and TikTok Ink Expanded, Multi-Year Licensing Agreement

variety.com:

Ellise Shafer Warner Music Group and TikTok have announced a first-of-its-kind partnership to expand the licensing agreement of Warner Recorded Music and Warner Chappell Music to TikTok, TikTok Music, CapCut and TikTok’s Commercial Music Library.

The multi-year, multi-product deal will “expand the level of partnership, collaboration and innovation between the two companies,” according to a press release. “It will create new revenue, marketing and insights opportunities for WMG’s artists and songwriters, while deepening the engagement with TikTok’s huge audience of passionate music fans.” It also includes a licensing deal for TikTok Music — the app’s newly launched streaming service that is now only available in Brazil and Indonesia, but has plans for growth in other markets — and CapCut, TikTok’s video-editing sister app.

The agreement will allow Warner Music Group to use TikTok’s revenue generation and promotional abilities, as well as work with their brand partners.

The deal will allow for joint development of economic models, and provide monetization features like merchandise, ticketing and digital goods to WMG artists and songwriters. “We are happy and excited for our next chapter together with TikTok,” said Robert Kyncl, CEO of WOMG. “Through this expanded and significantly improved partnership for both companies, we can jointly deliver greater value to WMG’s artists and songwriters and TikTok’s users.” Shou Chew, CEO of TikTok, said: “We are very excited to partner with Warner Music Group to create a shared vision for the future in which artists, songwriters, music fans and the industry can all benefit from the power of discovery on TikTok platforms.”