LUCIAN SOUNDS OFF ON UMG/TIKTOK DEAL

With news breaking overnight that UMG and TikTok have forged a new licensing agreement that will result in the return of Universal artists, songwriters and labels to the platform following a three-month absence, UMG CEO Sir Lucian Grainge has provided further details on the pact in a letter to staff.

"As an organization committed to breaking new ground, driving the industry forward and protecting artists and songwriters from the negative effects of disruptive technology, we expect and even embrace the inevitable conflicts that will result from fulfilling our commitments," he said at the outset. "But ultimately, the point of engaging in such conflicts is to find higher common ground from which progress can be made. I am enormously proud of what our teams and our artists have been able to achieve with TikTok in finding that common ground on which we will build a foundation for a brighter future."

UMG had previously laid out three "critical issues" for resolution in its TikTok dispute: protecting artists and songwriters from the harmful effects of AI and dilution of royalties by a flood of AI content; improving the compensation paid to artists and songwriters; and prioritizing online safety for both TikTok's users and UMG artists.

Per Grainge, the TikTok agreement "will protect the integrity and value of human artistry and ensure that 'fake artist' AI content uploaded by third parties that misappropriates the identities of our artists and infringes upon their right of publicity can be removed." He continued, "This new deal will extend artist protections even further and promote a better environment for authentic artist/fan engagement."

As for improved royalties, the Uni topper informed, "Artist and songwriter compensation will be greater than under our prior TikTok deal, and the total value UMG’s artists and songwriters garner from this partnership will be more closely aligned with other platforms in the social music category. Further, TikTok will implement tools and processes to help address provenance and attribution issues, helping artists and songwriters to more effectively monetize their work."

In the realm of online safety for users and artists, Grainge confirmed that TikTok has "agreed to take steps to address our concerns around platform integrity and the negative impact of social media on its users," adding, "Some of the concerns on our agenda with TikTok will include safeguards such as policies and tools to prevent and remediate hate speech and bullying. Some of the platform integrity measures include important steps to help address deepfakes, infringing and unauthorized content and algorithmic manipulation."

Grainge thanked the industry at large for its support over the past months, "especially those individual artists and songwriters who raised their voices in various forums," concluding, "In particular, I want to express my deep gratitude to all of UMG’s artists and songwriters who, over the last few months, have had to endure having their music removed from TikTok during the dispute. We appreciate how difficult this may have been for some of them and we are so grateful for their willingness to pursue the path we took. I have no doubt that their advocacy—both publicly and behind the scenes—will positively influence the future of the industry for all artists."