Record companies aren’t as safe from the economic fallout of the coronavirus pandemic as they might hope, even if their product is mainly digital, says Tim Ingham of musicbizworld
“The business has started to be affected by delays in new music releases, interruptions in supply chains for CDs and other physical music media, and a decrease in music licensing.”that record companies make all of their money from that which gives them their name — records — being sold or streamed.
To get a handle on how much these areas matter to major record companies, I’ve taken a look through the . WMG is unique in music as it publicly reports its quarterly figures, but also doesn’t have a parent company , meaning more detail is available in its numbers.
For a worst-case hypothesis, let’s reduce Warner’s physical income by 60 percent in our Q1 2019 calculation, and the company’s “licensing” income by 70 percent. Already, that would pull down WMG’s quarterly recorded-music total by $128 million , to $805 million — with physical’s three-month tally falling to $52 million and licensing falling to $22 million.
In Q1 2019, Warner’s “Artist Services And Expanded Rights” revenues were $134 million, giving us a rounded per-month average of $45 million.
Still, the bulk of the majors labels’ future fortunes rests on streaming. As we stand, COVID-19 appears to have snipped somewhere between five percent and 10 percent off expected audio streaming volume on services like Spotify, both in the
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Music Business Rallies to Support Record Stores Amid ShutdownsMusic labels and artists like Elton John are getting behind social media campaigns to help protect independent record stores in the U.K. and around the world.
Read more »
Jobless claims to hit record 3.5 million this week, economists say - Business InsiderThe bleakest prediction among those surveyed by Bloomberg was 6.5 million claims, about double the 3.28 million record seen in last week's report.
Read more »
The YouTuber Onision's dad wants to 'set the record straight'For the first time, the YouTuber's father speaks about the controversial content creator's childhood and upbringing.
Read more »
Equal Pay Day more important than ever amid COVID-19“It exemplifies the many reasons women continue to lag behind men when it comes to getting equal pay for equal work.”
Read more »
Rent the Runway lays off retail workers after store closures due to coronavirusDesigner clothing rental company Rent the Runway is laying off retail staff during the coronavirus pandemic.
Read more »
Factbox: Latest on the spread of the coronavirus around the worldCountries affected by the novel coronavirus entered another week of strict quarantine and several nations introduced new economic stimulus to aid citizens and companies hit by the pandemic.
Read more »