TikTok versus Universal: Who’s the real loser?

What UMG’s decision to remove its music from TikTok means for artists and fans

Image by: Ali Safadi

If you’re wondering why some TikToks on your For You page don’t have sound, you’re not alone.

On Jan. 30, Universal Music Group (UMG) released an open letter titled “Why we must call time out on TikTok.” In this letter UMG explained the three main reasons the company decided to remove their entire sound catalogue from the social media platform after the two groups failed to reach a licensing agreement.

According to UMG, the group entered contract renewal negotiations with TikTok focusing on three critical issues: appropriate compensation for artists and songwriters, protecting human artists from the harmful effects of AI, and online safety for TikTok’s users.

After failing to come an agreement, UMG, home to artists like Taylor Swift, Drake, Billie Eilish, Bad Bunny, and may more, pulled its music from the popular app.

UMG clarified although they’ve successfully negotiated similar terms with other social media platforms, TikTok refused to engage in compromise with the music conglomerate. The group accused the social media giant of attempting to coerce the company into accepting unfavourable terms by selectively removing the music of certain emerging artists.

As indicated in their letter, one of UMG’s main reasons for pulling their artists’ music from the app is due to its inability to adequately compensate artists. However, if UMG really cared about its artists, they would’ve struck a deal.

UMG’s decisions to pull its catalogue of music off TikTok marks a significant escalation in the standoff between the two giants. TikTok boasts over a billion active users and serves as a powerful platform for music discovery and promotion, and the move raises questions about the implications for both parties and the artists caught in the crossfire.

At the heart of the dispute lies a fundamental clash of interests. UMG, one of the world’s largest music companies, seeks to maximize revenue and protect the value of its extensive catalogues. Meanwhile, TikTok, a social media platform like no other, leverages music as a cornerstone of its platform, driving engagement and user retention.

From UMG’s perspective, the decision to withdraw from TikTok stems from a desire to negotiate more favourable terms, including increased compensation for its artists and better control over how its music is used on the platform. However, this hardball tactic risks alienating artists, particularly smaller ones who may rely heavily on platforms like TikTok for exposure and revenue.

Take Noah Kahan as an example.

Kahan, who was recently nominated for a Grammy and whose number one song “Stick Season” started as a viral TikTok sound, recently posted a video on his account saying he was unable to promote his new song on the platform. He expressed his gratitude for no longer being a “TikTok artist” and ended the video by saying, “I’ll probably be OK, right? I’ll land on my feet, right?”

However, bigger artists like Kahan aren’t the victims.

While UMG wields considerable influence and resources, many of their artists—specifically those newly signed to the label—are left vulnerable, their careers and livelihoods hanging in the balance. As negotiations drag on, they face uncertainty and potential setbacks in reaching their audience and building their fanbase.

TikTok’s unique algorithm-driven approach to content discovery has democratized music promotion, providing a level playing field for artists of all backgrounds and genres to go viral and reach new audiences. For many artists, particularly those outside the mainstream, TikTok serves as a vital lifeline by offering visibility and opportunities that traditional channels often overlook.

By pulling its catalogue, UMG risks stifling this, depriving artists of a crucial platform for connection with fans and building their careers.

Despite the contentious nature of this dispute, it’s essential to recognize the value TikTok brings to the music industry. Far from being a mere platform for lip-syncing and dancing videos, TikTok has emerged as a cultural force, shaping trends and influencing music consumption habits across the globe. The platform’s algorithm-driven recommendation system exposes users to a diverse array of music, broadening their horizons and facilitating the discovery of new artists and genres.

At the end of the day, no one is going to forget about artists like Taylor Swift, Drake, or Noah Kahan.

They will, however, forget about the artists they never knew—the emerging artists trying to break into the industry—who are suffering the most from UMG’s decision to remove their music from TikTok.

Tags

Music, TikTok, Universal

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