Universal’s deal with TikTok expired Wednesday and was not renewed due to apparent disagreements over artificial intelligence (AI) and compensation for artists.
Songs from artists affiliated with Universal will no be longer available in the TikTok library and will be removed from previously posted videos.
Universal said in an open letter Tuesday it was unable to reach a new deal with TikTok after the platform refused to take steps to protect artists from AI and provide them “appropriate compensations.”
Universal said TikTok proposed paying the group’s artists and songwriters “at a rate that is a fraction of the rate that similarly situated major social platforms pay.”
“Today, as an indication of how little TikTok compensates artists and songwriters, despite its massive and growing user base, rapidly rising advertising revenue and increasing reliance on music-based content, TikTok accounts for only about 1% of our total revenue,” the group said in the letter.
In a statement, TikTok pushed back on Universal’s claims and said it has been able to reach “artist-first” agreements with “every other label and publisher.”
“It is sad and disappointing that Universal Music Group has put their own greed above the interests of their artists and songwriters,” TikTok said.
Read more in a full report at TheHill.com.
