Google’s YouTube platform has signed new deals with two of its most important content providers: Universal Music Group and Sony Music.
Terms of the new agreements were not disclosed, but Universal said it would lead to
“improved content flexibility and growing compensation” for its artists.
Music videos are among the most-watched videos on YouTube, with a recent study showing that more than 40% of the platform’s users watch at least one music video in any given month.
Music videos on YouTube are also important for the platform, because they represent a broadly appealing genre that is also brand-safe for advertisers.
The new arrangements with Universal and Sony (and a deal YouTube signed with Warner earlier this year) suggests that Vevo, a music video service co-owned by Universal, Sony and Warner Music, is set to have its contract renewed with YouTube next year.
Music videos on YouTube are also important for the platform, because they represent a broadly appealing
genre that is also brand-safe for advertisers.