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Snap Finalizes $15 Million Music Licensing Deals with Major Publishers

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Snap Finalizes $15 Million Music Licensing Deals with Major Publishers

Snapchat parent company Snap Inc. has secured licensing agreements with music publishers worth nearly $15 million over two years, according to documents obtained by Digital Music News.

The agreements, structured by the National Music Publishers’ Association (NMPA), guarantee publishers payments based on pro-rata market share calculations following a 90-day opt-in window that closed in March.

Ted Suh, Head of Music Partnerships at Snap, leads the initiative for the social media company.

The licensing deals extend beyond the core Snapchat application to include Bitmoji, Zenly, and associated players, pages, apps, websites, Lens Studio tools, and Messaging products. The agreement is global in scope, with Argentina being the only exception.

NMPA cChief David Israelite confirms this represents a continuation of longstanding licensing arrangements between music publishers and Snap, rather than a first-time agreement.

According to contract terms, any NMPA member publisher can participate in the agreement. However, major publishers including Sony Music Publishing, EMI Music Publishing, Kobalt Music Publishing, Universal Music Publishing Group, Warner Chappell Music, and BMG Rights Management appear to have structured separate contracts.

Non-NMPA publishers must negotiate individual agreements, though sources indicate Snap is not currently entering deals with them.

Legal Considerations and Future Collaborations

The agreement specifies that participating publishers agree not to sue Snap or its users for using musical compositions or lyrics. Digital Music News notes that this contrasts with X, which remains in legal disputes with publishers led by Concord Music Publishing and the NMPA over music licensing.

Snap’s approach potentially paves the way for high-profile artist collaborations, with industry sources suggesting a major artist event with Snapchat may be imminent. At this year’s IAB NewFronts, Snap announced “Under the Ghost,” a new music performance series hosted at the company’s Santa Monica studio that brings performances and conversations directly to the fans.

Snap recently reported Q1 revenue of $1.36 billion, exceeding analysts’ expectations. Despite this performance, the company’s stock declined 13% after it withdrew second-quarter guidance, citing economic uncertainties affecting advertising demand.

Nii A. Ahene

Nii A. Ahene is the founder and managing director of Net Influencer, a website dedicated to offering insights into the influencer marketing industry. Together with its newsletter, Influencer Weekly, Net Influencer provides news, commentary, and analysis of the events shaping the creator and influencer marketing space. Through interviews with startups, influencers, brands, and platforms, Nii and his team explore how influencer marketing is being effectively used to benefit businesses and personal brands alike.

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