Soundcloud Signs Royalty Deal To Pay 20,000 Independent Labels

soundcloud struggles with major labels


Soundcloud has signed a licensing deal to to Pay 20,000 Independent Labels for royalties.

SoundCloud partnered with Merlin, a company that represents 20,000 independent labels and signed a licensing deal with them to pay 20,000 Independent Labels for royalties.This will allow imprints such as Domino, PIAS, Warp Records, Armada Music and Ninja Tune to receive royalties and get paid.

After many fights with the major record labels, This is a great step forward for the music social network and independent record labels. The independent labels will be part of On SoundCloud, a new service that allows them to put advertising around certain tracks and benefit from the resulting revenue. So far Soundcloud has paid out $2m to 100 partners (ie. labels and musicians) since launching in 2014.

Soundcloud release this statement below today:


Today we welcome a significant addition to our roster of On SoundCloud Premier Partners: Merlin. When we started SoundCloud in 2007, one of our chief priorities then, as it remains today, was championing independent artists. The indie community has always been at the heart of SoundCloud, and our deal with Merlin is another way for us to further support the independent community by opening a new source of revenue for them.

As we announced back in March this year, On SoundCloud now has over 100 partners, ranging from bigger labels to emerging independent artists. We’ve continued to bring more partners on board and, from today, the 20,000 independent record labels and distributors who make up Merlin’s worldwide network will be able to join On SoundCloud and select the tracks they want to make available for inclusion. Some of the labels and distributors who have joined today include Beggars Group, Domino, Secretly Group, Epitaph, PIAS, Warp Records, Armada Music, Ninja Tune, Kontor Records and many more.

In just the last month, more than 10 million creators were heard on SoundCloud – helping us to reach a milestone of 100 million tracks uploaded. And for our 175m monthly SoundCloud users, today’s announcement means you should expect to have more opportunities to connect with Merlin’s vast roster of indie labels and artists. You’ll also be able to discover and listen to more new tracks from the best independent label creators on the planet, safe in the knowledge they’ll now have the opportunity to get paid while you listen.




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