Streaming wars
Association of Independent Music (AIM) won’t endorse Apple Music deal
Independent labels are being approached directly by the service.
The UK’s Association of Independent Music (AIM) has publicly stated that it wouldn’t support an Apple Music deal, under its current terms.
Apple’s new streaming platform, due to launch on 30th June, begins with a three-month free trial period. As previously reported, no royalties would be paid out to rights holders, because Apple doesn’t provide an equivalent to Spotify’s freemium option.
Earlier this week, reports emerged suggesting that Apple Music was struggling to strike deals with independent labels. Merlin - the body that represents over 20,000 labels, recently reaching agreements with Soundcloud - is not being consulted, on this occasion. This is because the majority of the labels it represents agreed previous deals with Apple years back, through its introduction of iTunes.
As CMU reports, this has led to A2IM and AIM stepping in and publicly giving their stance. In a letter to members, the organisation’s boss Alison Wenham said: “The speed at which Apple has introduced their plans and its lack of consultation with the independent music sector over deal terms (despite what [Apple Music overseer] Jimmy Iovine might claim) has left us with the uneasy feeling that independents are being railroaded into an agreement that could have serious short-term consequences for our members’ interests.”
She continued by saying: “Each individual member of AIM must, of course, make their own decision whether or not to sign this agreement, but many members have already expressed very real concerns about the consequences of doing so, hence our communication to the whole membership. It is AIM’s view therefore that, in its present form, this agreement sadly does not meet a standard of commercial fairness that we can endorse.”
For indies, alternative option to striking deals now is to hold off until October, when the three-month trial expires for the majority of users.
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