Deezer is one of the largest streaming music services in the world, and has more than $100 million in financing. Hans-Holger Albrecht, the new CEO, was just interviewed by the Associated Press.
Ryan Nakashima (Associated Press): What about the push from the artist community that they’re not getting paid enough for streaming?
Hans-Holger Albrecht, CEO of Deezer: The point the artists and we all have to respect is we’re just at the beginning of a huge potential market.
“To draw a conclusion, ‘I don’t have any money today,’ doesn’t mean you don’t get any money tomorrow.”
The worldwide penetration is 2 to 3 percent, in the U.S. I think it’s 3 percent. If it would grow to let’s say 8 to 9 percent, that’s big, big, big upside potential, for us and the artist and the labels as well.
Can I borrow you car today for Zero down?. Hopefully, I can make regular car payments tomorrow and going forward. Fingers crossed. Doubtful.
That’s a good way to put it, but you’d being paying him pennies per day on the car loan to match what streaming pays. Like I have said many times before this modern day music industry need and Abortion and I’m ready to perform it. Who wants to help??? F#ck You Hans-Holger Albrecht!
You can drive a car off a lot without paying the full price, so bad analogy. In fact, most people probably don’t show up with a briefcase full of cash or a check or outright buy a car.
Yes, most people don’t pay up-front for a car… but then if you don’t make the agreed-upon car payments, the car gets repossessed. So it’s more like saying “can I take your car and I’ll start making payments somewhere between 5-15 years from now – we’ll just play it by ear?”
Oh. Okay. Cool. Thanks.
““To draw a conclusion, ‘I don’t have any money today,’ doesn’t mean you don’t get any money tomorrow.””
lol
THERE IS NO “…huge potential market.”
Global limit of all inclusive streaming, with or without Apple/Beats team, is at $20B in 2025!
Inflation adjusted 1999 CDs are worth today $60B.
Considering that we have twice as many artists today we are pursuing smelly and cashless music swamp.
There is still option to convert Spotify, Deezer, Panfora and rest of the streamers and Radio to primitive discovery based $100B music store.
This also include terrestrial Radio functioning as a simple music farm market.
Hans, you are close to Blavatnik, tackle it, it’s good for Deezer and even better for Warner.
I’ll gladly pay you Tuesday for a hamburger today.
deez nuts
^
So how many years do musicians have to wait while streaming companies build their businesses by spending all that vc money?
Well, this just released, a leak of the Sony/Spotify contract with millions of dollars in upfront advances. But, be patient little ones? Stop grabbing your ankles, all artists should pull from Spotify now. http://www.stereogum.com/1802820/leaked-spotify-contract-reveals-sonys-streaming-rates-advances/news/
Since it is boiling down to vinyl and digital bits (audio CDS continue to decline) I expect royalty payments to go up. Wait until the copyright bureau in the US decides how the next five years will roll for publishing rights, etc.
Artists own a key negotiation chip. I hope they all get smarter in their next contract discussions with the record moguls. People have the power.
This modern day music industry needs an Abortion and I’m ready to perform it. Who wants to help??? F#ck You Hans-Holger Albrecht!
The money is there now if only the streaming services would stop removing indie music that begins charting and competing with the equity partners product.
See the conflict? Indie artists will never get paid because major labels have equity shares in the services. The DOJ should open this can of worms.