Last year, Luis Fonsi and Daddy Yankee’s ‘Despacito’ took the music industry by storm.
After just eight months on YouTube, the popular Spanish-only single overtook Wiz Khalifa’s ‘See You Again’ and Psy’s ‘Gangnam Style.’ The song emerged as the most-watched music video on YouTube.
The version with Justin Bieber received three Grammy Awards nominations for Record of the Year, Song of the Year, and Best Pop Duo/Group Performance at the 60th Grammy Awards.
Not content to stop there, ‘Despacito’ fans streamed the track over a billion times. This came after the song stayed atop the Billboard Hot 100 for a record 16 weeks.
In short, ‘Despacito’ transcended the language barrier and has captured the love and attention of people around the world.
Now, with Latin music on the rise, a billionaire mogul wants in.
$500 million for a Latin and international label.
Haim Saban, head of the Saban Capital Group, has pledged $500 million to launch a new record label.
Dubbed Saban Music Group (SMG), veteran music industry executive Gustavo Lopez will helm the company. In 2017, he exited Universal Music Group after 21 years to launch Talento Uno Music alongside veteran live music promoter, Eddie Orjuela. Saban acquired Lopez’s label in May ahead of SMG’s launch.
According to a press release, SMG will focus on “international A&R, artist development, and strategically supporting a 360 model for artists.” The new label will provide resources, including publishing, management, and recorded music.
So, don’t expect only Latin artists on the label, though they’ll remain a priority.
“Saban Music Group is a Los Angeles-based record label with a worldwide view of the music industry, looking to capture the globalization of music and work with artists who have an international appeal.”
The company has already signed Israeli pop music duo Static and Ben El. French artist Marie Monti has also signed on to the label. SMG has also signed Colombian Reggaeton artist Reykon.
Saban – best known for producing the Power Rangers – first started playing bass and managing Israeli band the Lions of Judah.
Expressing his joy about launching the boutique label, he added,
“It’s with great excitement that I re-enter the music business — not only as a businessman but as someone who is passionate about the art, dedicated to the development of worldwide artists and wants to provide world-class entertainment. I look forward to building this company with Gus and working with artists around the world to fully seize their international appeal.”
Featured image by David McBee (CC0).