TikTok Tests Limiting Music Access for Creators
Source: TikTok
TikTok is conducting a test in Australia to limit music access for some creators. Participants in the test will have restricted access to certain music they can use for their videos.
Why TikTok is Testing This
The test aims to evaluate "how sounds are accessed and added to videos.” For months, TikTok and major labels like Universal Music Group, Sony Musc Entertainment, and Warner Music Group have been in disagreement over the value of music on the platform. TikTok sees it as one platform component, while labels argue that music is a big driver of its success. Because of this, labels are seeking higher compensation for their music catalogs. They want to receive a cut of TikTok's advertising revenue based on the number of plays their artists receive across the platform.
According to one label executive, TikTok's current agreements with labels are below industry standards. The executive says that the label should receive "between two and ten times more," which would make the agreement more in line with existing platforms like Meta and YouTube.
What the Outcome of the Test Could Mean
The outcome of the test could help negotiations between TikTok and labels. If the tests show that commercial music doesn't impact the app much, it can help TikTok keep its current agreements the same or even pay less to labels. On the other hand, if the test shows that restricting commercial music impacts how creators use the app, it can help the label get a portion of the platform's advertising revenue.
The test is with a small subset of creators, so the outcome might not be that valuable. However, without testing and looking at content that typically goes viral, it would be hard to argue that commercial music isn't a significant part of the TikTok experience. Some of the biggest trends have been built around songs by both new and established artists. This isn't just the case for TikTok, either. Music is a key part of short-form video content, which is why Meta and YouTube recently launched initiatives that give creators more options for using music while still being eligible for monetization.
The Potential Impact on Creators
Is there a world where neither TikTok nor labels budge, and creators aren't able to use commercial music in their content? Let's hope not. As robust as TikTok's Commerical Music Library is, not being able to leverage popular and trending music would limit creators' creativity and eliminate some of the cultural moments that songs have created on the platform. In addition, many brands struggle with being limited to using commercial-free music in their videos – this could be the same fate for creators if they were limited to the TikTok Commerical Music Library.
