Lyor Cohen is now YouTube’s Global Head of Music. His job includes smoothing out the relationship between YouTube and the music industry that has been severely strained particularly in 2016. Major labels and heavyweights in the music industry have been slamming YouTube over the low rates paid for royalties.
According to RIAA boss Carl Sherman, in 2015, fans have been listening to hundreds of billions of audio and video music streams through on-demand and ad-supported digital services that include YouTube. The problem is the revenues from the digital services were far less than other music services. Sherman has been very vocal about the problem because it is growing worse particularly with the alarming disparity of ad-supported music streams and the revenues generated from the streams.
The basic problem is that YouTube is being seen as a tool for promotions to drive revenue and music consumption but label executives don’t share the perception. They think YouTube is being used as an alternative to services like Apple Music and Spotify that pays more in terms of revenue. Streaming is the biggest source of revenue for the music industry and the YouTube model is not what labels want.
Labels cannot refuse signing deals with YouTube because the digital service has protection against having to pay if the users are posting copyrighted material. On the other hand, a hostile relationship between YouTube and the labels is not good for business. The European Union seems to be receptive to the stand of the music industry. If the EU were to re-evaluate its own “safe harbor” policies, the changes can be quite devastating for YouTube.
Cohen is the major force that will build a more corroborative relationship between the music industry and technologies like YouTube that connects artists to its fans all over the world. By bridging the gap between technology and music, everyone will benefit.
Music is business wherein artists thrive due to hard work and experience. It is the same as teaching in Thailand. If you are not qualified to teach English, you do not get the support you require. Through TEFL courses, you will earn a certification and a guaranteed teaching position.