Snapchat Finalizes Music Publisher License Agreements
The social media app known as Snapchat has signed an agreement that finalized a broad number of licenseing agreements with major music publishers.
According to reports, Snapchat owner, Snap Inc. is signing deals with a bevy of music publishers under deal terms structured by the National Music Publishers’ Association (NMPA). For those who enjoy counting Benjamins, this could be a juicy revenue of almost $15 million over the next two years.
This is the latest in a string of licensing agreements involving Snap, a decision that removes the need for those pesky, multi-year lawsuits. That hasn’t been so with X (Twitter), which has refused to pay for music licensing and remains locked in a legal battle with major music publishers led by Bob Valentine’s Concord Music Publishing and the NMPA.
Snap’s more helpful stance could be paving the way for some high-profile artist collaborations ahead. In that light, which massive artist is planning a major even with Snapchat very soon. This is simply the latest re-up of a longstanding licensing agreement, meaning the terms were ironed out years ago and inked multiple times. Shifting to the dollar amounts involved, the blanket agreement covers a two-year span and a guaranteed pot of $14,660,010. The opt-in agreement window lasted in March after a 90-day window, and participating publishers will claim their share of the purse based on a pro-rata, market share calculation.
Beyond the core Snapchat app, the licensing agreement also covers Bitmoji and Zenly and associated players, pages, apps, websites, tools like Lens Studio, and Messaging products though it looks like Snapchat kitchen sink isn’t included.
Ted Suh, Head of Music Partnerships at Snap, appears to have been quarterbacking the deal for the social media platform. Snap declined to comment on the licensing agreement.
For everyone else, the deal flexes the NMPA’s muscle and its representation of a broad swath of the global music publishing industry. What about those who aren’t members of the NMPA? According to more information spilled to DMN, non-NMPA punishers will have to strike their own agreements, though we’ve also learned that Snap flat-out isn’t doing deals with them.
The NMPA opt-in itself is global in scope, with Argentina the only exception.