The two music power players completed a licensing agreement that will allow SoundCloud to post music from artists signed to the label. This deal further legitimizes SoundCloud’s place among the big players in the music industry following several other recent licensing agreements with Warner Music Group, Universal Music Group and Merlin. The deal will also give SoundCloud the freedom to launch their paid subscription service that has been in the works for quite some time.
This agreement creates a business framework for the use of Sony Music songs on the SoundCloud platform that meets the needs of our artists and labels and supports the growth of SoundCloud through its new premium on-demand music tier.
– Dennis Kooker, Sony’s President of Global Digital Business and United States Sale
Sony has developed a reputation in the dance music community for removing the music of their artists from the streaming service, sometimes against the artist’s will. In addition, remixes and mashups that have included material from major label artists have fallen victim to the strict copyright rules. This agreement is good news for all music listeners, even if it means paying for SoundCloud’s services in the near future. It is a small price to pay for access to the music of major label artists as well as the incredible wealth of remixes and mashups soon to be at our fingertips.
Source: NY Times