Rae
@raescott
Rae
Music Industry and
Further Questions:
Curious about how we come to certain conclusions about the stability of music copyright cashflow in comparison to mortgages.
AI threats to copyright system - what does this mean for investors? Is this another instance in which their collective power along with publishers, labels, CMOs and other music industry stakeholders can be used to combat threats posed by big tech?
Paramore’s Hayley Williams was asked by ‘The Molehill’ what it means to be punk in 2025. She gave an insightful answer that basically boils down to: don’t be an evil person.
Swipe through to see what Hayley had to say.
instagram.comMusic copyrights generate steady cash the way mortgages once did, but while individual investments can rise or fall, it’s harder to imagine that a financial squeeze would lead to a selling frenzy that would send prices downward across the board.
Robert Levine • What Does Private Equity Mean for the Music Business Long-Term?
How does this work? Need further research
Really grateful for @rollingstone taking the time to interview me about @austere @artisthous.e and The Iconic Artist Blueprint. 😫🥹
Swipe to read it here or on their site in my bio 🔗
instagram.comFrench-language music streams surge 192% on Spotify since 2019 - Music Business Worldwide
Mandy Dalugdugmusicbusinessworldwide.com
Key Takeaways
Private equity firms buy and overhaul companies to earn a profit or break them up and sell off parts.
Capital for acquisitions comes from outside investors in the private equity funds the firms establish and manage, usually supplemented by debt. Some or all of the debt is often placed on the balance sheet of the company being acquired.
The private equity industry has grown rapidly; it tends to be most popular when stock prices are high and interest rates are low.
Depending on the private equity firm's skills and objectives, a private equity acquisition can make a company more competitive or saddle it with unsustainable debt.
Historically, record labels and music publishers could use the royalties from their older hits to underwrite risky bets on unproven talent. But why “would you spend your time trying to create something new at the expense of your catalog?” asked Merck Mercuriadis
Marc Hogan • Same Old Song: Private Equity Is Destroying Our Music Ecosystem
Take Whitney Houston’s 1987 smash “I Wanna Dance With Somebody (Who Loves Me),” which was bought in late 2022 as part of a $50 million to $100 million deal by Primary Wave, a music publishing company backed by two private equity firms. The song was recently rebooted into our collective hippocampus via a movie about the singer, titled, naturally, “I... See more
Marc Hogan • Same Old Song: Private Equity Is Destroying Our Music Ecosystem
Example
The reason private equity has such a bad reputation is that it usually buys assets with considerable leverage and holds them for a limited amount of time, which can often result in layoffs at companies in which they invest.