Google’s parent company Alphabet has invested in a new startup called UnitedMasters which aims to replace major record labels by supporting artists in a unique way.
Lead by former president of Interscope Records Steve Stoute, UnitedMasters recently raised $70 million from Alphabet as well as 20th Century Fox and the venture firm Andreessen Horowitz, according to TechCrunch.
The main concept behind UnitedMasters is to provide artists with services to distribute their music on various platforms like Spotify, YouTube and Soundcloud, splitting the royalties while allowing artists to keep the rights to their master recordings. UnitedMasters also builds a CRM tool and utilizes the analytics to identify listeners in order to target individuals with ads for ticket sales and merchandise.
For an artist to use the UnitedMasters platform they’ll have to pay a fee of what is said to be “a competitive rate.”
Stoute touched on how UnitedMasters can help artists: “It’s very important that an artist’s jobs is to be a great artist. The infrastructure around them should be helping them get more money at efficient rates, not owning their masters and taking from them.”
While this new platform aims to take down major labels, which is a feat in itself, at Mixmag we recognize the importance of independent imprints and respected record labels. Check out the top labels Mixmag readers voted for in our Label Of The Decade poll here.