Universal Music Group (UMG), one of the world’s largest music companies, announced it has failed to reach new terms with TikTok, citing issues including artist compensation and the use of artificial intelligence. According to UMG, TikTok attempted to “bully” the company into accepting a deal less favorable than the previous agreement. As a result, Universal Music stated it will no longer license content to the app.
UMG disclosed that its agreement with TikTok is set to expire on January 31. “The companies have not agreed to terms for a new agreement and, upon the expiration of the current agreement, Universal Music Group, including Universal Music Publishing Group, will cease licensing content to TikTok and TikTok Music services,” the company said in a statement.
TikTok, owned by Chinese internet conglomerate ByteDance, is the massively popular short-form video app whose core features allow users to create and share videos using licensed music and other sounds. As of now, TikTok has not provided any comments on the situation.
This break between UMG and TikTok highlights the growing tensions between record labels and digital platforms over copyright issues and compensation, at a time when the music industry continues to adapt to the digital age and the increasing use of AI in content creation.