Japan-based music company Avex Group has struck a renewed licensing deal with NetEase Cloud Music
NCM’s deal with Avex (often referred to as Japan’s fourth major), gives it the right to distribute Avex’s music catalog in China.
Under the terms of the agreement, according to a press statement, “both parties will collaborate to promote the presence of prominent and J-pop artists and content released by Avex”.
NetEase Cloud Music noted in a press release that it “has been actively broadening its portfolio and expanding its partnerships with top entertainment companies”.
Some of those companies include Modern Sky, Emperor Entertainment Group, China Record Group, Feng Hua Qiu Shi, Yuehua Entertainment, Linfair Records, SM Entertainment, TF Entertainment, YG Entertainment and KAO!INC.
Moving forward, NetEase Cloud Music says that it “will pursue further collaborations with upstream copyright owners”.
Founded in 1988, Avex began as a wholesale business of imported music records, and established its own label, Avex Trax in 1990.
Avex has since expanded into various areas such as record labels, live music performances, animation, and filmmaking.
The company expanded into North America in April 2021, led by President Naoki Osada.
MBW reported last week that NetEase Cloud Music posted a 22.5% year-over-year jump in revenue in Q3, which the company attributed to the continued growth in its paying user base.
Revenue in the three months ended September 30 reached RMB 2.36 billion (approx. $331 million), up from RMB 1.92bn in the year-ago period and from RMB 2.19bn in the second quarter of the year.
In July, NetEase Cloud Music bulked up its K-pop catalog by entering into a licensing agreement South Korea-based music company YG Entertainment.
NCM’s deal with YG Entertainment marked its second agreement with a South Korea-based entertainment company in two months. In June, NetEase Cloud Music entered into a licensing deal with K-pop company SM Entertainment, whose roster features prominent K-Pop artists like KANGTA, BoA, TVXQ!, SUPER JUNIOR, Girls’ Generation, SHINee, EXO, Red Velvet, NCT and aespa.
June also saw Chinese music company TF Entertainment (Time Fengjun Entertainment) strike a deal with NCM, as well as its rival Tencent Music entertainment.Music Business Worldwide
