BRUSSELS--(BUSINESS WIRE)--Regulatory News:
AudioValley (ISIN Code: BE0974334667/Ticker: ALAVY), an international specialist in digital audio solutions, announces the creation of Jamendo Rights Management, a new business line devoted to collective music rights management. This decision builds on the Jamendo music platform's adoption of the Independent Management Entity (IME) status in February 2019.
Pursuant to a European Directive, the IME status now gives the holders of rights the freedom to entrust the management of their musical rights to commercial entities rather than national collective management organisations (such as SACEM, SGAE and GEMA). This liberalisation opens up a considerable market. Taken together, the collective management organizations on the markets where the group operates amount to approximately €6 billion in annual revenue1.
Until now, Jamendo had been a platform for managing and licensing a catalogue of 650,000 royalty-free titles. With this new business line, the Jamendo team will be able to expand the scope of their efforts to manage and monetise music rights on behalf of the 40,000 artists represented on the platform. This activity will also be a springboard to attracting new talent in search of new channels to generate revenue from their musical works.
Jamendo Rights Management intends to quickly make a mark on the market by offering the holders of rights greater transparency and a more equitable allocation of revenue as compared with traditional models. The appeal of Jamendo Rights Management is grounded in its extensive digital experience which speaks to the core changes under way in the music industry.
This launch aligns perfectly with Jamendo's momentum. As a reminder, Jamendo generated €2.7m in revenue in the fiscal year 2019, accounting for 12% of the group's total sales. Jamendo Rights Management is expected to begin posting revenue in 2021.
Alexandre Saboundjian, CEO and founder of AudioValley, says: "The opening of the rights management market will enable the whole music world to access alternatives in line with the artists' needs. Their requirements have completely changed in the last 15 years with the digital ramp-up. This evolution in rights management is a real opportunity for private companies to be able to participate in a €6 billion market. Backed by its technological expertise and its proven ability to support artists and manage their catalogues with over 10 years of experience, Jamendo is well positioned to take advantage of this transformation."
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2020 annual revenue
Wednesday, 27 January 2021 after market close
1 Source: International Confederation of Societies of Authors and Composers (CISAC)
