Record labels see streaming music as stable revenue anchor amid a sea of otherwise uncertainty during the pandemic. That's a good sign for investors seeking consistent revenue as stock dividends begin to dry up.
Are Record Labels Immune to the Coronavirus? (Billboard)
The rise of subscription streaming that has fueled most of the growth in recent years continues to be a bright spot amid the pandemic.
A Big, Once-Reliable Source of Investor Cash Is Drying Up (NYT)
The swings of the stock market have been painful enough lately. But on top of the price declines that have kept many investors awake at night, another insult is on the way: Stocks will be providing much less income.
UMG’s Michael Nash thinks music subscriptions will be resilient to Covid-19 impact (Music Ally)
The subscription business, which is the big driver for revenue, is relatively stable based on its underlying dynamics. You’ve got the recurring billing relationship with the consumer, and so even if consumption’s down a little bit, the revenue that’s being divided up among the artists and labels is relatively constant.
Apple Music Expands Into 52 More Countries, Including Two Dozen in Africa (Billboard)
Many of the countries included in the new expansion are also ones where there isn’t a truly established streaming economy, with the monetization of music, particularly digital music, not exactly strong.
