B2B music video provider Vadio has signed its first major label licensing deal with Warner, giving it permission to distribute WMG’s artist videos across a number of streaming services.
Vadio provides a music video platform to streaming audio services, and, crucially, prides itself on “empowering business models that create new revenue streams for content creators and media partners.”
It allows publishers and streaming services to create curated video experiences for consumers though a player that lets them insert adverts whenever they like.
Web destinations and apps whose music videos are powered by Vadio include more than 80 streaming music video channels.
The deal is hot on the heels of rumours surrounding Warner’s licensing deal with Vevo. Warner is the only major label to hold out from Vevo since the platform launched in 2007.
Sources tell MBW that Warner has not taken any equity in the service as part of its licensing deal, which is dependent on the fact that Warner artists remain off Vevo on YouTube.
Vevo has, however, won permission to include Warner artists on its recently revamped proprietary player on Vevo.com and the Vevo app.
“Vadio’s extensive distribution network of video channels expands the potential for Warner Music artists to connect with new fans, while creating new revenue streams on our artists’ behalf.”
ron wilcox, wmg
With no contractual commitments to Vevo, Warner is experimenting independently in the commercial digital video space, having also licensed social video sharing app musical.ly last month.
In May it agreed to be a test partner for Facebook’s new social feature, Slideshow, which allows users to add licensed music to their videos on the social media network.
The addition of Warner’s music video catalogue with Vadio’s curation platform, ChannelMaker, will make it possible for Vadio partners to easily curate complete music video channels from a library of thousands of videos, providing music discovery and engagement for consumers.
Discussing the deal, Ron Wilcox, Executive Counsel, Business Affairs, Strategic and Digital Initiatives, WMG said: “Vadio provides a smart service that gives partners quick and easy access to our artists’ content, within a ready-to-go video platform.
“Vadio’s extensive distribution network of video channels expands the potential for Warner Music artists to connect with new fans, while creating new revenue streams on our artists’ behalf.”
“We pride ourselves on empowering new business models that create new revenue streams for content creators and media partners.”
bryce clemmer, vadio
“We pride ourselves on empowering new business models that create new revenue streams for content creators and media partners. For that reason, we are very excited about our partnership with Warner Music Group,” said Bryce Clemmer, CEO of Vadio.
“We believe video will get integrated into every digital media destination. Therefore we are making it possible for artists, brands, and media partners to deliver high quality videos by making Warner’s video library viewable across large scale consumer experiences.”
Investors of Vadio include Dean Gibert, former Head of Operations at YouTube, Founder and CEO of Dreamcatcher Media, Ed Wilson, Marc Geiger, Head of Music at William Morris, and Irwin Federman, partner of US Venture Partners.
Its exec team is made up of people who have worked at Sony Pictures, MCA/Universal Music, Netflix, Amazon and Disney. Rio Caraeff, the founder of Vevo, is an advisor.
According to a year-end report from Nielsen, video streaming consumption in the US increased 101.9 percent in 2015, year-over-year.
Music Business Worldwide
