Warner Music Group is expected to announce a licensing deal with Vevo any day now – but it’s not the agreement many expected it to reach.
Warner has been a long-term holdout from Vevo since the platform launched in 2007.
The video service is co-owned by Universal Music Group, Sony Music Entertainment, Abu Dhabi Media and Alphabet (Google).
Sources tell MBW that Warner has not taken any equity in the service as part of its licensing deal, which is impingement on the fact that Warner artists remain off Vevo on YouTube.
Vevo has, however, won permission to include Warner artists on its proprietary player on Vevo.com and the Vevo app.
Warner is believed to have a cordial and progressive relationship with Erik Huggers, the former BBC exec who joined Vevo as CEO last year.
Since his appointment, Vevo has acquired ShowYou – a move expected to be the lynchpin for a new subscription video service launched later this year.
Earlier this month, Vevo relaunched its app (pictured), adding a sleek new design and a range of hosts/curators to entertain users and recommend new music.
In May, Warner 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.
With no ties to Vevo, the company is experimenting independently in the commercial digital video space, having also licensed Social video sharing app musical.ly last month. Music Business Worldwide.