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YouTube prepares to block indie labels

YouTube screenshot

By Jane McCallion

Posted on 18 Jun 2014 at 10:47

YouTube will block content from indie labels within "a matter of days", after they refused to accept the company's new terms and conditions.

The move comes as the video streaming site prepares to launch a paid music service in the coming months - which all music labels will be obliged to sign up for if they wish for their artists' videos to remain available to viewers.

Google-owned YouTube claimed it wants all labels to be covered by the same terms, in order to "provide a consistent user experience for the paid service", according to Reuters.

"We’re adding subscription-based features for music on YouTube with this in mind - to bring our music partners new revenue streams in addition to the hundreds of millions of dollars YouTube already generates for them each year," it added.

While 95% of music labels that had deals for its free, ad-supported service have signed up to the new paid-for product - including Universal and Sony - a number of indie labels, including XL Records and Domino Records, have rejected the terms.

These include labels representing big-name artists such as Radiohead, Adele, Dizzee Rascal, the Arctic Monkeys and Franz Ferdinand.

If their labels continue to hold out against the new terms, their videos may soon be blocked from YouTube. However, according to the BBC, the videos will not be removed completely and will still be available through services such as Vevo.

Impala, one of the trade bodies representing indie music companies, is appealing to the European Commission, according to The Financial Times, claiming YouTube is "using its market position to force small record labels into accepting unfavourable terms".

One record boss told the FT his concern is not so much about the paid tier, but that the new licensing agreement will allow YouTube to make "substantial enhancements to its free tier".

Consequently, he fears this will drive customers away from competing subscription services such as Deezer and Spotify.

However, Robert Kyncl, YouTube’s head of content and business operations, said the "ultimate goal" is to encourage as many people as possible to join the paid service by creating "features that fans love".

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User comments

Blocked anyway...

In Germany they seem to block just about anything music related.

Even official videos from Sony or Warner artists are often blocked... :-S

I've given up on YouTube for anything other than Fail videos.

By big_D on 19 Jun 2014

GEMA problems in Germany

@big_D
That most music videos are blocked in Germany is down to the intransigence of the GEMA authors' rights oligarchy. The majors (Sony etc) are livid at losing millions of dollars in revenue. Have a look here: http://en.wikipedia.org/wiki/Blocking_of_YouTube_v
ideos_in_Germany

By smartcomputers on 19 Jun 2014

alternative

We're long overdue an alternative to You(can't)Tube

Between the awful advertising and overly agressive blocking and VEVO its become a joke...

By Gindylow on 20 Jun 2014

Oh dear....

So Google, Apple and most other big players are jumping on the "You must pay us, and only us, for every second of interest" cash-wagon. Sealing themselves into a hermetic-hitlerian wallet-trance state of profit-perfection. And I love the marketing guff which seems to improve in ridiculousness daily, ie. 'creating "features that fans love"' - really? How pretentious to say people love something that nobody has used yet! At least they didn't say the dreaded "new ways to listen to music" rubbish - do they mean listening through the nose maybe? The good thing is that all this restrictive profiteering will eventually lead to the creation of a new Youtube-style service by someone fresh. And the sooner the better!

By Wilbert3 on 21 Jun 2014

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