{"id":208666,"date":"2024-08-13T22:16:56","date_gmt":"2024-08-13T21:16:56","guid":{"rendered":"https:\/\/www.musicbusinessworldwide.com\/?p=208666"},"modified":"2024-08-13T22:47:17","modified_gmt":"2024-08-13T21:47:17","slug":"roblox-strikes-deal-with-distrokid-but-indie-artists-wont-be-paid-any-money-from-it1","status":"publish","type":"post","link":"https:\/\/www.musicbusinessworldwide.com\/roblox-strikes-deal-with-distrokid-but-indie-artists-wont-be-paid-any-money-from-it1\/","title":{"rendered":"Roblox strikes deal with DistroKid \u2013 but indie artists won&#8217;t be paid any money from it"},"content":{"rendered":"<p>Revenues at gaming giant Roblox are soaring &#8211; <a href=\"https:\/\/www.musicbusinessworldwide.com\/roblox-revenue-up-31-in-q2-to-893m-as-daily-active-users-hit-record-79-5m-cfo-exits\/\" target=\"_blank\" rel=\"noopener\">forecast<\/a> to hit $3.5 billion across the course of this year.<\/p>\n<p>But indie artists hoping to earn any of that money for the use of their music on the platform might want to look away now.<\/p>\n<p>Roblox has struck a new partnership with DistroKid, MBW has discovered. The pact enables DK&#8217;s artists to make their music available to Roblox&#8217;s <a href=\"https:\/\/www.musicbusinessworldwide.com\/roblox-revenue-up-31-in-q2-to-893m-as-daily-active-users-hit-record-79-5m-cfo-exits\/\" target=\"_blank\" rel=\"noopener\">80 million daily active users.<\/a><\/p>\n<p>Only there&#8217;s a catch. When said artists&#8217; music is played on Roblox&#8230; they will be paid ZERO for the privilege.<\/p>\n      <div class=\"mb-advert__incontent\">      <div class=\"mb-advert mb-advert__tweeny hidden-xs hidden-ms hidden-sm\" data-loaded=\"no\" data-sizes=\"992 1200 1440\" data-name=\"628x90 Sponsor banner #5 (992+1200+1440)\" data-params=\"dfp_sponsor5_628\" id=\"dfp_sponsor5_628\"><\/div>      <div class=\"mb-advert mb-advert__banner mb-advert__banner--inline hidden-xs hidden-sm hidden-md hidden-lg\" data-loaded=\"no\" data-sizes=\"480\" data-name=\"468x60 Sponsor banner #5 (480)\" data-params=\"dfp_sponsor5_468\" id=\"dfp_sponsor5_468\"><\/div>      <div class=\"mb-advert mb-advert__mobile mb-advert__mobile--inline hidden-ms hidden-md hidden-lg\" data-loaded=\"no\" data-sizes=\"320 768\" data-name=\"300x50 Sponsor banner #5 (320+768)\" data-params=\"dfp_sponsor5_300\" id=\"dfp_sponsor5_300\"><\/div>      <\/div>      \n<p>Roblox has partnered with <strong>DistroKid<\/strong> to launch an invite-only beta program that lets independent artists opt-in to having their music distributed to the gaming platform.<\/p>\n<p>As per the opt-in form, obtained by MBW, indie artists signing up for the beta program &#8220;are granting rights for Roblox developers to use [their] music on a gratis basis&#8221;.<\/p>\n<hr \/>\n<figure class=\"mbw-articlepic mbw-articlepic--center\"><a href=\"https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58.jpg\" target=\"_blank\" rel=\"noopener\"><img  class=\"lazyload\" src=\"https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-80x64.jpg\" data-srcset=\"https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-80x64.jpg 80w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-160x129.jpg 160w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-320x257.jpg 320w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-418x336.jpg 418w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-648x521.jpg 648w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-836x672.jpg 836w, https:\/\/www.musicbusinessworldwide.com\/files\/2024\/08\/Screenshot-2024-08-13-at-21.09.58-1296x1041.jpg 1296w\" data-sizes=\"auto\"><\/a><\/figure>\n<hr \/>\n      <div class=\"mb-advert__incontent\">      <div class=\"mb-advert mb-advert__spu\" data-loaded=\"no\" data-name=\"300x250 Sponsor MPU #1\" data-params=\"dfp_spu1\" id=\"dfp_spu1\"><\/div>      <\/div>      \n<p>Elsewhere on the opt-in form, artists are informed that &#8220;opting-in to the beta does not guarantee your music will be added to Roblox, which is at their discretion&#8221;.<\/p>\n<p>Artists must also own 100% of their publishing rights and not be registered with a PRO such as <strong>ASCAP<\/strong> or <strong>BMI.<\/strong><\/p>\n<blockquote><p>&#8220;DistroKid is always looking for new ways artists can be discovered and make their music available.&#8221;<\/p>\n<p><span style=\"color: #000000\">Amanda Ferri, DistroKid<\/span><\/p><\/blockquote>\n<p>MBW reached out to DistroKid for a comment about its new partnership with Roblox.<\/p>\n<p>DistroKid&#8217;s VP Marketing, Amanda Ferri, told us in a statement: &#8220;DistroKid is always looking for new ways artists can be discovered and make their music available.&#8221;<\/p>\n<p>Added Ferri: &#8220;Working with Roblox aligns perfectly with that mission. We&#8217;re stoked about our collaboration with Roblox and can\u2019t wait to reveal more soon.\u201d<\/p>\n      <div class=\"mb-advert__incontent\">      <div class=\"mb-advert mb-advert__spu\" data-loaded=\"no\" data-name=\"300x250 Sponsor MPU #2\" data-params=\"dfp_spu2\" id=\"dfp_spu2\"><\/div>      <\/div>      \n<p>Roblox has become particularly close with the music industry in recent years, as part of the wider convergence of the music and gaming worlds.<\/p>\n<p>All three major music companies have been associated with in-game events, promotions and partnerships with and on the platform, such as Universal Music Group&#8217;s Beat Galaxy <a href=\"https:\/\/www.musicbusinessworldwide.com\/universal-launches-beat-galaxy-music-hub-on-roblox-featuring-one-of-the-largest-song-catalogs-of-any-experience-on-the-gaming-platform\/\" target=\"_blank\" rel=\"noopener\">music hub<\/a>, Warner Music Group&#8217;s <a href=\"https:\/\/www.musicbusinessworldwide.com\/warner-launches-rhythm-city-a-music-themed-social-experience-on-gaming-platform-roblox\/\" target=\"_blank\" rel=\"noopener\">Rhythm City<\/a> and Sony Music&#8217;s <a href=\"https:\/\/www.sonymusic.com\/sonymusic\/roblox-partnership\/\" target=\"_blank\" rel=\"noopener\">partnership<\/a> with Roblox in 2021 to bring its artists to the metaverse. <a class=\"link-relationship\" style=\"background: 0px 0px;color: unset !important;text-decoration: none;border-bottom: 1px dashed #ff7d00\" title=\"Companies &gt; Warner Music Group [1,814 articles]\" href=\"https:\/\/www.musicbusinessworldwide.com\/companies\/access-industries\/warner-music-group\/\">Warner Music Group<\/a> <a class=\"link-internal\" href=\"https:\/\/www.musicbusinessworldwide.com\/warner-music-group-joins-520m-investment-round-in-video-game-platform-roblox\/\" target=\"_blank\" rel=\"noopener\">invested <\/a>in Roblox in January 2021.<\/p>\n<p>In March,\u00a0Universal and Republic Records <a href=\"https:\/\/musicbusinessworldwide.com\/universal-republic-launch-boombox-music-player-on-roblox-and-all-streamed-tracks-will-count-towards-billboard-charts123\/\" target=\"_blank\" rel=\"noopener\">launched<\/a> a new product in Roblox dubbed\u00a0<strong>Boombox<\/strong>, described as \u201can ad-supported portable music player\u201d embedded in Roblox that allows labels to launch playlists and integrate them into the gaming space dynamically.<\/p>\n<p>In June,\u00a0STYNGR, a music-in-gaming platform, <a href=\"https:\/\/www.musicbusinessworldwide.com\/warner-music-partners-with-styngr-on-ad-free-radio-for-roblox\/\" target=\"_blank\" rel=\"noopener\">teamed up<\/a> with Warner Music Group\u00a0to offer ad-free radio stations directly within Roblox.<\/p>\n<p>Elsewhere, in June 2021, a group of indie and major music publishers \u2014 via the NMPA \u2014 <a class=\"link-internal\" href=\"https:\/\/www.musicbusinessworldwide.com\/roblox-sued-for-more-than-200m-by-music-publishers-who-allege-copyright-infringement\/\" target=\"_blank\" rel=\"noopener\">sued Roblox<\/a> for over $200 million in damages in the US, alleging widespread copyright infringement by the company. The NMPA struck an <a href=\"https:\/\/www.musicbusinessworldwide.com\/roblox-strikes-deal-with-music-publishers\/\" target=\"_blank\" rel=\"noopener\">agreement<\/a> with Roblox in September of that year, and settled any previous claims against the platform.<\/p>\n<hr \/>\n<p>DistroKid has previously <a href=\"https:\/\/www.musicbusinessworldwide.com\/phil-bauer-named-president-of-distrokid-company-founder-philip-kaplan-transitions-from-ceo-to-chairman\/\" target=\"_blank\" rel=\"noopener\">claimed<\/a> to be the \u201cworld\u2019s largest distributor of independent music&#8221; and estimates that it distributes 30-40% of all new music in the world.<\/p>\n<p>The company says that its platform is used by more than 2 million artists.<\/p>\n<p>Three years ago, in August 2021, DistroKid accepted an investment from Insight Partners, <a class=\"link-internal\" href=\"https:\/\/www.musicbusinessworldwide.com\/distrokid-valued-at-1-3-billion-after-investment-from-insight-partners\/\" target=\"_blank\" rel=\"noopener\">which valued the distribution platform at USD $1.3 billion.<\/a><\/p>\n<p>Following that transaction, Boston-based growth equity firm\u00a0<strong>Silversmith Capital Partners<\/strong>, which\u00a0<a class=\"link-internal\" href=\"https:\/\/www.musicbusinessworldwide.com\/distrokid-receives-significant-investment-from-silversmith-capital-partners\/\" target=\"_blank\" rel=\"noopener\">led DistroKid\u2019s first outside investment in 2018<\/a>, retained \u201ca meaningful ownership position\u201d and remained on DistroKid\u2019s board.<\/p>\n<p><a class=\"link-relationship\" style=\"background: 0px 0px;color: unset !important;text-decoration: none;border-bottom: 1px dashed #ff7d00\" title=\"Companies &gt; Spotify [2,839 articles]\" href=\"https:\/\/www.musicbusinessworldwide.com\/companies\/spotify\/\">Spotify<\/a>\u00a0retained its\u00a0<a class=\"link-internal\" href=\"https:\/\/www.musicbusinessworldwide.com\/spotify-acquires-minority-stake-in-distrokid-offering-independent-artists-to-upload-to-multiple-services\/\" target=\"_blank\" rel=\"noopener\">minority stake<\/a>\u00a0in DistroKid when it received the Insight Partners investment;\u00a0<span style=\"margin: 0px;padding: 0px\"><strong>a few months later, SPOT<\/strong>\u00a0<a href=\"https:\/\/www.musicbusinessworldwide.com\/spotify-offloads-two-thirds-of-its-stake-in-distrokid-for-167m\/\" target=\"_blank\" rel=\"noopener\">offloaded two-thirds of its stake<\/a>\u00a0for\u00a0<strong>$167 million<\/strong><\/span>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Roblox revenues are forecast to hit $3.5bn across the course of this year<\/p>\n","protected":false},"author":15,"featured_media":208667,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[7],"tags":[5266,129012],"class_list":["post-208666","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-distrokid","tag-roblox"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/posts\/208666","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/comments?post=208666"}],"version-history":[{"count":0,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/posts\/208666\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/media\/208667"}],"wp:attachment":[{"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/media?parent=208666"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/categories?post=208666"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.musicbusinessworldwide.com\/wp-json\/wp\/v2\/tags?post=208666"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}