Record Labels Ask TikTok to Share More of Its $12 Billion
- Music companies are in talks for new deals with TikTok
- TikTok doesn’t share its advertising sales with rights holders
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TikTok has attracted more than 1 billion users with videos set to music. Now the world’s largest record labels want the social media app to pay more for those songs.
Universal Music Group, Sony Music Entertainment and Warner Music Group are asking TikTok to share the advertising revenue and increase the royalties it pays them for rights, according to people familiar with the talks. The companies have been negotiating all year and are trying to reach a deal before their contracts expire in the coming months, said the people, who asked not to be identified because the talks are private.