Music widgets provider Sonific is to close down on May 1, due to what CEO Gerd Leonhard describes as “the unworkable music licensing situation and the resulting lack of solid revenue modeling”. The company says it’s looking for a new business model, but in the meantime is open to acquisition. Leonhard has slammed the labels as part of the announcement, saying: “We have routinely faced demands for very large cash advances and fixed per-stream minimum payments, pressure to give them `free’ company equity, and requirements of utterly bizarre usage restrictions… this industry is certifiably dysfunctional… doing business under the existing rules of the major labels will simply amount to economic suicide.” Oof.

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