Earlier this week, distribution firm Kudos added its views to the debate around YouTube and indie licensing, questioning why some rival distributors had signed up for YouTube’s upcoming premium service: “You have to wonder, did they strike a deal that was in their artist or distributed label’s best interest, or were there incentives (advances, breakage) which benefited only their bottom line?”. One of those companies, Believe Digital, has told its clients that it has agreed no such incentives, adding that in lengthy negotiations with YouTube over the terms of its new service, it was never threatened with having its contract terminated. “From a detailed analysis of our current agreements with Deezer, Spotify and Rdio, as well as statements received from those services in the past year, our conclusion is that the rate offered by YouTube on the YouTube Subscription service is aligned on current market rates,” claimed a memo sent to clients, which also specifies that no advances were taken as part of those negotiations. In a separate memo, CEO Denis Ladegaillerie suggested that complaints about anti-competitive behaviour from trade bodies WIN and IMPALA “address true, important and very legitimate concerns”.
Believe Digital says it signed a YouTube deal without threats or advances
