Facebook Takes On Google's YouTube Cash Bonanza

A parade of up-and-coming musicians from Universal Music took the stage at the Ace Hotel in downtown Los Angeles Saturday in a pre-Grammy Awards performance for a room full of the executives who will make or break their careers.

Talent bookers from James Corden’s late-night show, marketing executives from top brands and executives from Spotify Ltd. and YouTube looked on. Sandwiched in between tables for Apple Inc., an imposing player in online music, and Pandora Media Inc., owner of the world’s largest online radio service, sat executives from a new act trying to break onto the scene: Facebook Inc. 

The world’s largest social network has redoubled its efforts to reach a broad accord with the industry, according to interviews with negotiators at labels, music publishers and trade associations. A deal would govern user-generated videos that include songs and potentially pave the way for Facebook to obtain more professional videos from the labels themselves.

“We’re hopeful that they are moving towards licensing music for the entire site,” said David Israelite, president of the National Music Publishers Association, an industry trade group.

Facebook’s interest in music rights is inextricably linked to its growing interest in video. Having siphoned ads away from print, online companies have recently targeted TV, which attracts about $70 billion in advertising a year -- continue reading on Bloomberg News

 

 

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