Warner Music Group (WMG) made multiple announcements today, including acquiring a controlling stake in Tempo Music and signing a new multi-year licensing deal with Spotify. The Spotify deal reportedly overrides its controversial ‘bundling’ payment structure in the U.S.
WMG also reported $1.67 billion in quarterly revenue, with subscription streaming revenue up 6.6% year-over-year. CEO Robert Kyncl confirmed a new licensing deal with Amazon Music, emphasizing Warner’s strategy to expand market share and revenue.
The Tempo Music acquisition, valued at over $450 million, includes catalogs featuring Bruno Mars, Adele, and Wiz Khalifa. WMG retains an option to acquire full ownership by 2027. Kyncl highlighted Warner’s focus on efficiency and reinvesting in artists.
WMG aims to grow the value of music, increase transparency in licensing deals, and streamline operations. The company recently cut non-core businesses and reinvested in A&R, aligning with its strategy to drive long-term growth.
