Music Industry Funding Nears $5 Billion in 2024, Driven by Catalog Acquisitions
Music industry funding approached $5 billion in 2024, with catalog acquisitions driving significant growth. Here's a detailed analysis of the key trends and their implications for 2025.
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Core funding reached $4.64 billion in 2024, slightly higher than 2023, primarily due to major catalog acquisitions:
- Hipgnosis: $1.5 billion asset-backed securitization
- Iconic Artists Group: Over $1 billion funding
- Concord: $850 million ABS
Key Trends and Future Implications:
- Catalog Acquisitions
- Continued strong interest in music IP rights
- Limited premium catalogs available for purchase
- Questions about long-term ROI for certain acquisitions
- Uncertainty about future billion-dollar commitments
- Superfan Platform Competition
- Superfan startups claimed 11% of 2024's raises
- Notable funding for Mellomanic, Tune.fm, FanCircles, Hangout, and Trax
- Universal Music's decade-long Hybe deal featuring Weverse
- Warner Music and Spotify developing competing superfan offerings
- Potential consolidation expected in late 2025
- Live Entertainment and Ticketing
- 13% of core music industry raises
- Significant funding for niche players like Seat Unique
- Blockchain ticketing advances with Celebratix
- Small-event focus from companies like Posh
Looking ahead to 2025, the industry expects continued evolution in these sectors, with potential market share shifts and new sub-sectors emerging to fill any gaps.
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