I posted a few weeks back at length about imeem’s success in securing the rights to stream from three of the four major labels’ catalogs. (You can read the post here.) Earlier Monday, imeem announced that it had made a deal with the last, and biggest, label out, Universal Music Group. So, fans of Grammy darlings Amy Winehouse and Kanye West now have full access to their music on the social media network.
Interestingly, imeem’s press release stresses this newest development as the formation of an additional revenue stream for record labels: advertising. With social media networks, subscription services, and good old-fashioned album and single purchases now as revenue sources, it almost sounds as if the music industry has copied print media’s financial model. What does this mean?