Increased competition is sometimes fierce, as investments in a host of new jobs, an arrival in force in the sector, key data and a search deep for new artists. Those who will in the best case, the tubes of tomorrow. Such is the common strategy of the three majors of the disc – Universal Music, Sony Music and Warner Music – in a context of high growth market (+ 8.1% in the world in 2017) after fifteen years of lean cows.
The time starts the market international de l’édition musicale (Midem) in Cannes until Friday 8 June, ” the growth of streaming (+ 41 % in 2017) has led to a positive effect on the valuation of companies. That of Spotify at $ 29.5 billion [25.2 billion euros] during his entry into stock Exchange in New York on April 3, has framed all the world “, explains Thierry Chassagne, CEO of Warner Music France. In his eyes, it is ” the expectations for Universal Music [which announced the upcoming opening of its capital], and for the chinese Tencent “, which aims for a listing on the stock Exchange.
Sign that investors are betting on a solid and sustainable growth of the market, the most profitable of the subsidiaries of Vivendi, Universal Music Group (Taylor Swift, Kendrick Lamar and Drake or tube Despacito), valued at 7 billion euros four years ago, hopes to exceed the price of Spotify. The acquisitions in the music are now on a high base. Evidenced by the repurchase of 60 % of EMI Music Publishing by Sony for 1.95 billion euros.
The emerging economies, a huge reserve of growth
For Mr. Chassagne, emerging countries constitute a huge reserve of growth, whether it be Russia, China – where Warner Music’s newly acquired, respectively, Gala Records and Gold Typhoon – or Africa. “The top 5 countries of consumption of music – the United States, Japan, Germany,…