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· Posted on
February 21, 2024

From bangin' hits to Zzzs: Universal Music Group explores the world of AI-generated sleep noises

Universal Music Group has decided to join forces with Endel, an AI start-up based in Berlin.

What's the key learning?

  • Universal Music Group's partnership with AI start-up Berlin is all about its plans to create 'ambient soundscapes' that could be used for sleeping, relaxing, or focusing - and its goal to tap into the 'functional' music market.
  • With AI rapidly improving, it's becoming a competitive threat in the music industry.
  • The "functional music" market is already delivering 10 billion streams a month across all platforms.

👉 Background: Universal Music Group has a market share of about 30% of the available music market. This is also the same UMG that sued the maker of an AI-generated collaboration between Drake and The Weeknd...

👉 What happened: Now, Universal Music Group has decided to join forces with Endel, an AI start-up based in Berlin. They're planning to create 'ambient soundscapes' that could be used for sleeping, relaxing, or focusing.

👉 What else: With this partnership, Universal Music Group hopes to tap into the 'functional' music market.

What's the key learning?

💡With AI rapidly improving, it's becoming a competitive threat in the music industry. But rather than just suing every person that creates AI-generated music, UMG has decided to lean in to this innovation.  

💡The "functional music" market is already delivering 10 billion streams a month across all platforms. Some artists are earning tens of thousands of dollars per month from their white noise tracks.

💡And while AI-generated music could compromise the authenticity of music and devalue the creativity in the music industry, UMG wants to marry its star power with AI to get its own slice of the pie.

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