Frank Hajdu

A new report from Outpost Partners tracks over 600 music-tech startups and shows early-stage funding remains steady, with average raises around $2 million and valuations trending upward. GenAI is fueling a sharp rise in music creation startups, while engagement-focused deals have dropped, primarily due to the collapse of crypto-based ventures. Europe and North America dominate most of the deals, but many startups hit a wall after their first funding round, especially when trying to grow beyond music. https://lnkd.in/gm4ixpkU #musictech #musicstartup #AImusic

1

beatBread says it's now deployed over $100 million across 1,700 artist and label funding deals since its launch in 2020. The financing platform offers advances on both catalog and unreleased music and has supported creators in 42 countries, with a cumulative of over 67 billion streams to date. beatBread recently launched a new $100 million fund aimed at labels and distributors looking for alternatives to traditional financing. Interim CEO Tracy Maddux says the company’s mission remains expanding access to capital without forcing artists to give up control of their work. https://lnkd.in/gYCgBKZQ #musicbusiness #musicindustry #musicbiz

2

2 Comments

#SESAC #Securitisation “…MBW just posted that SESAC has raised $889M through a whole‑business securitisation, taking its total debt to around $1.1B. The deal was 3× oversubscribed, which says a lot about how institutional investors now view music service companies. This isn’t a catalogue sale; it’s leveraging the entire SESAC ecosystem - from its PRO business to HFA, AudioSalad, Mint, and beyond - to create predictable cash flows for bondholders. Why I think this matters: - Investors now treat music infrastructure as an institutional‑grade asset class - SESAC & Blackstone gain cheap capital for growth, but now face pressure for clean, stable cash flows - Songwriters and publishers may see benefits if reinvestment accelerates payouts, though cost‑cutting or restructuring could impact service What is likely to happen next?” Read the post and article for more: #Leveraging #PROs #CMOs #Music #MusicBusiness #Musica #MusicIndustry #Musique #Musik #MusicBiz #MusicRoyalties #Songwriters #Composers #MusicPublishing

1

"The superfan economy is not a trend. It is where music is going. And the biggest players in the industry are now saying it publicly". Checkout the full presentation here: https://lnkd.in/ggCP2A2W

1

What’s one way to know your prediction hits the mark? When @faultline’s @ Tommy Flanagan writes “we wholeheartedly agree.”   In his latest issue, Tommy ponders an important question about the growth of short-form content: will its adoption go behind tier-1 broadcasters to niches streamers? I’d argue AI-driven shorts are a necessity for niche and tier-1s alike who want to compete (and win) against the creator economy. The reality is, viewers need more reasons to stay engaged within broadcasters’ ecosystems. AI-driven shorts give them the velocity and intelligence needed to break viewers’ habits of scrolling through their TikTok feed, and instead staying within their O&O platforms.   Simply put, the conversation has moved beyond how to participate in the creator economy to where that economy lives. In 2026, the streaming wars will pivot from a battle over library depth to a fight for the discovery funnel.    What do you think?

26

Great work by David Wille and team - "Swedish music and tech company MAIA Universe recently closed a EUR €1 million (USD $1.3m) investment round and welcomed new investors – including superstar Swedish writer-producer Max Martin. The company said that it also signed licensing agreements with major rightsholders including Sony Music Publishing UK, Sony Music UK, and Warner Chappell Music Publishing." https://lnkd.in/dSjgF_Xq

31

2 Comments

The streaming profit parade continued today, with Warner Brothers the latest to join, adding to $6.6B in combined operating profits for Q2 (up from $3.4B in Q2'24, and $6B in Q1'25). Here's the scorecard:   → Netflix: $3.8B operating profit (+45% Y/Y), continuing its reign as the profit king (but now accounts for “only” 57% of the combined profits)  → YouTube: ~$1.7B (my estimate, up 75% Y/Y), still the leader in engagement → Spotify: $460M (+60% Y/Y in USD) → Disney Entertainment DTC: $346M (vs -$19M last year)  → Warner Bros Streaming: $293M (vs -$107M last year) → Paramount+: $157M (vs $26M last year) → Peacock: Loss narrowed to -$101M (from -$348M last year) Collectively, profits nearly doubled from the same period a year ago, as the season played out pretty much as anticipated in my "Q2 Streaming Earnings Season preview". (Note: WBD, Paramount and Peacock report adjusted OIBDA; YouTube doesn't break out profits, the numbers above come from my model) Streamers are no longer trying to simply grow subs, cut costs or out-Netflix Netflix; they’re using every possible lever at their disposal to turn Time Spent into Streaming Enterprise Value. Some levers work faster than others; a large share of the gains we saw this quarter are the result of decisions put in place over a year ago. Disney's slew of announcements yesterday caught my attention: they're racing towards Media Super App status (thank you Julia Alexander at Puck for quoting my data & framework in yesterday’s issue of What I’m Hearing Plus; for more on what’s a Media Super App, check out the Streamonomics article from March 5th: https://lnkd.in/gVq7ArJV) What stood out most to you?

114

11 Comments

At PacRim Labs LLC — Today Film financing landscape is undergoing a transformation. Mainstream capital is only now catching up with what independent producers and global storytellers have known: the opportunity in media is real and under-invested. Investors such as my friends at Upstart Co-Lab are calling this out, events like the International Film Finance Forum are validating new models of cross-border structure, tax incentives, and risk-aware production finance. At PacRim Labs LLC, we are positioning the company at the intersection of production, finance, technology and global sourcing— deploying capital into quality pre-sold theatrical and streaming content offering package investors access via well-structured proceeds, security and upside. I believe this is how the next generation of film-fund managers and producers will operate — rigorous finance meets creative vision. A few key differentiators: -Financial discipline and investment structuring -Global production sourcing and incentive optimization -Distribution & sales funnel aligned from day one -Investor-oriented mindset with transparency, oversight and control

16

6 Comments

ALERT TO CALIFORNIA PRODUCERS: Major Film & TV Tax Credit Expansion & Key Dates   California has significantly expanded its Film & TV Tax Credit Program to boost local production and jobs.   Application Windows (Under New CA 4.0 Program): - Television Series (New, Relocating, Pilot, Limited, Recurring): July 7 – 9, 2025 - Independent & Non-Independent Feature Films: August 25 – 27, 2025   AB 132 (Funding) - Approved & Signed: Assembly Bill 132 was signed by Governor Newsom on Friday, June 27th, and takes effect July 1, 2025. - Funding: Annual cap increased from $330 million to $750 million for five years. This makes CA one of the most generous states for capped film incentives.   AB 1138 (Program Changes) - Expected Passage: This companion bill, expected to pass and take effect before July 4th, introduces significant improvements. While not signed as of today, July 2nd, reports indicate it's imminent.   Key Program Changes (Effective July 1, 2025, with AB 1138 passage):   - Enhanced Credit Rates: Base credit jumps from 20% to 35%. An additional 5% uplift (total 40%) for filming outside Los Angeles County.   - Expanded Eligibility (California Spend $1M+):   * Animated series/films   * Multi-camera sitcoms (animated, scripted, large-scale competition shows <30 min)   * Large-scale competition shows   * TV shows with episodes <30 minutes  Exclusions still apply for reality, documentary, game/talk shows, and above-the-line labor.   Workforce & Equity:  - 2% Bonus for Trainees: Additional credit for hiring 1-4 trainees from targeted programs serving underserved communities (in addition to union crew).  - Expanded Reporting: Productions must report ZIP codes and veteran status, in addition to race, ethnicity, and gender, for workforce inclusion. California Tax Credit Refundability (Major Change July 1, 2025):  - All qualified applicants can elect refundability.  - Electing refundability means receiving 90% of the credit paid over five years, regardless of tax liability.  - Non-refundable option still requires CA income/sales tax liability or independent producer transfer option. This significant investment is expected to support 40-50% more jobs, translating to roughly 4,400 to 5,500 new industry jobs, reclaiming California's position as a leading production hub. Entertainment Partners California Film Commission FilmLA California Production Coalition #StayinLA #StayinCA

78

9 Comments

Most podcasters ignore MP3 filenames. That is a mistake. Your MP3 filename becomes part of your public URL. Once it is in your RSS feed, it is permanent. If you publish: Episode 12 FINAL v3 (new mix).mp3 That name is now baked into your feed, cached by apps, and distributed everywhere. Rename it later and you risk broken downloads. Best practice is simple: Use lowercase letters, numbers, and hyphens only. Example: myshow-episode-012.mp3 No spaces. No special characters. No version labels. And do not rename files after publishing unless you fully understand redirects. I have seen show migrations get messy fast because of inconsistent file naming across hundreds of episodes. This is a small detail. It becomes a big one later. I deal with podcast feeds and migrations every day. Clean filenames save real support time. Your MP3 filename is infrastructure. Treat it that way. Facebook Version. Shorter. Straight talk. Podcast tip that prevents future headaches. Your MP3 filename becomes part of your permanent public URL. If you upload something like: Episode 5 FINAL NEW FIXED.mp3 That exact name goes into your RSS feed. Apps cache it. If you rename it later, downloads can fail. Keep it simple: lowercase hyphens numbers no spaces no special characters Example: myshow-episode-005.mp3 Set the pattern on episode one and never rename published files. I work with podcast feeds every day. This small detail prevents a lot of unnecessary problems later.

6

For smaller streamers, Kick is absolutely a platform worth considering right now. The 95/5 revenue split makes a massive difference. When you’re a smaller creator, your community is generally deeply loyal and highly willing to follow you across platforms. Because of that 95/5 split, the financial support those tight-knit communities provide becomes significantly more impactful than the industry-standard 50/50 split. Seeing creators like Clavicular build mainstream stardom on Kick proves a crucial point: success isn't necessarily about which platform you stream on. It’s about your content distribution strategy and how effectively you leverage clips across other social media channels to drive traffic. The creator economy is evolving rapidly in the streaming realm, and we should all be paying attention. Really enjoyed my conversation with Lucia Moses Read more in Business Insider https://lnkd.in/e828RGhz

56

4 Comments

There is too much negativity around the Entertainment Industry right now. Here are 6 positive stories/trends for your feed 📈 Studios are buying again Eight spec scripts sold in August 2025, the biggest month since 2017. For context only 11 specs sold in all of 2023. 📈 New Jersey production is booming Film & TV spend hit $402M in the first half of ’25, up 200% YoY. 📈 Disney is increasing content spend They’re adding $1B to their content budget next year for a total of $24B 📈 Tubi is doubling down on creators After launching Tubi for Creators in June, they’re already rolling out a slate of creator-led originals. 📈 Creator economy remains hot TikTok x iHeartMedia just signed a major multiplatform partnership, including creator-hosted podcasts. 📈 Florida expects a production surge Expanded 2026 tax incentives + a new below-the-line certification program are set to bring fresh business into the state. The collapse narrative is lazy. The industry is evolving, not dying. If you are open to pivoting and being malleable, you can thrive in this Industry.

325

17 Comments

Insights from Luminate's 2025 Midyear Music Report are in! 📈 Global Streaming Continues Surge: Global on-demand audio streams rose 10% to 2.5 trillion in H1 2025. This surge is driven by ex-U.S. markets surging 13% to 1.8 trillion, with streaming accounting for 92% of U.S. music consumption in early 2025. 📉 Album Sales Decline Amidst Streaming Dominance: U.S. total album consumption rose 4% to 558.9 million, yet total album sales declined 6% to 41 million in H1 2025. Digital album sales notably dropped 18% to 7 million, signifying a shift from direct purchases. 💿 Physical Album Sales Show Resilience Excluding Key Artists: While overall physical album sales declined 3% to 34 million, excluding all Taylor Swift products reveals a 6% increase to 32 million. This suggests underlying stability or growth in physical formats for other artists. 🎸 Genre Dynamics Evolve, with Rock Leading Growth: Rock leads U.S. on-demand audio sharepoint growth in H1 2025, with Alt Rock driving volume change across subgenres. Christian/Gospel notably ascended to 7th place in US On-Demand Audio volume. 🤠 Country Music's Strong Performance in Current Content: Country music's Current streaming showed an 8% volume growth in H1 2025, signaling strong performance for newer releases. Conversely, R&B/Hip-Hop's Current streaming volume saw a notable 9% decline. 📻 "Recession Pop" Resurgence Signals Catalog Power: Pop songs from the 2007-2012 era grew 6% in On-Demand Audio volume in 2025, exceeding the U.S. industry's 5% rate. This underscores the enduring streaming appeal of specific catalog content, with top tracks including Bruno Mars' "Just the Way You Are" (92M ODA). ❤️‍🔥 Super Fans Drive Deeper Engagement & Monetization: 18% of U.S. music listeners are "super fans," engaging in 5+ distinct ways. These highly engaged consumers significantly contribute to artist monetization, evidenced by higher tipping on platforms like Discord and Twitch. 🎮🎧 New Platforms Crucial for Music Discovery & Interaction: Gaming platforms are new avenues for music, tracking over 197 million Global Interactive On-Demand Streams (April-July 2025). Podcasts are also vital, with 37% of listeners playing new albums in their first week. 🎬 Transmedia Strategies and Catalog Resurgence: Transmedia strategies effectively boost music consumption, with artists leveraging film/TV roles (e.g., LISA on HBO's The White Lotus). Music documentaries, like "Becoming Led Zeppelin," are highly effective in revitalizing catalog streams, driving a sustained 23% increase in the band's global ODA, peaking at 40 million. 🤖 AI's Evolving Role in Music Creation and Industry Dialogue: 1 in 3 U.S. music listeners are comfortable with AI creating song instrumentals. Artists openly using AI, like Aventhis, have generated over 5 million global on-demand audio streams since April 2025, highlighting AI's immediate impact on the industry. Access the report in the comments below:

100

4 Comments

💡 "Attention correlates with the absolute number, not the concentration, of high-demand titles a streaming service carries, as measured by Parrot Analytics' audience demand. Streaming platforms that host more titles in the 75th, 90th, and 99th percentiles capture higher quality attention, even if those hits make up a smaller share of the total catalog."  - McKinsey & Co In other words, higher quality attention is driven less by the relative proportion of successful titles within a catalogue and more by the absolute volume of such high-demand content. Read the deep-dive here: https://lnkd.in/gdspEG39

11

A Netflix × WBD Merger: The Capital Opportunity Hiding in Plain Sight From a production-company founder and capital allocator's perspective, consolidation in entertainment isn't just a creative issue—it's a shift in market structure. Yes, mergers reduce buyers. Yes, mandates narrow. Yes, risk tolerance at the corporate level drops. But that very consolidation creates a capital inefficiency—especially in mid-range production IP, which presents clear opportunities for investors seeking diversified, scalable assets. As studios consolidate, their focus tilts heavily toward mega-budget franchises and global 'event' content. This leaves a gap for mid-range IP, which, if navigated carefully, can offer significant strategic and financial advantages despite market challenges. For investors, that gap matters. Why? Because consolidated buyers still need: • Volume • Fresh IP pipelines • Talent incubation • Prestige and cultural relevance • De-risked content with proven audience signals Mid-range IP—properly structured—can meet those needs more efficiently than blockbuster bets. Lower negative cost, tighter production timelines, flexible rights packaging, and clearer recoupment pathways make these projects option-like assets in a consolidated market. From a founder's seat, the strategy isn't just to fight consolidation—it's to design for it, proactively inspiring confidence in adaptability. That means building slats where: • IP is developed with optionality (theatrical, streaming, international, AVOD) - Rights are modular, not fully surrendered upfront - Audience validation precedes greenlight - Capital is deployed across portfolios, not single bets - A package of 10 films/projects reduces the total risk, more eggs in the basket, higher chances of 1 or even two blowing up and turning into a buyer's need. In a world with fewer gatekeepers, leverage comes from being prepared, not just scale, empowering your strategic positioning. The next wave of successful independent companies won't compete head-on with consolidated studios. They'll supply them—selectively, strategically, and on better terms—using disciplined capital, repeatable production models, and IP that travels. Consolidation doesn't kill opportunity. It concentrates it. Curious how other founders, producers, and investors are structuring mid-range IP to stay relevant—and profitable—inside an increasingly consolidated ecosystem. #IndependentFilm #IndieFilmmaking #FilmIndustry #Filmmakers #FilmBusiness #StreamingWars #ContentStrategy #FilmFinance #FilmDistribution #StudioSystem #MediaTrends #EntertainmentIndustry

2

The Crowded Landscape of Music Catalog Acquisitions The music catalog acquisition space has become incredibly saturated. Billion-dollar funds with spreadsheets at the ready are sitting on mountains of capital, each thinking they're offering something unique when approaching rightsholders. What these funds don't realize is they've become commoditized. The most valuable catalogs aren't secured through a casual email and finder's fee arrangement - they're cultivated through years of relationship building and strategic planning. Since relocating to Mexico City, I've had five major funds reach out asking if I would help them secure Latin music catalogs. Their approach? Offering a finder's fee and nothing more until close. This transactional mindset misses the point entirely. When we acquired Fania, we invested nearly two years working strategically behind the scenes - developing deep relationships, truly understanding the catalog's cultural significance, and crafting comprehensive plans for its future. In addition, we acquired the West Side Latino catalog beforehand, recognizing how these two catalogs would work together to tell a much deeper story and create opportunities for growth and long-term success. For those looking to succeed in today's competitive music catalog market, here are my recommendations: 1. Be strategic and know what type of catalog you're looking for and why. 2. Do your research to find the strategic and cultural nuggets that make you competitive. 3. Develop comprehensive marketing plans - many artists now require them as part of the bidding process. 4. Look beyond obvious revenue streams to opportunities like sampling and remixes. 5. Assemble a top-tier acquisition team including financial, marketing, music asset, and sync specialists who will set you up to succeed in acquiring the right catalogs - not just any catalogs, but those that align with your strategic vision and offer genuine growth potential. The funds that ultimately win aren't those with the deepest pockets, but those who demonstrate genuine understanding of a catalog's value and present a vision that resonates with the creators who built it. #MusicBusiness #CatalogAcquisition #MusicRights #LatinMusic #MusicIndustry https://lnkd.in/effRkQU7

50

8 Comments