In a statement released this morning, SoundCloud effectively brought the music streaming business into uncharted territory. Continuing on a string of strategic yet controversial business alliances, the company has signed an agreement with Merlin, a so-called “Global Music Rights Agency” that works on behalf of over 20,000 independent music labels. Some noteworthy labels include Warp Records, Epitaph, !K7, and thousands more. In an ongoing attempt to monetize streaming, and following increasing backlash from much of the music industry, SoundCloud seems to finally be transforming in a positive manner.
With this in mind, the Merlin deal can be seen as a stepping stone for SoundCloud to be a legitimate platform for established artists to release licensed content in an entirely legal manner.
For more information, take a look at this Interview with Music Ally in which they discuss aspects of the licensing deal