Winning the new financial era

Chapter 460 Benefits to Friendship
The current world record industry structure is a tripartite confrontation. In the past, there was EMI Records. After being acquired by Universal Music in 2011, there are only three large-scale music record companies left, accounting for about 80% of the global music market.

After Zhang Yi arrived in New York, he split up with his father.He went to negotiate with the three major record companies, while his father and a group of executives from Pat Holdings went to Lilly Animal Health in Indiana, USA.

At the Mandarin Oriental Hotel on the top floor of the Time Warner Center, Zhang Yida met the CEOs of the three major record companies.

The three old men are Lucian Grange, CEO of Universal Music Group, Kazuo Hirai, President and CEO of Sony, and Stephen Cooper, CEO of Warner Music Group.

In addition to the music business of these three companies, the parent company behind them is also one of the six major film companies in Hollywood.

Unlike Sony, Universal and Warner's music business is split and operated independently.

However, Sony did not set up a music group. Its recorded music business, lyrics and music copyright business, and Dongying Sony Music were all independent, and the management was somewhat chaotic.

Therefore, Zhang Yida was surprised that Kazuo Hirai, the CEO of the parent group of Sony, personally stepped in.

After shaking hands with the three of them one by one, Zhang Yida and his subordinates took their seats in the meeting room.

After a while, Grange, the CEO of Universal Music, said: "Mr. Zhang, the music licensing agreement signed by the three major record companies of Zhonghe Group, Douvision, Kuaishou and Musical.ly, is about to expire soon.

So I asked you to come to the United States, and I also hope that the four parties can negotiate the renewal of the contract. "

Before DouTV and Musical.ly became popular, they signed a short-term music licensing agreement with the three major records.

It wasn't that Zhang Yida didn't want to sign a long-term contract, but that the three major record companies were too thieves and refused to agree to sign a long-term contract.

After all, it is the new century, and the value of Internet music copyright has long been proven.

It is absolutely impossible to cheat the three major record companies.

The employees of the US branch have been negotiating contract renewals with the three major record companies.

However, the appetite of the three major record companies is too great, and the mouth is 5 million U.S. dollars, and it is authorized by one company, and the three are 15 billion U.S. dollars.

Negotiations have been at a stalemate. Seeing that it will be 2018 soon, and the copyright authorization is about to expire, Zhang Yida is also very anxious.

For Musical.ly to expand worldwide, the issue of copyright is the top priority.

Most of the background music selected by users from the music library belongs to the three major record companies.

Take Chinese musicians as an example.

Universal Music has Alan Tam, Jacky Cheung, Hacken Lee, Huimei Zhang, Sandy Lam, Eason Chan...

Sony Records has Jay Chou, Huang Bo, Rainie Yang, Elva Hsiao, Show Show...

Warner Music has Li Ronghao, Yuan Weiya, Lou Yixiao, Lin Junjie, Jolin Tsai, Xiao Jingteng, Pan Weibo...

Basically, they were wiped out, and even some unpopular young singers were signed to the three major record companies.

Once it comes to music, you can't get around these three major record companies.

Zhang Yida once asked his employees to calculate the copyright fee paid by Penguin Music every year, and the figure he got was more than 30 billion yuan.

Of course, Penguin is more ruthless, and many of the agreements signed are exclusive copyrights in Greater China or mainland China.

This is why NetEase Cloud Music is so passive.

The moat that Penguin has built in music copyright is unparalleled in China.

Zhang Yida sorted out his language, and replied: "We are also willing to discuss the issue of copyright renewal with the three major records.

But the quotation you made is too insincere.

Short video platforms are no different than music playback platforms. Users use music as background music for videos.

It is impossible for us to make paid use like a music playback platform.

In addition, for short video platforms, video content is the most important. "

Kazuo Hirai, the chairman of Sony, smiled and shook his head, "Mr. Zhang, you are wrong.

We specifically analyzed the reasons why Musical.ly became popular, and found that a big success factor is the brainwashing music.

Without music, the short videos produced will have no soul. "

Cooper, CEO of Warner Music, also echoed: "Yes, Musical.ly is a software that can be heard from the name, and the importance of music is irreplaceable."

He looked at Zhang Yida and spread his hands, "The fact is, Musical.ly needs our help."

"Mr. Zhang, I believe that as long as the copyright issue is resolved, nothing can stop the rise of Musical.ly.

Zhonghe Group will also become a top technology company, comparable to FAANG. "

Grange smiled, "But before that, we have to get rid of our worries."

Seeing Zhang Yida's posture, the three of them were sure of themselves.

But without copyright, Musical.ly really can't survive.

Zhang Yida shrugged, and said indifferently: "Zhonghe Group has been in a state of serious losses, and it is too unrealistic to spend a large amount of money on copyright!"

"So, Mr. Zhang is going to reject the friendship of the three record companies?"

Cooper said this sentence with a smile on his face, but the words were full of threats.

"The Zhonghe Group can't survive anymore, what friendship do we need?"

Kazuo Hirai was very dissatisfied with Zhang Yida's frivolous attitude, he didn't look like the fifth richest man in the world at all.

He said with a straight face, "A company valued at 633 billion US dollars, is it so worthless to Mr. Zhang?"

"The collapse of Zhonghe Group will not benefit the four major record companies."

Zhang Yida continued: "The short videos on Musical.ly will be accompanied by a song, which is actually a promotion of music.

This benefit is first transmitted to the music playback platform, and then transmitted to the record company by the music playback platform.

Whether it is copyright income or sharing income, for the three companies behind them, they can all be greatly improved.

In addition, short video is also a brand new field.

The previous income of music copyright in the Internet field mainly came from video platforms, music playback platforms, music sharing platforms and so on.

Now that there is a whole new field, we should cultivate it together, not destroy it. "

The CEOs of the three major records didn't speak, and began to think seriously about what Zhang Yida said.

The reason why the three of them offered such a high price and even got together was because they took a fancy to Zhang Yida's wealth.

If you are so rich, who will you kill?

Zhang Yida told the three people the story of fishing in a dry lake, "In China, there were two brothers, and their father gave them two fish ponds before he died.

My brother is very industrious and smart, he fills the fish pond with little water and sprinkles fish fry...

The younger brother eats too much and is lazy, so he fishes fish from the fish pond every day and eats it all year round, big fish and small fish...

The end result was that the elder brother had worked hard for a while and had fish to eat every day, while the younger brother starved to death. "

"This story is interesting. Is Mr. Zhang saying that we are like younger brothers?" Cooper asked.

"That's right, the way you eat now looks very much like your younger brother!"

Kazuo Hirai looked at the other two, and he said, "Since Mr. Zhang is not willing to pay the copyright fee, I have another plan."

"What plan?"

"Our three major record companies have acquired shares in Zhonghe Group with copyright authorization!"

Zhang Yida looked at Kazuo Hirai, this little devil has a lot of eyes!

Cooper also chimed in: "This plan is beneficial to both of us, and we will be partners in the future.

Have common interests to maintain long-term friendship! "

Very naked!

Zhang Yida sighed, this is very American!

(End of this chapter)