.st0{fill:#FFFFFF;}

Universal Music & Deezer: Defining ‘Music’ & Revolutionizing Streaming Profits 

 September 21, 2023

By  Joe Habscheid

Summary: With the world’s largest record label, Universal Music Group, forging a deal with French streaming service Deezer, the way we perceive and monetize ‘functional music’ is coming under the spotlight. The intent is to appropriately value the work of professional artists while tackling the issue of streaming fraud. A promising start to establishing a fairer streaming model. It also opens a Pandora’s box of questions, especially around the definition of ‘non-artist noise content.’


As a lawyer, doctor, or consultant, you might ask why this matters. Mining this development further, you will uncover its signpost directing us to a major intersection between technology, media, law, and commerce, effecting legal professionals, entertainers, marketers, and entrepreneurs alike.

Revolutionizing Streaming Monetization

By now, you’ve probably used or at least heard of streaming platforms like Spotify or Deezer. They’ve become omnipresent in our lives. But have you ever considered the difference between the value assigned to ambient tracks like white noise or rainfall sounds, and a meticulously crafted song by a professional artist? Universal Music Group and Deezer have.

Functional Music: How It’s Changing

Under the current system, whether you’re streaming Beethoven’s Symphony No. 9 or a 10-hour track of monotonous techno drone, both carry the same value. However, this new deal aims to differentiate and assign relative value. ‘Functional music’ such as AI-generated noise tracks would be demonetized, shifting predominance to recognized and engaged artists.

The Rationale & The Controversy

Why make this change? For one, Deezer estimates that about 7% of streams are fraudulent. Moreover, if Spotify were to remove just the category of ‘white noise,’ it could add an estimated $38 million annually to its gross profit. The intent here is clear: to deter gaming of the system and ensure fairer compensation for professional artists.

Yet, there’s a lingering sense of discord. This move inadvertently creates a dichotomy between hobbyists and professionals, raising concerns of unjust discrimination and posing challenging questions: Who truly gets to define what ‘non-artist noise content’ is?

What’s Next?

While this deal indeed heralds a shift in the streaming industry, it’s only the beginning. It serves to kickstart a dialogue about what we define as ‘music’ and how we can create a more equitable model for monetizing it. As professionals, it’s also forcing us to consider the implications of such changes on copyright law, content creation, and marketing dynamics. And isn’t it important for us to keep our fingers on the pulse of such shifts?


Whether it’s the complex equations of string theory or the check-and-balance of a financial audit, aren’t we all, at the end of the day, striving to place rightful value where it’s due? This move by Universal Music and Deezer is an affirmation of such aspirations, albeit set to a different tune. So, let’s stay in sync with these changes and leverage them to ensure a more harmonious future!

#UniversalMusic #Deezer #FunctionalMusic #StreamingMonetization #FairValue

More Info — Click Here

Featured Image courtesy of Unsplash and Marcela Laskoski (YrtFlrLo2DQ)

Joe Habscheid


Joe Habscheid is the founder of midmichiganai.com. A trilingual speaker fluent in Luxemburgese, German, and English, he grew up in Germany near Luxembourg. After obtaining a Master's in Physics in Germany, he moved to the U.S. and built a successful electronics manufacturing office. With an MBA and over 20 years of expertise transforming several small businesses into multi-seven-figure successes, Joe believes in using time wisely. His approach to consulting helps clients increase revenue and execute growth strategies. Joe's writings offer valuable insights into AI, marketing, politics, and general interests.

Interested in the Power of AI ?

Join The Online Community Of Mid-Michigan Business Owners Embracing Artificial Intelligence. In The Future, AI Won't Replace Humans, But Those Who Know How To Leverage AI Will Undoubtedly Surpass Those Who Don't.

>