NetEase Cloud Music, China’s second-largest music streaming service, has taken another step in growing its K-pop library.
Cloud Music announced on Monday (May 13) that it has inked a licensing agreement with South Korea’s Kakao Entertainment.
Under the terms of the agreement, the two companies “will engage in diverse approaches to unlock more opportunities for Kakao Entertainment’s vast and influential catalog as well as its prominent artists to effectively build influence among younger generation users in China,” Cloud Music said in a statement.
The deal will see the two companies cooperate in the promotion of Kakao Entertainment’s K-pop artists in China.
It follows hot on the heels of a partnership that Cloud Music struck with another K-pop company, JYP Entertainment, late last month.
In December, Cloud Music teamed up with Japanese music distributor SPACE SHOWER FUGA to expand its library of Japanese music.
And in late 2022, it signed a licensing agreement with Japanese anime and music production firm Pony Canyon.
Cloud Music said on Monday that it had also signed a deal with SM Entertainment, nearly 40% of which is owned by Kakao Corp., the telecom giant that owns Kakao Entertainment.
Cloud Music “has gained popularity among the younger generation, who have varied tastes and a desire to discover new music,” the company said. “The platform is upgrading its advanced music recommendations to better connect music production and consumption, which bodes well for Kakao Entertainment’s ability to efficiently distribute content in China.”
“We are excited to partner with Kakao Entertainment and share the passion for delivering exceptional music experiences to users. This partnership further solidifies NetEase Cloud Music’s position as a prominent platform for international music, particularly resonating with our vibrant music community,” said Vivian Wei, Vice President of Copyrights at NetEase Cloud Music.
“At our core, we are committed to connecting music lovers with their beloved artists and songs. We are thrilled to have access to Kakao Entertainment’s extensive catalog of top-tier artists, which further cements our dedication. Through our shared endeavors, we look forward to offering music lovers an even greater selection of top-notch Korean music while exploring more opportunities to benefit our passionate community of music enthusiasts.”
“This partnership further solidifies NetEase Cloud Music’s position as a prominent platform for international music, particularly resonating with our vibrant music community.”
Vivan Wei, NetEase Cloud Music
The Kakao Entertainment catalog boasts 70,000 tracks, including JAY PARK’s GANADARA, Chungha’s I’m Ready, FTISLAND’s Severely, CNBLUE’s Can’t Stop, N.Flying’s Rooftop, THE BOYZ’ Nectar, STAYC’s Bubble, and KISS OF LIFE’s Shhh.
“This partnership presents exciting opportunities for our renowned artists to connect with younger music lovers throughout China via NetEase Cloud Music. As industry leaders in music and entertainment, both Kakao Entertainment and NetEase Cloud Music are constantly seeking broader opportunities for the appreciation and enjoyment of the world’s most iconic music,” Kakao Entertainment said in a statement.
“Through our partnership with NetEase Cloud Music, we eagerly anticipate collaborating on a variety of approaches that will enable our talented artists to resonate with their fans at a local level.”
Kakao Entertainment
“Through our partnership with NetEase Cloud Music, we eagerly anticipate collaborating on a variety of approaches that will enable our talented artists to resonate with their fans at a local level. We are thrilled about the potential this collaboration holds and the new avenues it will open for our artists.”
In its full-year earnings report for 2023, Cloud Music said that paid subscribers on its platform reached 44.12 million at the end of the year, a 15.3% YoY increase.
That puts the music streaming service behind only China’s market leader, Tencent Music, whose various streaming services combined reached 106.7 million paying subscribers in 2023, up 20.3% YoY.Music Business Worldwide [STAGING]
