Google Trying to Force Indie Record Labels into Submission
(Updated June 17, 2014)
This post was originally published in late May, but with news breaking that Google is pushing ahead on its plan to block indie labels from its new music service I’m reposting. Here’s the latest from The Guardian:
Adele, Arctic Monkeys and Jack White could disappear from YouTube “in a matter of days” after the Google video service confirmed it was dropping content from independent labels that have not signed up for its upcoming subscription music service…
…The company’s head of content and business operations, Robert Kyncl,told the Financial Times that the service – previously rumoured to be called YouTube Music Pass – will launch more widely later in the year.
His confirmation that YouTube will block videos from labels that do not sign licensing deals for the new premium tier will be hugely controversial among indie labels, with trade body WIN already filing a complaint to the European Commission about its negotiating strategy.
Here’s my original post from May 24th, 2014:
Excuse me while I choke back the bile rising in my gut. Our pal Google, the worldwide protector of free speech on the web, is showing its true colors as it reportedly goes toe to toe with indie record labels in negotiations over its new streaming music service. According to the New York Times, representatives from Google/YouTube are trying to strong arm the labels into crying “uncle” by blackmailing them into submission over contract terms:
Negotiations between independents and YouTube, which is owned by Google, have dragged on for months. But according to several people with direct knowledge of the talks, the indies’ decision to speak out was driven by a recent warning that if labels failed to agree to YouTube’s licensing terms, music on the indies’ official YouTube channels would be blocked. In addition, those labels would be unable to collect advertising revenue from user-uploaded videos that included their music.
The Worldwide Independent Network published a statement on their website taking Google to task:
YouTube is expected to launch a new music streaming service. The service has apparently negotiated separate agreements with the three major labels – Sony, Warner and Universal – but according to WIN’s trade association colleagues has yet to reach any substantive agreement with their members.
At a time when independent music companies are increasing their global market share WIN has raised major concerns about YouTube’s recent policy of approaching independent labels directly with a template contract and an explicit threat that their content will be blocked on the platform if it is not signed.
According to WIN members, the contracts currently on offer to independent labels from YouTube are on highly unfavourable, and non-negotiable terms, and undervalue existing rates in the marketplace from existing music streaming partners such as Spotify, Rdio, Deezerand others.
WIN has held extensive talks with YouTube at their instigation over the last 24 hours to try and resolve this issue but no progress has been made. WIN’s request for YouTube to rescind the termination letters sent to its members has not as yet been agreed to.
Google representatives have repeatedly pulled out the “free speech” card as rationale for allowing Google to run rough shod over artist’s rights (human rights) online and its lobbyists often employ the “protect free speech” argument as a sacred sword to move politicians and the public to its side during policy debates regarding its online business practices. That dearly held corporate concept seems to have gone out the window during these discussions demonstrating that ultimately, it’s not a matter of principle for Google, but profits.
Every time an artist sends a DMCA takedown request for any Google-hosted content (YouTube, Blogger, Search, Drive, etc) they are warned that a copy of the notice will be sent to the “Chilling Effects” website which, according to its “about” page, exists in order to, “support lawful online activity against the chill of unwarranted legal threats.”
Please note that a copy of each legal notice we receive is sent to a third-party which may publish and annotate it (with your personal information removed). As such, the content submitted in this form will be forwarded to Chilling Effects (http://www.chillingeffects.org) for publication. You can see an example of such a publication athttp://www.chillingeffects.org/dmca512/notice.cgi?NoticeID=861. For products like Google Web Search, a link to your published notice will be displayed in Google’s search results in place of the removed content.
I wonder if the folks at Chilling Effects would consider whether YouTube’s negotiating tactics are having a “chilling effects” on indie musicians?
More irony can be found on Google’s own policy blog the company touts how it “promotes free speech on the internet.”
Google’s commitment to freedom of expression is at the core of everything we do — whether it’s independent media organizations using YouTube to express themselves in Venezuela, or citizen journalists using Blogger to chronicle Myanmar’s crackdown last year on Buddhist monk protests. Unfortunately, many governments around the world impose limits on their citizens’ freedom of speech, and that often leads them to block or limit access to our tools and services.
Hypocrisy seems too gentle a term in characterizing Google’s current stance with indie labels on YouTube. Agree to our terms or we’ll block your work? Seems their “commitment to freedom of expression” doesn’t count if you refuse to add profits to their piggy bank.