Eddy Cue at SXSW 2018

Eddy Cue

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SXSW 2018: Eddy Cue On The Expanding Apple Ecosystem

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Keynote conversation takes into account new models for music consumption
Philip Merrill
GRAMMYs
Mar 13, 2018 - 4:15 pm

There's no doubt that Apple has made some sweeping changes to the way its products align with the consumption of music — look no further than the success of their Apple Music streaming service or the rampant rumors the iTunes music digital download store could be discontinued.

In a keynote conversation held at SXSW at the Austin Convention Center in Texas on March 12, Apple Senior VP, Internet, Software and Services Eddy Cue took some time to shed light into Apple's ecosystem expansion plans, including the music sector, with CNN's Dylan Byers.

The Apple Music subscription service grew in line with expectations last month, from 36 million subscribers to 38 million. But the paying customers for Apple Music and other subscription services are just a small part of the much larger demographic Apple is already serving.

"We have half a billion people visiting the App Store every week," said Cue. "There are easily 2 billion people in the world who can afford to pay for some level of music, yet Spotify and Apple Music combined have only around 100 million subs globally. There's a huge gap there and we both have to grow by a significant amount in order to get to the numbers that we should be at. … The opportunity here … is about sheer growth for music streaming, about compensating for that audience gap."

In addition, Cue highlighted Apple's smart speaker, HomePod, emphasizing its high music intelligence and its potential in a market with other smart speakers. Cue also reported the expanding adoption for Apple's AR software development kit, now in use by more than 2,000 App Store titles, saying the technology would become "a mainstream product that people use every single day."

Focusing on various touchpoints in Apple's business model, from streaming to apps, AR and more, it seems no matter what the rumors say, Apple isn't straying far from keeping music at the core of their business.

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Apple Music

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Apple Music Reportedly Launching New Music Publishing Division

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Find out what Apple's move into publishing may mean for the company's future
Philip Merrill
GRAMMYs
May 30, 2018 - 3:47 pm

Reports on May 30 that Apple has created a new international music publishing division are raising speculations about the directions the leading corporation could take. "Luring songwriters" was how Rolling Stone described the expansion, while also pointing to the end-of-summer expectation that Apple Music's current 50 million subscribers will swell to exceed Spotify's 75 million subscribers.

What's clear is that the business deeply associated with New York City's Brill Building and Nashville's Music Row is expected to find a new base in cutting-edge digital technology companies. For example, when Sony announced on May 22 that it would spend $2.3 billion to acquire a greater stake in EMI Music Publishing, Sony President/CEO Kenichiro Yoshida said, "In the entertainment space, we are focusing on building a strong IP portfolio." That was certainly a vote of confidence in the value of copyrights.

Apple and its tech competitors cultivate and protect patent IP portfolios, underlying the innovations built into their products. The journey into artistic IP by Apple, at a minimum, will give it a vantage point and valuable experience on the copyright side. For example, it could help bolster the consummation of licensing deals more swiftly as well as lead to the direct signing and development of songwriting talent.

Elena Segal has been reportedly promoted to her new role as Global Director of Music Publishing at Apple Music, having previously worked as the legal director for iTunes International. When Apple Music launched globally in 2015, Segal was head of licensing, proving she could navigate and negotiate legal requirements that, unlike Apple's tech products, are not meant to be intuitive.

David Israelite, president/CEO of the National Music Publishers Association, praised Apple's new division as "wonderful," saying it "shows their respect and admiration for the publishing industry."

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iPhone apps

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Mobile Apps: 2018 Q1 Downloads And Spending Accelerate

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Top-line stats show a blossoming market for new and proven categories in mobile apps, while Apple iOS and Google Play narrow each other's leads in spending and downloads
Philip Merrill
GRAMMYs
Apr 10, 2018 - 1:13 pm

On April 9 analyst firm App Annie released first-quarter statistics for the mobile app economy, tracking strong growth in initial installs and purchases worldwide for Apple iOS and Google Play. The stores' combined growth in downloads is 10 percent year over year for a total of 27.5 billion downloads for the first quarter. Additionally, iOS narrowed its gap with the leader Google Play by 10 percent quarter over quarter.

The growth in total spending is even more robust and reflects only initial purchases for 22 percent year-over-year growth with a total of $18.4 billion. Apple iOS is the leader for spending but Google Play narrowed that lead by 10 percent quarter over quarter. The two competitors closed each other's leads by 10 percent, suggesting the underlying health and strength of the market.

"Across all categories, Music & Audio and Entertainment apps experienced the largest market share growth of global consumer spend on Google Play, both quarter over quarter and year over year," App Annie wrote regarding its findings. "This speaks to the larger trend of consumers choosing to sign up and pay for music streaming and video streaming subscriptions in apps. The experience is quick, frictionless and secure, which is an inherent benefit mobile apps provide over other channels ..."

At the end of the quarter, App Annie found there were a total of 6.2 million apps available in the combined iOS and Google Play stores. Users have been accessing roughly 40 apps in the course of a normal month and devote about three hours every day to using them. A closer review yields the numbers also show a rapid rate of adoption for new categories of apps once they have proven themselves, such as for streaming music or fitness, suggesting future app niches could catch on quickly once they too demonstrate their benefit and convenience.

The end of the year global spend for 2017 was $86 billion for initial purchases of app downloads. Several categories of business revenue, such as third-party ad payments, are not counted in that figure. Although developing countries grow rapidly, so do maturing categories of consumer apps in established markets. Add it all together and this looks more like a takeoff than a boom.

Catching Up On Music News Powered By The Recording Academy Just Got Easier. Have A Google Home Device? "Talk To GRAMMYs"

ASCAP Logo

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ASCAP Makes Disaster Relief Donation To MusiCares

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Donation will help music community members most affected by the fires
Philip Merrill
GRAMMYs
Dec 27, 2018 - 11:59 am

Performing rights organization ASCAP announced on Dec. 18 that it is donating to MusiCares to support music's creators including those "affected by the recent wildfires in northern and southern California" needing help with food, shelter and replacement of instruments or equipment.

"We are truly grateful for the support and ongoing partnership of ASCAP," said Recording Academy and MusiCares President/CEO Neil Portnow. "Their work on behalf of music people is vital, and their generosity to the music community is equally strong. This donation demonstrates how the music industry works together to take care of their own."

"We have all been stunned by the devastation caused by the California fires and the heartache and loss suffered by our members who reside there," said ASCAP Chairman of the Board and President Paul Williams, winner of three GRAMMY awards as a songwriter. "ASCAP has always been an advocate for music creators, and faced with these terrible circumstances, we have their backs. We are pleased to work with MusiCares to get help to those who need it most."

Members may make disaster relief requests by contacting MusiCares toll-free at 1.800.687.4227.

For those wishing to donate, the "Gift Designation" choice at MusiCares' donation page offers "Disaster Relief" as a selection.

"The music community knows that it can turn to MusiCares in times of distress," said ASCAP CEO Elizabeth Matthews. "They have the organization and the infrastructure necessary to respond to these horrible events and help members of the music community in times of need. We're glad to work with MusiCares once again to ensure that our funds reach the people most affected by the fires."

Learn Why "She Is The Music" & ASCAP's Female Songwriting Camp Felt "Essential"

Amy Winehouse

Amy Winehouse Best New Artist winner for 2007 | Photo: Peter Macdiarmid/Getty Images

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How Does An Artist Qualify For The Best New Artist GRAMMY Category?

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Take a closer look at the Recording Academy's qualification rules to determine which artists can be considered in the Best New Artist category
Philip Merrill
GRAMMYs
Dec 8, 2018 - 8:59 am

Each year the selection of GRAMMY nominees is the result of careful consideration and voting by Recording Academy members, who must both follow hard-and-fast rules as well as exercise their expert musical judgement. The Best New Artist category highlights newcomers — whether a solo artist, duo or group — but since "new" is a relative term, let's take a closer look at how making the cut is determined.

First of all, eligible artists must have achieved a breakthrough into the public consciousness and impacted the musical landscape during the year's eligibility period. This speaks to the essence of why Best New Artist is one of the most-anticipated categories each year, honoring exciting new talent in the music world. But sometimes rising stars take a while to reach this point, so numerical limits also help define the criteria for being "new" in this category.

The first numerical rule boils eligibility down to the number of an artist's releases. The minimum required is five singles or tracks or a complete album. The maximum is either three albums or a total of 30 singles or tracks previously released. Having more than this number of releases results in being ineligible even when an artist breaks through into public consciousness and impacts the musical landscape in a given eligibility period.

However, even if this numerical release criterion is met, an artist may still be deemed ineligible if the artist achieved previous prominence, meaning the artist came into prominence prior to the current eligibility year.

Another numerical limit is that an artist cannot have been considered more than three times previously for Best New Artist. This also applies to solo artists who emerge from having performed as a member in previous groups. That's right, being previously considered three times either as a solo artist, in a previous band, or some mixture of the two means an artist is not eligible for Best New Artist consideration.

For more valuable and illuminating information on all things GRAMMY Awards process, head over to GRAMMY101.com, or reach out to the Awards Help Desk at 877.637.6816, and don't forget to tune in Feb. 10.

See The Full List Of Nominees For The 61st GRAMMY Awards