UnitedMasters, a US-based music distribution platform for independent artists founded by industry veteran Steve Stoute, has raised $50m in its series B round from a consortium led by US-listed computer company Apple.
Alphabet, a US-listed conglomerate and owner of YouTube video platform, and venture capital firm Andreessen Horowitz (A16Z) reinvested in the B round.
Launched in 2017 with $70m from A16Z, Alphabet and 21st Century Fox, UnitedMasters is an alternative to the traditional major label system, which typically requires artists to give up the rights to their music in exchange for an advance, distribution, marketing and promotion.
Artists pay a $5 monthly subscription fee or give a 10% take to UnitedMasters and retain ownership of their music.
The company said it had released music from more than one million artists, including NLE Choppa, Lil Tecca, Lil XXEL, and recent breakouts Tobe Nwigwe and Curtis Roach.
In July, UnitedMasters launched a subscription tier, Select, for musicians to keep all their royalties from digital services.
Eddy Cue, head of services at Apple, which operates the world’s second-largest streaming service by subscriptions, said: “We want artists to be focused on creating the best music on the planet. That is their art and skill and it is hard to have to be the marketing person and the finance person and the salesperson and do all these things when you are starting out.”
