$40.4bn
$X.Xbn
91,440
18,038
$X.Xbn
Digital music has ultimately shifted how artists engage with fans, a transition that has had major implications for global music producers and distributors. Digital sales have plummeted as subscriptions to streaming platforms that provide massive libraries of albums surge. Physical sales have wavered but declined considerably as a share of revenue because of surging growth from streaming royalties. This pivot toward online music streaming platforms has not only revitalized the industry but also leveled the playing field for independent artists and labels. Despite this, the Big Three major labels, Sony, Universal Music Group and Warner Music Group, still dominate the industry. Industry-wide revenue has been growing at a CAGR of 3.8% over the past five years and is expected to total $40.4 billion in 2024, when revenue will jump by an estimated 3.5%, with profit set to climb to 12.6%.
Industry revenue has grown at a CAGR of 3.8 % over the past five years, to reach an estimated $40.4bn in 2024.
Market size is projected to grow over the next five years.
Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
---|---|---|---|---|
Universal Music Group | 9,661.2 | 1,538.0 | 15.9 | |
Sony Corporation | 7,184.2 | 1,294.0 | 18.0 | |
Warner Music Group Inc. | 5,456.9 | 791.7 | 14.5 |
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Industry revenue is measured across several distinct product and services lines, including Physical sales, Streaming royalties and digital downloads and Performance royalties. Physical sales is the largest segment of the Global Music Production and Distribution.
Physical sales dip amid the streaming boom
Operators in this industry sign musicians and artists to recording contracts, allocate budgets for artists' recordings, produce and master artists' work, distribute artists' music to retail and promote the artists' work through various advertising campaigns. This industry also includes music publishing, which involves leasing music as intellectual property for use beyond live performance such as in promotional material and other forms of media, notably, streaming services.
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Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Streaming royalties drive growth. The shift to digital music has led music producers and distributors to shift their dependence from physical and digital album sales to strea...
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Streaming's taken over physical and digital album sales. The shift to streaming platforms like Spotify and Apple Music has significantly reduced the demand for physical and d...
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Music producers and distributors thrive in North America. The US is the largest user of music licensing in advertising with the film and TV epicenter of Hollywood, driving th...
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Major labels still offer big advantages. Despite the rise of streaming, working with major record companies remains attractive to artists due to their strong control over pub...
Learn about the performance of the top companies in the industry.
The Big Three are increasing their legacy catalogs. UMG recently acquired Neil Diamond's entire discography, WMG now owns David Bowie's songbook and SME bought Bob Dylan's po...
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
The internet is music's main stage now. As more people get online, artists and labels gain more exposure, though piracy is still a thorn in the industry's side.
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Streaming boosts profit but pays less than album sales. While streaming has cut operational costs for distributors, the revenue per stream is lower, meaning music producers n...
Including values and annual change:
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The market size of the Global Music Production and Distribution industry in Global is $40.4bn in 2024.
There are 18,038 businesses in the Global Music Production and Distribution industry in Global, which has grown at a CAGR of 1.7 % between 2019 and 2024.
The market size of the Global Music Production and Distribution industry in Global has been growing at a CAGR of 3.8 % between 2019 and 2024.
Over the next five years, the Global Music Production and Distribution industry in Global is expected to grow.
The biggest companies operating in the Global Music Production and Distribution market in Global are Universal Music Group, Sony Corporation and Warner Music Group Inc.
Negotiating recording, publishing, licensing and distribution contracts and Producing and mastering artist recordings are part of the Global Music Production and Distribution industry.
The company holding the most market share in Global is Universal Music Group.
The level of competition is high and increasing in the Global Music Production and Distribution industry in Global.