The Music Industry’s Streaming Conundrum
The music industry has undergone significant changes since the dawn of the digital age. Despite the many benefits of streaming, the financial reality for songwriters remains a pressing concern. In a study conducted by Midia Research, only 10% of songwriters earned more than $30,000 per year, while over half earned between $0 and $1,000. A staggering 67% of respondents cited the "lack of sensible streaming income" as their main challenge.
A New Approach to Supporting Songwriters
Grammy-nominated songwriter and producer Gregg Wattenberg, along with former Wind-Up Records CEO Steve Art, has launched a "curated community" of songwriters and producers. This innovative initiative aims to provide a platform for creatives to thrive, while also addressing the financial inequities faced by songwriters. The fully equipped two-story recording studio in New York City’s Tribeca neighborhood is designed to foster collaboration and inspiration.
Redefining the Deal for Songwriters
Wattenberg highlights the disparity in streaming income, where songwriters earn only about $500 for one million streams. In contrast, the master rights holders can earn up to $5,000 for the same number of streams. To address this imbalance, the Artist House offers a unique deal, where songwriters receive a percentage of the master rights income. This approach ensures that songwriters are fairly compensated for their work, with the potential to earn up to 10 times more than they would through traditional licensing fees.
A Holistic Approach to Artist Development
The Artist House is not only focused on supporting songwriters but also on developing artists. The company has reoriented its A&R process to identify talents with long-term growth potential. This approach combines data analysis with intuitive decision-making, allowing the team to discover and nurture emerging artists. One example is Izzy Escobar, a former UCLA student who was discovered through her freestyles on TikTok and Instagram. The Artist House provided her with the opportunity to write a song about toast, which she completed in just a few days.
Maximizing Opportunities for Artists and Songwriters
The Artist House is committed to helping artists and songwriters maximize their earning potential through licensing fees, partnerships, and synchronization placements. With the rise of streaming services, the demand for high-quality content has increased, creating new opportunities for creatives. The company’s focus on collaboration and community-building enables songwriters to develop their skills and work with established artists, leading to successful outcomes.
A Creative Haven in the Heart of Manhattan
The Artist House studio is designed to be a comfortable and inspiring space, where creatives can thrive. The state-of-the-art facility is equipped with top-notch equipment and amenities, making it an ideal location for artists to produce and record music. The studio’s unique atmosphere and location have already attracted attention, with the Grammys planning to host their Grammy camp at the facility next year.
A New Era for the Music Industry in New York City
Wattenberg hopes that the Artist House will play a role in revitalizing the music scene in New York City. By providing a platform for creatives to develop and succeed, the company aims to break new artists and build a vibrant community of songwriters and producers. As the music industry continues to evolve, initiatives like the Artist House are essential in promoting fairness, collaboration, and innovation.
