ByteDance to Close TikTok Music, Shifting Focus to Streaming Partnerships

ByteDance, the parent company of TikTok, is set to close its music streaming service, TikTok Music, on November 28, 2024. Available in limited markets—Indonesia, Brazil, Australia, Singapore, and Mexico—the shutdown marks the end of ByteDance’s direct venture into the music streaming market. The announcement came via a notice on the TikTok Music website, informing users that they would need to transfer their playlists to other services by October 28, with refund requests accepted until the official closure date.

TikTok Music’s closure signals a strategic pivot for ByteDance as it refocuses its efforts on partnerships with established music streaming platforms like Apple Music, Amazon Music, and Spotify. Ole Obermann, Global Head of Music Business Development at TikTok, noted that this move will allow TikTok to further its role in boosting music discovery and streaming value for artists, songwriters, and the music industry at large.

A Short-Lived Service

Originally based on ByteDance’s Resso, a music app first launched in India and Indonesia in 2019, TikTok Music had a relatively short lifespan. In 2023, ByteDance rebranded Resso to TikTok Music in Brazil and Indonesia, expanding it shortly after to Singapore, Australia, and Mexico. However, despite TikTok’s global influence, the streaming service remained limited to these five markets.

India, once a key market for Resso, banned the app earlier this year, likely contributing to the limitations in expanding TikTok Music. ByteDance seemed eager to capitalize on TikTok’s influence in the music industry, but its streaming ambitions were ultimately hampered by geopolitical and industry challenges.

Strategic Shift Toward Music Partnerships

TikTok Music’s shutdown aligns with ByteDance’s broader strategy to collaborate with, rather than compete against, major music streaming platforms. Earlier this year, TikTok launched an “Add to Music” feature, allowing users to add tracks directly to their playlists on Apple Music, Amazon Music, and Spotify. This feature has already facilitated hundreds of millions of track saves, according to ByteDance, and underscores the company’s commitment to enhancing music discovery and streaming without directly entering the competitive streaming market.

While TikTok Music is going offline, ByteDance’s other music-related ventures remain active, including SoundOn, its music distribution platform for independent artists. This indicates that ByteDance is still invested in music but will pursue other avenues to leverage TikTok’s strength in music discovery.

Impact on Marketers and the Music Industry

For marketers, ByteDance’s decision to shut down TikTok Music might actually open more doors. With the service out of the picture, TikTok can double down on its role as a discovery platform and focus on strengthening partnerships with streaming giants like Spotify and Apple Music. Brands and marketers will benefit from this pivot, as they can work with TikTok to create more integrated music-based campaigns, leveraging the “Add to Music” feature to reach broader, more engaged audiences.

TikTok’s influence on music streaming is undeniable. A study by Lumiate, in collaboration with TikTok, highlighted the platform’s impact in driving streams and boosting artist visibility. By focusing on partnerships instead of its own streaming service, TikTok can expand its ability to push music discovery, offering new opportunities for artists, songwriters, and marketers to capitalize on TikTok’s viral power.

TikTok’s Tense Relationship with the Music Industry

Despite TikTok’s prominence in music discovery, its relationship with the music industry has been fraught with tension. Earlier in 2024, Universal Music Group (UMG) briefly removed its music catalog from TikTok following disputes over royalties. Although TikTok and UMG later reached a deal, this conflict likely contributed to ByteDance’s reconsideration of its role in the music space.

As ByteDance shuts down TikTok Music, it will continue navigating complex relationships within the music industry while focusing on growing TikTok’s role as a crucial driver of music streaming.

Tags:

Leave a Reply

Your email address will not be published. Required fields are marked *

Alsafi Marketing News