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SoundCloud Signs Licensing Deal With Sony, Last Of The Major Labels

Now that SoundCloud has all three majors on board, the service can implement a paid subscription service.

March 18, 2016

According to "watertight sources," Music Business Worldwide reported today that SoundCloud has signed a licensing agreement with Sony Music Entertainment, the last of the three major labels to make a deal with the online streaming service. After signing licensing deals with Warner Music Group in 2014, independent-label organization Merlin in 2015, and Universal Music Group earlier this year, SoundCloud has been itching to get Sony on board to finally implement a paid subscription tier for users.

Last summer, an unsigned contract for SoundCloud's potential paid subscription tier leaked online. The document detailed that the third tier would remain free, but users could pay for an ad-free experience if they opt-into the "Additional Services" tier. The most expensive tier, “SoundCloud Full Catalog Subscription Service," would allow users to access the entirety of SoundCloud's available catalog. Although it is unclear whether SoundCloud will still instate these plans, cutting the licensing deal with Sony allows SoundCloud to finally carry them out.

SoundCloud Signs Licensing Deal With Sony, Last Of The Major Labels