(Hypebot) — Taylor Swift has once again used her power to help hundreds of other musicians. Universal Music Group will share profits from the sale of Spotify stock with artists that have not recouped their advances.
While this almost unprecedented payment promise will match Sony’s Spotify payments, the real person to thank for UMG’s largesse is Swift.
Announcing her move from indie Big Machine Universal Music Group/Republic, Swift wrote:
“There was one condition which meant more to me than any other deal point. As part of my new contract with Universal Music Group, I asked that any sale of their Spotify shares result in a distribution of money to their artists, non-recoupable.
They have generously agreed to this, at what they believe will be much better terms than paid out previously by other major labels. I see this as a sign that we are headed towards positive change for creators – a goal I’m never going to stop trying to help to achieve, in whatever ways I can. I’m so happy to have Sir Lucian Grainge as a partner in these efforts.”
It is estimated that UMG still owns about $850 million in Spotify stock. Sony shared its Spotify profits with unrecouped artists. However, Warner Music Group chose not to ignore unrecouped balances, resulting in payments to far fewer artists.