There are a lot of reasons to be bullish about music.
Although music is a relatively small industry compared to other sectors of entertainment – video games, movies, and TV, specifically – music has always been the great connector, the universal language, and the unifier.
That’s why it’s built for this challenging moment where transformations are causing rifts and people are hurting globally. Music can be a healthy reflection of the times because musicians are the sherpas of culture. The industry is perfectly positioned to tell the stories of the next generation.
Musicians have always been at the forefront of innovation and they remain the ultimate influencers. While the first half of 2025 has been choppy – with brand spends down and uncertainty rising – music stocks surged 46.7%, out-performing the major financial indexes. That ETF idea I proposed last year would have been a winner!
As we head into the second half of 2025, there is still a lot of growth potential from a music creation standpoint. Beyond the outpouring of innovation in AI, there are exciting new approaches to music education, like what we just witnessed in Miami Dade County Public Schools, that will help future generations of creators. More to come there!
From an artist standpoint, the indie sector continues to take market share and change the power dynamic in the industry. Artists now control more of their rights, own more of their masters, and have direct channels to their fans that define their brand identities more clearly.
And from the industry vantage point, the investments keep piling up. Music tech investments are at an all-time high while TikTok is creating a new US version of the app that’s going to open another door for rights holders to create major deals. The same goes for AI music leader, Suno, which is gearing up for deals with rights holders thanks to their new hire, Paul Sinclair.
Music remains the best way to bolster your brand and make meaningful connections with your consumers. It makes every event, campaign, and release better. If the stock market is a future predictor and a voting machine, you can see why some say music is an undervalued asset that provides a big opportunity for further growth and investment.
