"i want to be a record company." year 2000NetworkingThe founder, ding yi, said so when he was on the market; in 2013, the internet was cloudyMusicOn-line, and primarily community music, is intended to meet users ' needs for personalized music and social interaction。
On 26 may 2021, the internet cloud music submitted its book of offer to the hong kong police station; on 1 august, the hong kong police network showed that the internet cloud music had been brought to the public through a public hearing and a post-trial collection, and that the listed co-sponsors were merrillin, china and sichuan。
According to the equity book, while the net cloud-free music business registered a positive growth for three years in a row, doubling for two years in a row, the profits were still not realized, with the company having had more than three yearsLossesWith $7. 6 billion, industry believes that there is still a long way to go to make a profit. However, for web-enabled music, the main task at present is not to make a profit, but to narrow the gap between the sounding of music。
Two months after the internet cloud music came in, online musicCopyrightMarkets have changed qualitatively. On 24 july, the directorate-general for the supervision of the national market ordered the de-advertising of the exclusive copyright of online music. Do online cloud music, with 183 million live users and 24. 29 million paid users of online music, have an opportunity to develop? According to industry sources, “copyright orders” may have some advantages for cyberuncles; however, the elimination of exclusive copyrights does not mean free or lower prices for copyrights, and other competitors may benefit from short video platforms such as tremors and fast hands。
Three years and a loss of over 7 billion
Between 2018 and 2020, web-enabled music received 1,148 million yuan, 2,318 million yuan and 4,896 million yuan each, doubling for two consecutive years. In the first quarter of 2021, 1. 491 billion yuan was collected, an increase of 74. 6 per cent over the previous year。
Currently, the web-enabled music base consists mainly of “online music services” and “social entertainment services and others”。
Of this, income from online music services increased from rmb 1 billion in 2018 to rmb 1. 8 billion in 2019, to rmb 2. 6 billion in 2020 and to rmb 800 million in the first quarter of 2021, an increase of 60 per cent over the same period. The increase in income was the result of an increase in the number of monthly active users, from 2018 to 2020, when the number of monthly active users of the company's online music service was 105 million, 147 million and 181 million, respectively, with an average compound annual growth rate of 31 per cent; in 2021, q1 that figure had reached 183 million, while the number of online music subscribers had increased from 4. 2 million in 2018 to 8. 6 million in 2019, and increased further to 16 million in 2020 and to 24. 29 million in the first quarter of 2021, representing an increase of 91. 5 per cent; and the rate of online music payments had increased rapidly from 8. 8 per cent in 2020 to 13. 3 per cent of q1。
In addition, its income from social entertainment services and monthly per-paying user income increased more strongly, from rmb 500 million in 2019 to rmb 2. 3 billion in 2020 and to rmb 700 million in the first quarter of 2021. Net cloud music suggests that the rapid growth in income from this section is due to the introduction of live broadcasting services in the second half of 2018 and the rapid growth achieved. Between 2018 and 2020, the number of monthly fee users of the plate grew sharply, at 58, 9. 17 and 327. 1 million, respectively, compared with 43. 81 million in the first quarter of 2021, an increase of 69. 5 per cent over the same period. The monthly income per paid user also increased from $477. 6 in 2019 to $573. 8 in 2020. By 2020, the number of monthly live users of the plate had reached approximately 19. 4 million。
Despite this growth, the net cloud-like music has not been profitable and the net losses have been increasing, with a loss of $2 billion in 2018 and 2019, while the post-losses increased to $3 billion in 2020, a loss of $1. 7 billion in march 2021 and only $500 million in the same period last year。
Net cloud music indicates that the increase in net losses is mainly due to increased revenue as a result of business expansion, offset by higher sales and market costs and higher r & d costs; and higher losses in the fair value of the convertible preferred shares as a result of the company's increased valuation. “we have focused on expanding the user base by investing in our brand and high-quality content, laying a solid foundation for long-term development rather than seeking real-time financial returns or profitability. Our liquidity is at a relatively early stage, and future profitability is uncertain and influenced by a number of factors, including the ability to effectively realize products and services and to increase revenue in a cost-effective manner through increased operational efficiency. We expect losses to continue in the years up to 2021, 2022 and 31 december 2023.” web-enabled music is indicated in the book of stock calls。
Internet-enabled music continues to lose year after year, and one important reason is the high annual cost of copyright. According to the book, the cost of content services for web-enabled music from 2018 to 2020 was rmb 1. 97 billion, rmb 2,853 million and rmb 4,787 million, respectively, representing 171. 7 per cent, 123. 1 per cent and 97. 8 per cent of the proceeds。
For fund-raising purposes, web-enabled music, as stated in the book, will be used mainly to further develop the music community, enrich the diversity of music content and continue to innovate and improve technical capacity; continue to deepen cooperation with a variety of partners and further expand the business model of platform diversification; and for the selection of mergers, acquisitions and strategic investments, operations and business applications in general。
The fund-raising campaign will focus on further developing the music community, enriching the diversity of music content, and continuing to innovate and improve technical capacity. At the same time, collaboration with various partners continues to deepen and the business model of the platform diversifys further。
“in the light of current financial data and operating conditions, it is believed that there is still a long way to go to make internet-enabled music profitable, with the main cost being copyright on the one hand, and business model expansion on the other, and, of course, the third aspect, the size of the user, which is still limited in terms of the overall number of users, in terms of both fee-paying and fee-paying rates, etc.; but for web-enabled music, the main task is not to make a profit, but to narrow the gap between the music to be heard, which is now more important for internet-enabled music.” in an interview with a journalist in the economics watch newspaper, zhang zhang zhang zhang, a media consultant, said:。
New rules for rationalizing copyright
The internet-based music business started a little early, entering the online music market in 2013, while the e-mail started doing qqq music as early as 2005, and the 100-degree forward "ting" in 2011 and ali completed the acquisition of shrimp music in 2012. The web-enabled music takes a different approach, starting with “social music”, introducing the music stream media business and widely using and promoting the logo “songlist” feature, and trying to combine “songlist” and “share” to build an emotional bridge for users。
In 2014, web-enabled music came online to review and applaud, encouraging users to share their stories in the comment area, including appreciation of the music itself, commentary and personal memory inspired by music. Shortly thereafter, the comment area became an important symbol of the spirit of the community. In 2017, the review of web-enabled music was successfully “circum-circum-circle” and its selection of music on hangzhou subways generated widespread attention; the following year, the web-enabled cloud continued to be so fabricated that the previous year's text “standing, negative energy” had been converted into a “honorful, positive energy” story, which once again harvested a wave of traffic。
In 2016, the net launched the stones project, a programme to empower independent musicians and encourage content creation. In 2019, web-based cloud music was launched to further strengthen the social function of music, allowing users to publish and discover a wide range of music and music derivatives, in the hope that this will further broaden the participation of user groups and users and pave the way for long-term profitability. The importance of web-based cloud music is self-evident and is the basis for its liquidity, as it says: “we invest in content to enrich our content base and focus on content that is most effective and valuable to users. We will also further enrich our content base by continuously developing homemade content through effective matching of musicians, melody, lyrics and other resources.”
In the first quarter of 2021, daily users spent an average of 76. 5 minutes a day listening to internet-enabled music, with over 48 per cent of internet-enabled music listeners viewing review areas, and 75 per cent of active content creation users. As of march 31, 2021, internet cloud music had over 60 million songs, more than 1. 1 million of which were produced by registered independent musicians and had served over 260,000 registered independent musicians. According to reports from third-party institutions, internet-based cloud music is the largest online incubator for independent musicians in china. In march 2021, independent musicians were registered to play more than 47 per cent of all music stream media on the platform。
Recently, the online music market has introduced a new regulation for the vibration industry。
On 24 july, the directorate-general for the supervision of national markets announced that it had ordered the information and related companies to take measures to restore market competition within 30 days by removing exclusive music copyrights, suspending the payment of copyright costs, such as high upfront money, and preventing the upstream copyrighters from requiring them to give them better conditions than their competitors. In 2018, under the auspices of the national copyright agency, the internet-enabled music copyrights were distributed in cooperation with the internet-enabled cloud, and more than 99 per cent of each other's exclusive music works were authorized. It was not expected that just three years later, the war on copyright had changed dramatically again。
Zhang yi said to journalists that the “copyright order” was still a useful element for cyber cloud music, but could not be read too well. For, first of all, even if exclusive copyrights are eliminated, internet ease will have to pay a considerable amount of money to buy; second music copyrights themselves, which are an entry ticket for the head platform, will not be used as a threshold, which means the next extraction of the product’s operation and business model, which will be the way forward。
A similar view has been expressed by prominent music brokers. “the removal of exclusive copyright does not imply free or reduced prices for copyright. Future playout settlements or mainstream settlements for future copyrighters and platforms also mean that the original market size of the platform will have a critical impact on the bargaining power of music copyrights. Second, copyrights are not just funky music. Short video platforms, such as shivering, fast hands, which had previously had copyright disputes with music companies, would also have more initiative after the removal of exclusive copyrights。
