Written on the 8 March 2010
A $100 million Gold Coast company has developed a concept that is set to rock iTunes after sealing a deal with two of the world’s largest music labels. Universal Music and EMI are dancing to the tune of ad-supported music start up Guvera — an unlisted public company on the cusp of revolutionising the music industry.
GUVERA Limited is a unique model for music distribution. It matches the audience with the advertiser and the music so that the consumer has non-confrontational access to music paid for by brands.
“One of our missions is to make music free for people worldwide, while still paying the artists and the labels that create and distribute it,” he says.
“With Guvera, every brand can offer engaging content to their target consumers without disrupting them with ads and can use their channel to represent music that relates to the brands’ personality.”
Brands will pay a fee when their targeted consumers download music and companies such as Universal Music Group will, in turn, receive a percentage of that fee per download to distribute back to their artists and/or labels.
Executive vice president of business development and business affairs at Universal Music (whose artists include Elton John, Lady Gaga, 50 Cent and The Killers) in the US David Ring, says the concept makes perfect sense in that the Guvera service will strengthen the connection between artists and fans.
“Universal Music is committed to cultivating legitimate online entertainment by offering our consumers even more ways to enjoy the musical experience where they want, how they want and in the manner of their choosing,” says Ring.