news 
As the possibility of another TikTok ban looms, record labels are urged to take proactive measures to mitigate potential losses.
According to recent data, the music industry has seen a significant surge in revenue growth thanks to TikTok’s popularity. In 2022, the platform generated an estimated $1.8 billion in revenue, with a substantial portion coming from music streaming and licensing agreements.
However, the looming ban could have devastating consequences for record labels, which heavily rely on the app’s vast user base and algorithm-driven discovery features. With TikTok, new artists can gain instant exposure, while established acts can expand their fanbase and increase engagement.
In this context, it is crucial that record labels ‘need to be prepared’ by diversifying their online presence and adapting to a post-TikTok landscape. This could involve strengthening relationships with other platforms like Instagram Reels, YouTube Shorts, and Twitch, as well as exploring alternative social media avenues.
Moreover, the industry should focus on developing more resilient and sustainable business models that are not solely reliant on a single platform’s success or failure.
Source: www.billboard.com
