The Problem: Analogue Music Licensing

Access to intellectual property is the foundation of many business models in Web2 and Web3. However, the recent development of such business models involves managing relationships previously considered one-to-one, which are increasingly becoming one-to-many with the growth of distributed content creation methods (e.g., Generative AI) and transitioning into many-to-many relationships.

In this sense, the music industry's acceptance of technological advancements in production and distribution starkly contrasts with its outdated analogue approach to IP management. These dated methods now hinder the development of current and new business models. Two key trends highlight this challenge: the traditional financial market's growing interest in alternative asset classes and the development of digital environments for music consumption, especially in gaming, the metaverse, and Generative AI.

With these ongoing changes, it is becoming increasingly clear that analogue methods of managing IP and licensing processes are outdated and a significant barrier to growth.