A deal that has been under the radar for months has finally been signed.
Spotify, the company that owns the popular streaming service Beats Music, announced the news on its website late Monday evening.
The agreement, which will see Spotify pay Beats $1 billion, was first reported by The New York Times on Monday.
The $1.1 billion in cash payment is the largest ever in a licensing agreement between a single company and a single artist.
The $500 million is expected to be split between Beats and a new artist.
“This agreement is unbeatable, it’s unmatched in terms of the amount of money and it’s unprecedented,” Beats CEO Jimmy Iovine told the Times.
“The deal is one of the best Ive seen.
We are very excited about the new relationship.”
Iovine was in Dubai on Monday for a major music event, where he presented Beats’ new licensing agreement to a crowd of 30,000.
The deal was announced just hours before the Apple Music launch in the United States.
“I’m very happy to be here today with my new partners Beats and Spotify,” Iovino told reporters after the event.
Iveine and other executives have been vocal about the fact that Beats has long been in a race to find the right artists for its music platform. “
It’s going to be the best thing to happen to the music business in the last 10 years.”
Iveine and other executives have been vocal about the fact that Beats has long been in a race to find the right artists for its music platform.
It has been in the race with music streaming service Tidal for years, but the company was recently bought by a Chinese company.
It is currently looking to add a second music platform to its roster, though Iovin is still confident that the company will win the race.
“If you look at our business history, we have a long-term commitment to our artists,” Iveine told reporters in the fall of 2017.
“Our platform is the only one that has the ability to deliver the kind of value to our customers.
We think that this is the future.””
We think it’s a great platform for us and a great way to expand our catalog, because it’s the only platform that’s going through a major expansion, but it’s also the only business that has an established brand and is very strong.
So I think it will continue to be a successful business for us.”