Warner Music Group has cut a licensing deal with SoundCloud to adopt the streamer’s Fan-Powered Royalties system, which allocates royalties based on individual user listening and is thought to be more artist-friendly. WMG is the first major label to adopt the system, and its embrace of the model could signal a larger shift for the industry.
SoundCloud made waves last year when it introduced the new payout model in which money paid by subscribers is allocated to artists they actually…