The agreement will have a major effect on both how the consumer experiences social media, how the music industry uses social media for its product, and how artists are compensated for their work.
"Under this partnership, users will be able to upload videos that contain licensed music and personalize their music experiences on Facebook, Instagram and Oculus, while sharing videos with friends and family", the companies said in a statement. Eventually, the FB x UMG collab will expand to also include access to UMG's library across multiple social features and music-based products, including a revamped Messenger app.
Michael Nash, executive VP of digital strategy for Universal Music, stated the new deal was "an important first step demonstrating that innovation and fair compensation for music creators are mutually reinforcing".
Facebook head of music Tamara Hrivnak said the deal would allow Facebook users to "open up creativity, connection and innovation through music and video". "We look forward to Facebook becoming a significant contributor to a healthy ecosystem for music that will benefit artists, fans and all those who invest in bringing great music to the world".
Three die as train derails on highway bridge in Washington state
Military personnel, police, firefighters and medics descended upon the scene. "We got cars everywhere and down onto the highway". Konzelman said he couldn't move so they stayed with him, covering him with a blanket, until others arrived.
YouTube is on its way to launch its new paid music service which will be out by March next year.
Warner Music and Sony also extended deals with YouTube, and according to insiders they will likely sign deals with Facebook following Thursday's UMG news.
Video is a victor on Facebook.
Earlier this month, Facebook released its own collections of songs and song effects. And a year ago, FB founder Mark Zuckerberg told analysts that Facebook users watched an average of 100 million hours of video on the platform every day, though it has struggled to monetize that traffic. Universal formed a similar partnership with MySpace in 2008 to give its music a broader reach.