YouTube Friday acquired RightsFlow, a New York-based company, to manage its music licensing, according to a blog post on the Web site.
The video-sharing Web site, which is a unit of Google, said the acquisition would help establish a steadier relationship with music publishers by ensuring appropriate and accurate payments.
As new ways of consuming music have emerged, RightsFlow has been at the forefront of solving the complex issues of licensing and royalty payment management. We couldn't think of a better team to bring on board to further YouTube's support of the creative community, said YouTube product manager David King in a statement on the blog.
RightsFlow has a database of more than 30 million songs and works at solving the complex issues of copyright management and royalty payment. With over millions of videos on YouTube, it's tough to keep a track of music due to lack of a central database for music publishers. Attaining RightsFlow's expertise would help people like songwriters, publishers, performers, and recording companies, find business and collect a share of ad revenue, as New York Times noted.
We've already invested tens of millions of dollars in content management technology such as Content ID, said YouTube product manager David King in a blog post. We want to keep pushing things forward.
King further added that the acquisition was expected to turn YouTube into a launch pad for talented and aspiring artists.
Financial details of the deal were not disclosed.