Orfium has signed an agreement with Avex, one of Japan’s largest entertainment companies.
The Avex partnership follows Orfium’s success to date in other major markets, including the US and the UK, where its clients include leading music publishers, record labels, broadcasters and production music companies.
Orfium’s AI-based matching technology identifies and captures unrealised revenue from YouTube and other UGC platforms.
Japan, which continues to experience significant growth in digital revenues, has been the focus of Orfium’s global expansion since 2022 when it acquired Breaker and established Orfium Japan. The Japanese division is led by Alan Swarts, who has more than 25 years of experience in the Japanese music and entertainment industry.
While YouTube is the most popular video platform in Japan, with over 70 million monthly active users, UGC monetisation is still in its infancy. Many Japanese music companies have only recently changed their policy of blocking the use of sound recordings on UGC platforms to allow their use and monetisation.
As the Japanese music business starts to embrace UGC monetization, it will be able to benefit from increasing revenues from YouTube, which paid over $6 billion to the global music industry in 2022.
Orfium will become Avex’s partner for music catalogue management on YouTube, working to maximise the monetisation of Avex’s repertoire for rights-holders, artists, writers and composers.
Orfium CEO Rob Wells (pictured) said: “Avex is one of Japan’s top entertainment businesses. Having entered the local market with the acquisition of Breaker in 2022, Orfium has gone from strength to strength as we continue to demonstrate the incremental value we’re delivering to our Japanese clients. The magnitude of growth of UGC in Japan is remarkable and to be selected as the tech partner of choice by Avex is a real endorsement of our offer and capabilities. We’re very proud to partner with them.”
Alan Swarts, CEO at Orfium Japan, added: “We’re on a mission to bridge the value gap that exists across UGC platforms for creators and rights-holders in Japan. Orfium’s AI-based technology, combined with our deep local industry knowledge, has enabled us to grow quickly while clearly demonstrating the value we can deliver to our Japanese partners. We’re very much looking forward to working with the Avex team to deliver the best possible results.”
Takeya Ino, president at Avex Music Creative, said: “I am extremely pleased to partner with Orfium, who are at the cutting edge of technological innovation in music and entertainment. I believe Avex and Japan have content and culture that captivates people worldwide. As Japanese music reaches new audiences all over the world through YouTube and other UGC platforms, it is also creating significant new revenue opportunities for creators and rights-holders. I expect that a partnership with Orfium, with its impressive track record, will deliver great results for us.“
Orfium’s latest mandate represents its first full YouTube management deal with an Asian company.
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