TikTok Music is Shutting Down
The platform will shift its focus after failing to compete with giants like Spotify
TikTok has announced it will shut down its subscription music service, TikTok Music, on November 28, 2024. The service, once dubbed a potential "Spotify killer," will end in the five regions where it currently operates – Indonesia, Brazil, Australia, Singapore, and Mexico.
The company is encouraging its users to utilize the “Add to Music App” feature which lets users save the songs they discover on TikTok to the music streaming services of their choice. Users were told to transfer playlists to other services no later than Oct. 28
Launched in July 2023, TikTok Music was an ambitious attempt to expand on the platform's power in discovering viral songs while partnering with major record labels like Sony, Warner, and Universal. However, disputes with these labels over compensation and artificial intelligence concerns created tension. Earlier this year, TikTok and Universal Music Group faced a standoff that led to top artists like Taylor Swift, Drake, and Adele being removed from the platform, though the issue was resolved by May.
This is a step in the right direction because music rights holders are happier with the rates at Spotify, Apple Music and Amazon Music.
Meanwhile TikTok is also dealing with political pressure in the U.S. due to potential national security concerns and is being mandated to sell to an American company by next year or face a ban in the US. The platform also claims that banning it would violate the First Amendment rights of its 170 million U.S. users.
TikTok’s lawyers stated that Congress has not presented sufficient evidence to justify a ban based on national security concerns, noting that much of the evidence is classified although the judges have seen the full, uncensored evidence.
This legal battle with the Department of Justice will determine TikTok’s future in its largest market and could set an important precedent for other foreign social media platforms in the US. If the company's legal battles fail, the app could be banned in the U.S. as early as January 2025.
The government insists that the issue is not about free speech, but rather the foreign ownership of TikTok. Officials fear that TikTok could be used by China for data collection or other harmful activities. A DOJ lawyer pointed out that part of TikTok’s code is written in China, and the Chinese government could have influence over its parent company.