Beijing’s music industry to be worth $17bn by 2025
The Beijing municipal government has unveiled plans to position the city as an “international music capital”, aiming for revenue from the Chinese capital’s music and related industries to reach ¥120 billion (US$17.2bn) by 2025.
The city, which generated ¥60bn, or $8.6bn, from its music industry in 2017 according to government officials, is to become the “global centre of Chinese music”.
The proposal calls for Beijing to build more small-sized live music venues, offer artists better copyright protections and increase development of its digital music industry.
The government guidelines also encourages innovation in music technology, including AI composition and “musical emotional recognition”. Separate plans will now be drawn up for the implementation of the policy.
According to a recent report by the China Music Industry Forum, the country’s music industry was worth more than ¥370bn ($53bn) in 2019, up 8% year-on-year.
“Interest in the local market has skyrocketed in recent years”
Chengdu, the capital of Sichuan province, has also been designated an “international music capital” by the government.
Kyle Bagley, owner of Chinese music industry marketing agency Groove Dynasty, told the South China Morning Post that government support could greatly benefit local musicians.
“Interest in the local market has skyrocketed in recent years, and with the success of the country’s home-grown music streaming platforms and growth in the live music sector, an initiative like this could help bring more money and stability to the budding industry, and increase interest from overseas in a major way,” says Bagley.
Dave Pichilingi, CEO of the UK and US division of Chinese entertainment company Modern Sky, is another to note the international potential for the Chinese music market. Speaking to IQ in July, Pichilingi said the level of opportunity is “especially huge” in China, although it currently remains “a relatively untapped marketplace” internationally.
Tencent, a leader in the Chinese entertainment and tech space, last week led a consortium in the acquisition of a 10% in Universal Music Group, in a deal which valued UMG at €30bn.
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