YouTube has just wrapped up licensing deals with two out of three three major labels earlier today with Universal Music Group and SONY Music Entertainment. This follows an earlier deal YouTube had signed with Warner Music Group. The streaming giant currently boasts over 1 billion users per the company’s official website and is reportedly responsible for 46% of all on-demand streaming.

While SONY has yet to comment on the nature of its agreement, Universal chairman and CEO Lucian Grainge had this to say. “This important step forward provides our recording artists and songwriters improved content flexibility and growing compensation from YouTube’s ad-supported and paid-subscription tiers.” He also added that the agreement would advance “YouTube’s commitment to manage music rights on its platform” – a sore spot for major labels and music publishers over the last few years.

With rumors abound that YouTube may also launch its own streaming service as early as March, confirmed licensing agreements with all of the major labels, which made up over 68% of the market share in 2016, is certainly a step in the right direction.


H/T: The Verge