Beginning at the end of August, all new releases from key domestic and international artists under UMG’s banner will be restricted from free, ad-supported tiers on both global and regional streaming platforms in India. These releases will be exclusive to paying subscribers for the first 72 hours before becoming accessible to ad-supported listeners as well. This initiative is applicable across all platforms UMG collaborates with in the country and encompasses a wide range of new music, not just select titles.
Sir Lucian Grainge, Chairman and CEO of Universal Music Group, unveiled this alteration during the company’s earnings call on Thursday, July 30, positioning it within a larger effort to foster what he termed healthier music markets in China and India — the two most populous nations globally. Grainge emphasized that both markets harbor rich creative talent and extensive smartphone usage, marking them as vital for UMG’s long-term growth plans.
This strategy mirrors UMG’s earlier approach in China in 2019, when it partnered with leading Chinese streaming platforms to place both domestic and international music behind a paywall upon release. Grainge mentioned that this strategy initially met with skepticism, with many predicting it would negatively impact music consumption and hinder market growth; however, the outcome contradicted those expectations.
By 2025, China had surpassed Germany to emerge as the world’s fourth-largest recorded music market, with UMG reporting over 20% year-over-year growth in recorded music revenue, largely fueled by premium subscriptions and superfan experiences. This growth trend was independently verified by IFPI, which noted a 20.1% increase in China, making it the fastest-growing among its global Top 20 markets. According to Grainge, China is now the second-largest digital music market worldwide after the United States.
UMG has been operating in India since 1999, establishing a multi-label structure that spans various genres and languages, alongside investments in artist management, live entertainment, film, television, and regional content. In January, Universal Music India purchased a 30% stake in Bollywood production company Excel Entertainment, valuing the company at approximately $267 million. In March, it entered into an exclusive partnership with Albuquerque Records, a label founded by singer-composer Anirudh Ravichander.
On LinkedIn, Viral Jani, Chief Revenue Officer of UMG India and South Asia, characterized the initiative as a testament to the company’s dedication to fostering long-term value in the Indian market. He described it as a means to fortify the foundations for artists and songwriters while delivering greater value to devoted fans. Jani noted that India is entering “a defining new chapter” for music and that UMG aims to collaborate with artists and industry partners to cultivate a more sustainable market in the long run. Grainge remarked that UMG’s experience in China serves as a model to replicate elsewhere. “China has demonstrated the possibilities when healthier music ecosystems are established,” he stated, expressing optimism that India — along with other promising markets — will follow a similar path.
