Sync Licensing Trend Report: August 2024

In 2024, the sync licensing industry faces both opportunities and challenges, shaped by rapid technological advancements, changing consumer preferences, and evolving legal frameworks. The demand for sync placements remains strong, fueled by the ongoing expansion of streaming services and the proliferation of original content across various platforms like Netflix, Amazon Prime, Disney+, and more. However, the industry is also grappling with the implications of artificial intelligence (AI) and shifting trends in music genre preferences.
 
The Impact of AI on Sync Licensing
AI is emerging as a significant force in the sync licensing world, presenting both threats and opportunities. On the one hand, AI-generated music is becoming increasingly sophisticated and capable of producing music that could potentially replace traditional production music. This has raised concerns among music supervisors and production libraries.

​AI-generated music is often more cost-effective and easier to license, as it eliminates the complexities associated with clearing multiple rights. However, the legal landscape surrounding AI music is still evolving, with many uncertainties about copyright ownership and infringement. This ambiguity has so far prevented a widespread adoption of AI-generated music in mainstream media content​.

Despite these challenges, AI tools are also being used to enhance the sync licensing process. AI-powered music search systems, such as those developed by AIMS, are helping catalog owners streamline their music discovery and licensing processes. These tools use advanced algorithms to match music tracks with specific moods, genres, or scenes more effectively than traditional search methods. As a result, music supervisors can find the perfect track for a particular project more efficiently, saving time and reducing costs​.
​
Genre Preferences and Market Trends
The sync licensing market is experiencing a shift in genre preferences, reflecting broader cultural and societal trends. Hip-hop and R&B continue to dominate, especially in shows that aim to appeal to younger, urban audiences. For example, the TV series "Insecure" on HBO has effectively used contemporary hip-hop and R&B tracks to enhance its storytelling and connect with its audience. The popularity of these genres in sync placements highlights their versatility and broad emotional appeal.

Indie and alternative rock also remain popular, particularly in dramas and independent films. These genres often provide the raw, authentic sound that directors and producers seek to evoke specific emotions or atmospheres.

Shows like "The Bear" have effectively utilized indie tracks to underscore their narratives, drawing audiences deeper into the on-screen drama. At the same time, there's a growing interest in genres like lo-fi and chillwave, which are often used in commercials, documentaries, and lifestyle programming for their relaxed and introspective qualities​.

The Rise of Video Game Adaptations and Sync Opportunities
The adaptation of video games into television series and films is creating new opportunities for sync licensing. Video game properties with rich musical histories are particularly well-positioned to benefit from this trend. For instance, Amazon’s adaptation of "Fallout," a popular video game series known for its extensive use of 1940s and 1950s music, has opened up significant sync opportunities for tracks from that era.

Artists featured in the original game soundtracks, such as The Ink Spots and The Andrew Sisters, have seen a remarkable increase in streaming numbers following the release of the TV series. This trend suggests that as more video game adaptations are developed, there will be a corresponding increase in demand for sync licensing that taps into nostalgic and iconic music catalogs​.

Challenges and Strategic Adaptations
Despite the promising trends, the sync licensing industry faces several challenges. The complexity of music rights clearance, particularly for games and multi-platform content, remains a significant barrier. Industry insiders have expressed frustration with the often convoluted and time-consuming process of obtaining the necessary licenses. The high costs associated with music rights, particularly for well-known tracks, can deter producers from using them, opting instead for production music or AI-generated alternatives that offer more straightforward licensing processes​.
​
To navigate these challenges, industry experts suggest that rightsholders and music supervisors need to modernize their commercial strategies. This includes leveraging new technologies, such as AI and machine learning, to improve the efficiency of music search and licensing processes,and adopting more flexible licensing models that cater to the needs of different media producers. Embracing these technological shifts, rather than resisting them, could help the industry adapt to the changing landscape and capitalize on new opportunities.

Conclusion
The sync licensing industry in 2024 is at a crossroads, balancing the traditional appeal of commercial music with the potential disruption of AI and other technological advancements. As the industry continues to evolve, those who can adapt to these changes—by embracing new technologies, staying attuned to shifting genre preferences, and exploring new sync opportunities across emerging media formats—will be best positioned to thrive in this dynamic environment. The next few years will be crucial in determining how the sync licensing landscape will shape up, particularly as the legal and technological environments surrounding AI-generated music become clearer.

For now, the future of sync licensing looks promising, with plenty of opportunities for those willing to innovate and adapt. The industry’s ability to harness the power of AI, while maintaining the authenticity and emotional resonance of music, will be key to its continued growth and success.
 
References:
Tracklib. (2024). Music Producers and AI: A Survey Report. Tracklib.com.

TuneCore. (2024). The Role of AI in Indie Music Production. TuneCore.com.