MUMBAI: During one of the worst crisis situations being faced by India & rest of the world it’s a sad & double whammy news for the millions of music lovers that India’s leading music app Ganna failed to renew its licensing deal with Tips and which has resulted in takedown of Tips’s content from the platform.

When asked Mr. Kumar Taurani managing director of Tips Music, he said “I am deeply saddened at these developments, we all believe universally that Music can heal the wounds and we tried to make it work but somehow we couldn’t reach a common ground. I am truly disappointed for crores of Music lovers & fans of Tips Music across the globe by this strange decision of Gaana.com.”

Since 1980, Tips Music has become one of India’s most commendably popular record label with a remarkable presence in the world of Music. With an exceptional run in Indian & Global markets over the last 4” years, Tips Music owns probably the most desirable collection of music ever created with currently the top trending artists like, Arijit Singh, Badshah, Atif Aslam, Diljit Dosanj, Kumar Sanu, Alka Yagnik, Sonu Nigam, melodious Song form Anu Malik and Nadeem Sharvan. Having produced & distributed dozens of mega super hit films & created some of the most mesmerisingly cherished music for its millions of fans in India & Worldwide, its puzzling & baffling for music listeners to see Gaana Music not to extend contract with Tips Music Industries.

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Prashan Agarwal, CEO, Gaana spoke on the discontinuation of services with Tips Music. He added, "Given the COVID - 19 situation, it's all the more important for all kinds of businesses to focus on building a sustainable economic model. Revenues have suffered across industries and the music streaming & broadcasting ( OTT) industry is no different. Given the high cost of royalties and demands of exorbitant minimum guarantees (with no linkage to revenues of music OTT players) by Tips and their music catalogue's affinity with our customer base, it is not viable for us to pay them high royalties as demanded by them for their music on our platform. While we had the options of compulsory licensing and statutory licensing, we have currently taken a call not to go down that path to reduce our costs." He further said, "It is now more important than ever for the music label fraternity to realize that music OTTs have played a vital role in curbing piracy in the country and with high royalty rates they should not make a hole in the same bucket that they are eating from."