Universal Music Group to Launch 72-Hour Subscriber Paywall Strategy in India

Universal Music Group is launching a new distribution strategy in India starting at the end of August, placing new music releases behind a 72-hour paywall for paying subscribers on both regional and global music streaming platforms. This model mirrors an operational strategy first introduced by the company in China nearly six years ago.

What Happened

During an earnings call on Thursday, July 30, Sir Lucian Grainge, Chairman and Chief Executive Officer of Universal Music Group (UMG), announced that all new music releases from major domestic and international artists on the company’s roster will initially be withheld from free, ad-supported tiers in India. For the first 72 hours after release, these tracks will be accessible solely to premium paying subscribers across all streaming platforms UMG works with in the country. After this three-day window, the tracks will become available to ad-supported listeners as well.

The policy applies broadly across all new releases rather than being limited to selected titles. Viral Jani, Chief Revenue Officer of UMG India and South Asia, stated on LinkedIn that the decision reflects UMG’s commitment to building long-term value in India. He highlighted that the step aims to strengthen the foundation for artists and songwriters while offering added value to dedicated music fans as India enters a new phase for its music industry.

Key Highlights

• 72-Hour Exclusive Window: New tracks from domestic and international UMG artists will require a paid subscription for the first three days on all supported Indian streaming platforms starting late August.
• Broad Application: The strategy covers all new releases across platforms rather than isolated or selected songs.
• Long-Standing Presence: UMG has operated in India since 1999, maintaining multi-label operations spanning various languages and genres along with live entertainment, artist management, film, television, and regional music investments.
• Recent Expansion: In January, Universal Music India acquired a 30 percent stake in film production company Excel Entertainment in a deal valuing Excel at approximately $267 million. In March, UMG established an exclusive partnership with Albuquerque Records, founded by composer and singer Anirudh Ravichander.
• Proven Model in China: UMG first implemented a similar release window in China in 2019, which helped drive over 20 percent year-over-year growth in recorded music revenues in that market.

Why This Matters

The strategy borrows directly from UMG’s deployment in China in 2019, where initial skepticism suggested that paywalls would hinder music consumption and market growth. However, performance data countered those concerns. Grainge noted that China became the world’s fourth-largest recorded music market by 2025 and stands as the second-largest digital music market globally after the United States. Revenue growth exceeding 20 percent year-over-year in China was significantly powered by premium subscriptions and superfan offerings, a trajectory supported by IFPI data showing a 20.1 percent growth rate for China.

According to Grainge, both India and China possess large pools of creative talent along with high smartphone adoption rates. UMG views these shared characteristics as fundamental to its broader goal of fostering healthier music markets in the world’s two most populous nations.

What to Watch Next

Listeners and industry observers will monitor the implementation of the 72-hour window at the end of August across Indian streaming services. UMG management expects India, alongside other high-potential markets, to follow a growth path similar to China’s as healthier music ecosystems take shape.

Frequently Asked Questions

When does UMG’s new release strategy begin in India?

The 72-hour subscriber-only window for new music releases is scheduled to take effect at the end of August.

Which releases are affected by this policy?

The policy applies broadly to all new music releases from major domestic and international artists under UMG’s roster across both global and regional platforms operating in India.

How did a similar strategy perform in China?

After implementing paywall windows in 2019, China saw recorded music revenue growth exceeding 20 percent year-over-year, eventually becoming the world’s fourth-largest recorded music market and second-largest digital music market.

Source: CNBC-TV18