The musicians in European Union have urged intervention of the EU to settle a row over the controversial rates charged by video sharing site YouTube from small music labels to stream their content. YouTube has come under heavy criticism from artists such as Billy Bragg and Ed o'Brien for forcing them to hand over their works for low fees.
The musicians are being roped into a new subscription service that does not screen any advertisements. The company refrained from commenting on the issue. The complaint against YouTube was filed by Impala, a representative body of European musicians.
The body has demanded EU intervention into YouTube's fresh music streaming project. Impala alleged that YouTube was threatening to negotiate terms to sell albums at a non-negotiable price by warning to block other videos of these groups which are streamed through YouTube channels.
Under the new contract small music labels will be unable to make money by placing advertisements along with videos and this is expected to be of great economic loss to them.
Ed o'Brien opined that the current strategy pursued by YouTube would result in the site restricting its services for superstars and big labels alone. The small music labels that are expected to be affected by YouTube stance are Adele, Jack White, The xx, Royksopp, M.I.A., Hot Chip, The National and Arctic Monkeys.