UMG and Spotify announced a new partnership agreement on Sunday (1/26), signaling a shift in how artists are compensated. The National Music Publishers' Association (NMPA) reacted to the news rather quickly, with NMPA President/CEO David Israelite acknowledging it "bodes well" for the industry.

"While we do not have details of the agreement beyond what was in the press release, it appears that it increases royalty rates which is good news for the entire industry," he said. "A rising tide lifts all boats and this signals that Spotify is coming back to the table after its disastrous attempt to manipulate royalty rates.

“As we head towards the next CRB, this should serve as a roadmap for other DSPs that songwriters should not be treated as the enemy but should instead be treated as valued business partners.”