Music Investors Don’t Stop Believin’ in Streaming

Spotify, Tencent and others benefit as listener totals and song-catalog values climb during pandemic

With large gatherings limited during the coronavirus pandemic, artists are experimenting with new ways to perform, and some of these shows are already attracting millions of fans globally. WSJ explains. Image: Epic Games

Investors backing musical heavy hitters such as Adele, Bon Jovi and Journey are profiting this year as homebound listeners tune in to music-streaming services, boosting the value of song catalogs and the royalty payments they generate.

Streaming figures have bounced back after a pandemic-induced blip earlier in the year. Third-quarter results from music-streaming market bellwether Spotify Technology SA showed the company added more users than expected and users spent more time listening. Shares of Spotify are up 60% this year,...

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