NexTone
Basic Information
- Stock Code
- 7094
- Industry
- Services
- Category Detail
- Professional Services for Businesses
- Prefecture
- Tokyo
- Establishment Year
- September 2000
- Listing Year
- March 2020
- Official Website
- https://www.nex-tone.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
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Overview
NexTone is a pioneer in the copyright management services industry established in 2000, an advanced company engaged in music copyright management, digital content distribution, and consulting services.
Current Situation
NexTone achieved sales of approximately 8.8 billion yen in the fiscal year ended March 2023 and is a key player in the copyright management business headquartered in Shibuya-ku, Tokyo. Its core business involves licensing music copyrights and collecting and distributing usage fees, alongside domestic and international digital content distribution and casting/consulting services. Listed on the Tokyo Stock Exchange Growth Market in 2020, it is actively pursuing capital and business alliances as well as contracts with overseas copyright management organizations. Designated as a YouTube recommended distribution partner, it is expanding its influence in the digital domain. Focusing on sustainability and system development, it aims to revitalize diverse music scenes. Backed by a solid shareholder base and sound financial position, it is committed to market expansion and technological innovation both at home and abroad to drive growth.
Trivia
Interesting Facts
- Second largest player in Japan's music copyright industry after JASRAC
- First domestic company certified as YouTube recommended distribution partner
- One of few companies with multiple international contracts with overseas copyright organizations
- Owns group company handling system development for music industry
- Relatively new organization established after 2001 copyright law reform
- Major entertainment production and music companies among shareholders
- Casting and consulting form one pillar of core business
- Also engages in education and training to promote music content usage
- Strength in digital distribution usage fee collection, expanding in growing market
- Expanded business scale through mergers and capital alliances
Hidden Connections
- Some parent company shareholders wield strong influence in music production and production industry
- Leverages networks with domestic and international copyright organizations for global copyright management
- Maintains competitive edge in video distribution market through YouTube partnership
- Advancing integration with Recochoku's distribution system via capital and business alliance
- NexTone Systems, handling system development for music publishers, is a consolidated subsidiary
- Close relationships with advertising agencies and event planning companies through casting business
- Financial institutions like Japan Master Trust Bank are shareholders in music copyright management field
- Contributes to expanding usage among diverse copyright holders and involved in industry standardization
Future Outlook
Growth Drivers
- Expansion of digital music distribution market
- Revenue growth from strengthened international copyright management collaborations
- Expansion of partnerships with video platforms
- Increasing demand for B2B copyright consulting
- Efficiency gains in copyright management via AI and IT technologies
- Globalization of domestic and international music markets
- Revenue source diversification through diverse services
- Synergy effects from capital alliances
- Improved market environment from copyright law revisions
- Casting business expansion
- Growth in systems services for music publishers
- Strengthened sustainability initiatives
Strategic Goals
- Double domestic and international copyright usage fee income
- Establish market leadership in digital distribution domain
- Advanced management operations using AI technology
- Expansion of overseas copyright management network
- Enhanced comprehensive strength through integrated music-related services
- Building sustainable business operations framework
- Maximizing customer satisfaction
- Active entry into new business areas
- Nationwide rollout of copyright education and awareness activities
- Establishment of high-profitability business foundation
Business Segments
Copyright Management Business
- Overview
- Comprehensive business handling music copyright rights processing and fee collection.
- Competitiveness
- Extensive rights management database and efficient distribution system
- Customers
-
- Music publishers
- Composers
- Broadcasters
- Advertising agencies
- Corporate entities
- Products
-
- Licensing Management System
- Usage Fee Collection Service
- Distribution System
- Rights Information Management
Digital Content Distribution
- Overview
- Support and management services for distribution of digital music and video content.
- Competitiveness
- Certification as YouTube recommended distribution company and international contract network
- Customers
-
- Distribution providers
- Record labels
- Video production companies
- Overseas partners
- Products
-
- Digital Distribution Platform
- YouTube Copyright Management
- Overseas Usage Fee Collection
Casting and Consulting Business
- Overview
- Specialized consulting and talent introduction in music and copyright fields.
- Competitiveness
- Broad network and specialized knowledge supporting customers
- Customers
-
- Advertising agencies
- General companies
- Event planning companies
- Educational institutions
- Products
-
- Artist Casting
- Copyright Consulting
- Training and Education Services
Competitive Advantage
Strengths
- Extensive copyright management database
- Leading domestic digital distribution network
- YouTube recommended distribution company certification
- International copyright management contracts
- Diverse business expansion and technology development
- Shareholder base stability
- Highly specialized staff
- Unique casting capabilities
- Solid financial foundation
- Rapid usage fee distribution system
- Strong customer relationships
- Diversified revenue sources
- Active overseas expansion
- Flexible business collaboration capabilities
- Commitment to adopting latest technologies
Competitive Advantages
- Differentiated features from major competitors in Japan's music copyright management industry
- Superior position in digital domain as YouTube recommended distribution partner
- Strong international expansion through collection agency contracts with multiple European organizations
- Risk diversification through services across broad business fields
- One-stop service combining copyright management and digital distribution
- High-precision copyright usage fee collection and distribution system
- Industry trust and stable shareholder composition
- Casting and consulting expertise and network
- Efficient operations via advanced IT system implementation
- Flexible service delivery through cloud technology utilization
- Resilience to market fluctuations with diverse revenue models
- Reliability ensured by compliance with domestic and international regulations
- Growth acceleration through capital and business alliances with other companies
- Swift response to expanding digital content market
- High expertise from team of music copyright management specialists
Threats
- Rapid changes in music content usage patterns
- Uncertainty from international copyright law revisions
- Expansion of digital copyright management services by competitors
- Changes in revenue structures of distribution platforms
- Potential replacement of copyright management methods by technological innovations
- Market entry risks from new entrants
- Increasing cyber security threats
- Risks of difficulties in coordinating with copyright holders
- Delays in legal frameworks in emerging markets
- International coordination challenges in digital copyright management
- Growing dependence on key customers
- Rising risks of intellectual property infringement
Innovations
2023: Certified as YouTube Recommended Distribution Company Partner
- Overview
- Selected as a recommended distribution partner in collaboration with YouTube, strengthening digital copyright management.
- Impact
- Contributes to monetization support and user growth
2023: Collection Agency Contracts with European Copyright Management Organizations
- Overview
- Concluded international collection agency contracts with France's SACEM, SDRM, and IMPEL to bolster overseas expansion.
- Impact
- Expansion of overseas copyright usage fee income
2023: Capital and Business Alliance with Recochoku Co., Ltd.
- Overview
- Capital and business alliance with Recochoku to promote synergies in the music business.
- Impact
- Mutual reinforcement in digital distribution domain
Sustainability
- Promoting proper usage with emphasis on copyright protection
- Contribution to reducing paper usage through digitalization
- Building fair rights holder compensation system
- Diverse talent recruitment and comfortable work environment
- Active participation in social contribution activities