Investing in the Growth of Musical Instruments with Yamaha
Jan 29, 2025
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Scott Sugino, President and CEO of Yamaha Music Innovations, discusses a new corporate venture capital fund designed to support artists and enhance audience engagement. He explores how Yamaha is evolving from a traditional manufacturer to a holistic music solution provider. Jade Prieboy shares insights from CES, highlighting groundbreaking innovations in music tech and unique networking opportunities. Together, they examine the challenges young artists face in today's landscape and the crucial role established companies play in nurturing a thriving musical community.
Yamaha's venture capital fund aims to transform into a provider of comprehensive music solutions by investing in artist support and audience engagement.
The company's strategy focuses on understanding diverse music cultures and technologies to foster connections between artists and fans, enhancing overall market growth.
Deep dives
Yamaha's New Venture Capital Fund
Yamaha is launching a venture capital fund aimed at transforming its role in the music industry. The fund's mission focuses on evolving Yamaha from being a manufacturer of musical instruments to a provider of comprehensive music solutions. It seeks to invest in areas such as artist development, copyright, and technology that enhances fan experiences. By broadening its investment categories, Yamaha aims to not only support artists but also grow the overall market for music, thus aligning its business interests with the flourishing music ecosystem.
Expanding Music's Audience
Yamaha's strategy includes exploring diverse music cultures and contemporary listening habits. The company recognizes the growth of local streaming services in regions like Africa and Asia and emphasizes the necessity of understanding these markets through collaboration. Furthermore, Yamaha aims to invest in technology that fosters connections between artists and fans, including innovative platforms for music creation. The overall objective is to engage a wider audience and ultimately increase the number of individuals who enjoy and participate in making music.
Embracing Technological Shifts
Yamaha acknowledges the significant impact of technology, particularly AI, on the music industry, highlighting discussions around copyright and the traditional label model. The company seeks to responsibly address the challenges faced by young artists who struggle to earn a living in the music space. Moreover, Yamaha believes emerging technologies can create direct connections between artists and fans, bypassing traditional avenues. By investing in tech-driven solutions, Yamaha hopes to shape a more sustainable and inclusive music industry for future generations.
We are on the floor of NAAM this week speaking with Scott Sugino, President and CEO of Yamaha Music Innovations. The two speak about Yamaha’s corporate venture capital fund – whose goal is to invest in artist support, audience engagement, and platforms that connect the two. We also hear from our own Jade Prieboy about his impressions and finds from this year’s CES.
The Music Tectonics podcast goes beneath the surface of the music industry to explore how technology is changing the way business gets done. Visit musictectonics.com to find shownotes and a transcript for this episode, and find us on LinkedIn, Twitter, and Instagram. Let us know what you think!