Leaked emails uncover Snapchat’s plans for a record label

Following TMN’s report last month that Vevo was among eleven companies in talks with photo and video messaging application Snapchat, leaked emails from the Sony Pictures hack have outlined the deal and other plans within the music industry further.

While TMN don’t think it’s appropriate to re-publish segments of the leaked emails, we did learn that Snapchat acquired product identifier and purchaser startup Scan.me for an alleged $US50 million in cash, restricted stock units and Class B common Snapchat stock, as well as wearable company Vergence Labs for an alleged $US15 million in cash and stock and the publicly reported purchase AddLive, which it’s been using to run its real-time video chat tool. Addlive was bought for an alleged $US10 million in cash and $US20 million in stock and bonuses.

Most notably though, the leaked emails between Sony Entertainment CEO Michael Lynton, a Snapchat board member, and Sony’s President of Global Digital Business, Dennis Kooker mention Snapchat CEO Evan Spiegel’s aspirations to start a record label under the Snapchat banner to promote its signed acts.

The emails also outline the alleged partnership with Vevo that would see music videos featured on Snapchat as early as August, however in an email with departing Vevo President and CEO Rio Caraeff, Sony execs said they “hit a snag” over advertising revenue divestment.

It isn’t clear in the emails whether Snapchat is going ahead with the aforementioned music components.