Apple buys a stake in UnitedMasters and invests in a music distribution company that works to give artists full control over their music, according to Bloomberg. United Masters raised $ 50 million in their Series B financing, the company said, and valued the business at $ 350 million.
Alphabet Inc and Andreessen Horowitz, who invested in UnitedMasters in 2017, also participate in the tour.
Steve Stout founded the former CEO of record company, UnitedMasters four years ago, hoping to tap into the growth in the indie music sector - artists who don't have a traditional record company, the company distributes its music to all major streaming services, taking a fee rather than controlling ownership of the underlying music.
Many companies have pursued this goal, and the brands have so far maintained their dominance in the record business, using their catalogs and resources to hold or sign most major businesses.
But Stout's vision has now attracted support from two of the world's biggest tech companies, both of which run broadcast services.
Such investments are rare for Apple, which is unusual given that UnitedMasters aims to acquire business from the three major music companies, which are Apple's most important commercial partners for its paid music service.
Apple Services Executive Director Eddy Cue said, Steve Stoute and UnitedMasters provide creators with more opportunities to advance their careers and bring their music to the world. The contributions of independent artists play an important role in driving the continued growth and success of the music industry.
Cue and Stout have known each other for many years, with the latter running an advertising agency as well as UnitedMasters.
He said, i know they're David and Goliath, but artists who signed one of the major brands should not have an advantage over artists who choose independence.
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