In April last year, Japanese music and entertainment company, Avex Group, expanded into North America with the launch of Avex USA.
At the time, Avex noted that its North American arm, led by Chairman Naoki Osada, will house three main business divisions, Avex USA Publishing, the Avex USA label SELENE and the “Future of Music Investment Fund”.
Avex says its Future of Music Fund was created to invest in what it describes as “cutting-edge music-related technology startups that are creating new IP, music experiences and revenue models.”
Today, Avex revealed that it is expanding the size of the fund to $25 million.
In addition to increasing its investment budget to $25 million, Avex USA says it is broadening the scope of its investments in music tech startups to start-ups involved in crypto and NFTs, with a greater emphasis wide across the Web3, metaverse, and creator economy.
Avex USA says it aims to partner with its portfolio companies to “develop new IP/experiences/and revenue channels in music and entertainment, while providing them with strategic support and guidance to tackle the Japanese music market”.
In Japan, the world’s second largest music market, Avex USA’s parent company, Avex, is often referred to as the country’s fourth major.
Avex USA’s music fund has previously invested in Wave, which has also attracted investments from Scooter Braun and Justin Bieber, and hosted virtual streams with Bieber and The Weeknd.
Avex USA is housed in the Avex House in West Hollywood, a recording studio and creative hub that has hosted artists such as Cardi B, James Blake, A$AP Rocky, Normani, PARTYNEXTDOOR, Anitta and more. others.
The fund’s investment committee is comprised of Naoki Osada, chairman of Avex USA and music industry veteran, Ryusuke (Ryan) Kamada, senior vice president of finance and ex-JP Morgan Investment Banking, and Lucas Thomashow, Senior Vice President of Strategy and ex-Google.
“We believe the time is right to expand Avex USA’s investment business.”
Naoki Osada, Withex United States
Speaking to MBW, Naoki Osada, Avex USA Chairman said, “We’ve been very lucky to have great success investing in some really promising music tech companies since the launch of our fund.
“All the founders and their ideas have inspired us in many ways.
“We believe the time is right to expand Avex USA’s investment activity, further innovate as a next-generation music company, and contribute to the growth and evolution of music industries. music and the Web 3.”
Over the past 12 months, Avex USA entered into a global agreement with Sony Music Publishing, and in January extended a joint publishing partnership with S10 Publishing.The music industry around the world