Brussels, 14 January 2026

Are diversity, identity, independence and sovereignty important in music? If yes, we as Europeans should strengthen the independent sector today, and not weaken it.

This is one of the questions IMPALA’s Executive Chair Helen Smith will be pitching at her keynote interview with Ben Homewood, Features Editor Music Week, at Eurosonic Noorderslag (ESNS) in the Netherlands, one of Europe’s leading music showcase and conference festivals.

The keynote is IMPALA’s first public appearance of the year and is part of the organisation’s 25^th birthday programme which will run throughout 2026. Aimed at the sector as well as regulators, the questions set by IMPALA apply to consolidation and the UMG/Downtown case, as well as other aspects such as collaboration across the whole sector and what independence really means in today’s music market.

The European Commission’s approach to the proposed acquisition of Downtown by Universal Music Group (UMG) is just one example. IMPALA welcomes the way the regulator pushed forward, despite extreme pressure, with a detailed Phase II investigation and divestments, demonstrating that the acquisition clearly raised risks, contrary to what the parties consistently claimed. The deadline to make a final decision is 27 February, over 14 months after UMG announced the deal.

IMPALA has been urging the EC to carry its determination through and reach a decisive outcome, to secure a fair, balanced and effective competitive music ecosystem. Having recognised that the transaction raises significant competition concerns, the EC needs a solution that preserves effective competition. That means safeguarding the conditions under which independent music companies can operate, invest and innovate. This is essential not only for economic fairness, but also for cultural diversity, one of Europe’s key strengths. IMPALA’s recent report shows that any slip in streaming revenues would lead to a reduction in total market releases, and that smaller genres and countries, including non-English language music, would be most impacted. This is one of the main concerns raised about the impact of consolidation in the music market.

Helen Smith commented: “As we have consistently said, all markets need big companies, and all businesses need good exit options. At the same time, there is a point when big is too big. Where competition issues are identified, the solution must resolve all the issues effectively and permanently, otherwise the same pressures reappear, undermining the whole market. This is why we called for the deal to be blocked, seeking “logical extensions”, in terms of both concerns and remedies, in December. Power in the digital market remains an issue as well as the impact on cultural diversity and the loss of a significant competitor in an already concentrated market. As regards data, there are clear commonalities between the sensitive data held on Curve and on other services owned by Downtown, such as FUGA, CD Baby and Songtrust.”

Some details of the package proposed by UMG appeared in the music press in December, including elements which would undermine the viability of Curve as a divested business, such as UMG keeping a copy of the software and running a competing business. “This is no time for hollow remedies. All divestments must be sold as viable ongoing businesses otherwise we are back to square one.” commented Smith. “Other Downtown businesses should also be part of the package as their exclusion would undermine the overall solution. The ultimate outcome is more important today than when the investigation was launched. When we see what is happening in the world, the landscape has shifted under our feet in a way no regulator can ignore and that also impacts the outcome when diversity is at stake. The voice of independence and culture is needed more than ever.” explained Smith.

This is a fundamental time for the music industry generally, and working together is essential to tackle the value gaps that exist across the sector, whether its AI, or monetising moment economy services such as TikTok, or traditional areas of the business where music is exploited without proper remuneration. Amidst that, securing competition, as well as a truly independent distribution, are vital to diversity and support for emerging artists, while niche music remains absolutely crucial for the health of the market. IMPALA sees the issues as inextricably linked to how diversity is perceived and valued by the sector as well as decision makers, including the need to boost routes to market that are truly independent rather than rely on those controlled by rivals. “Maximising opportunities is essential for the overall health of a sector where artists and fans stand to gain as well as all businesses, independent or major”, added Smith.

With the music sector gathering at ESNS, a platform dedicated to emerging talent, cross-border exchange and cultural diversity, IMPALA underlines that the responsibilities are shared. Smith explains, “Let’s be ambitious. There are genuine opportunities as well as challenges for diversity and we urge the whole sector to come together with decision makers.”

This will also be key related to issues such as finance, where IMPALA will be pushing for a new approach in 2026. The organisation will also be reviewing its streaming reform proposals this year, when members are expected to renew their calls for digital services to adapt their remuneration policies to put diversity first. “Hard working independent music businesses and their artists depend on proper remuneration coming in. As the independent sector also needs proper resources to invest in new music, it also matters for diversity going forward.” commented Smith. 

Ahead of her keynote, Helen Smith added: “Eurosonic brings together the artists and businesses that inspire Europe’s rich and diverse music landscape, as well as decision makers. The first job of the year is to finish the UMG/Downtown case, and there are many other challenges, all of which are also opportunities. Responding effectively means ensuring that the market remains open, competitive and resilient in the long term. We have a shared responsibility to make sure that means something in the professional music world. Collaboration across the industry is essential.”

On the more general political climate, Smith continued: “The market context for the European music sector is even more sensitive today than a year ago and the current political climate internationally raises serious alarm bells. Is it wise to be handing over control of another set of vital infrastructure to a dominant operation essentially controlled out of the USA? Questions of sovereignty and dependence should now assume greater importance.”

Smith added, “There are key questions for the sector and decision makers today: Are diversity, identity, independence and sovereignty important in music? If yes, are we strengthening or weakening the independent sector by our actions today? The answers will be key in Europe and other countries through 2026 and beyond, for artists, fans and all music businesses, big and small. It’s time to stand up for culture in Europe and beyond.”

IMPALA’s keynote will also address network development in central and south eastern Europe, and growing the digital market, as well as the organisation’s dedicated programmes on sustainability and equity, diversity and inclusion. As a recognised EU cultural network (announced on the same day as Helen’s keynote a year ago), Smith will also discuss upcoming projects. IMPALA’s vision for strengthening music and other cultural industries through flagship EU initiatives such as the Culture Compass led by Commissioner Micallef is another a key priority. “A joined-up approach for culture is a very smart move considering Europe’s position as a diversity powerhouse” explained Smith.

IMPALA is also pleased to continue its support at ESNS for the EU’s Music Moves Europe Awards as a member of the project’s steering committee. The award is dedicated to emerging European artists who achieve success across borders. This year’s winners will be featured on Thursday at the MME show in Groningen. “We have been a proud supporter since the very first edition 21 years ago under the name European Border Breakers. Promoting the circulation of European music in all its diverse forms is part of IMPALA’s DNA” concluded Smith.

Helen Smith will also be part of a panel presented by Dutch member STOMP on Friday, 16 January at 12:00pm CET. The panel, titled “Staying independent: the future of independent artists and labels” will be moderated by STOMP chair Kees Van Weijen and include speakers Ruth Barlow (Beggars Group/AIM UK) and Guillaume Warmerdam (Lab Music/MakeWaves.fm/Vokall Records).