At the beginning of the year, CÜR Music laid out plans to become a player in the social, mobile music streaming space. Part of that plan involved hefty licensing fees to be paid to all three major labels. It seems that the best laid plans are already going awry.
CÜR was supposed to make payments totaling $8 million to the majors by Jan. 31, but according to an SEC filing, “was not able to make these initial payments when due.” No reason was given for its inability to make the agreed upon payments. CÜR instead noted that it has obtained oral agreements from the content providers that it has received extensions to make those payments ranging from 90 to 120 days. Those deadlines are fast approaching (or already past in the case of Sony), meaning CÜR risks losing chunks of its anticipated library if the payments aren’t made.