Virtual pop stars: Vocaloids enter the music industry

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  Quantumrun Foresight
• March 6, 2022

Insight summary

Virtual pop stars, originating from Japan and gaining traction worldwide, have transformed the music industry by offering a new medium for artistic expression and opening doors for overlooked talents. Affordable audio editing software and vocal synthesizer applications have made it possible for artists to create songs using non-human voices, leading to a new era of virtual vocalists. This shift has significant implications, including changes in consumer spending, job opportunities, copyright laws, societal norms around fame, and even a potential decrease in the environmental impact of the music industry.

Virtual pop star context

Virtual pop stars or vocaloids originated in Japan and have also grown in popularity within Korean pop (K-pop). Meanwhile, with about 390 million consumers keeping track of virtual idols, China currently has the largest viewership for virtual pop stars.  Depending on one’s definition, virtual or non-human artists have been explored by the music industry for decades, whether it was the 1990s animated UK rock band The Gorillaz or "revivals" of holographic deceased celebrities. Nowadays, artists can purchase audio editing software for under $300 that allows them to create songs using non-human voices. 

A vocal synthesizer application enables people to create a voice on their computer for various uses, especially content creation. However, a growing niche of music artists are using this technology to give rise to a new era of virtual vocalists. For example, Yamaha is researching technologies that will make virtual singers more lifelike and allow them to express themselves musically in ways that are unique to vocaloids. 

For additional context, Luo, a vocaloid who performed for over 150 million people on New Year's Eve (2021), has a significant fan following, over a third of whom were born after the year 2000. This fanbase is largely located in China's larger cities, and Luo's songs have been included in commercials for Nescafe, Kentucky Fried Chicken (KFC), and other brands. Luo was also featured on the cover of Harper's Bazaar China.

Disruptive impact

Virtual pop stars offer a new way for artists to express their creativity without the need for a physical presence. This development could lead to a shift in how we perceive celebrity culture, as the focus moves from the individual artist to the art itself. Furthermore, it could open up opportunities for artists who may have been overlooked due to physical barriers or biases, allowing talent to shine through regardless of the artist's physical attributes or location.

From a business perspective, virtual pop stars offer a unique opportunity for companies to create and control their own music artists. This trend could lead to a new form of brand promotion, where companies create virtual artists to represent their brand and engage with consumers. For example, a clothing brand could create a virtual pop star who wears their latest designs in music videos and virtual concerts, providing a fresh and engaging way to showcase their products.

Governments, too, could benefit from this shift in the music industry. Virtual pop stars could be used as cultural ambassadors, promoting a country's music and culture to a global audience. They could also be used in educational settings, making learning more engaging and interactive. For instance, a virtual pop star could be used to teach students about music theory or history in a fun and engaging way, helping foster a greater appreciation for music and the arts among younger generations.

Implications of virtual pop stars

Wider implications of virtual pop stars may include:

• The establishment of next-generation marketing tactics that involve the creation of pop stars controlled by corporate brands whose goal is to grow massive fanbases that can generate brand affinity better than alternative forms of advertising.
• An increase in musical acts and more individuals (who may not have the look or talent of traditional pop stars) can gain the digital tools required to engineer music content.
• A new potential revenue stream for music labels and music streaming platforms as they can engineer and monetize virtual pop stars that are optimized to appeal to specific demographic niches.
• An increase in job opportunities for animators, music composers, and fashion designers as the demand for virtual pop stars increases globally. 
• A shift in consumer spending, as fans invest more in digital merchandise and virtual concert tickets, altering the traditional revenue streams in the music industry.
• A change in job opportunities, with a growing demand for digital artists, animators, and voice actors, but potentially fewer opportunities for traditional performers.
• New copyright and intellectual property laws, ensuring fair compensation for the teams behind these digital performers.
• The widespread acceptance of virtual pop stars influencing societal norms around fame and celebrity, as fans form emotional connections with digital entities, challenging our understanding of human-to-human relationships.
• A decrease in the environmental impact of the music industry, as digital concerts replace physical ones, reducing the carbon footprint associated with touring and live performances.

Questions to consider

• Would you prefer listening to virtual pop stars as opposed to attending concerts?
• How do you think current music artists and bands might adapt to this trend?