Soundcloud has secured a music deal with the Warner Music Group

Warner Music Group has signed a deal to license its music to SoundCloud Ltd., the companies said, making Warner the first major record label to start earning money from the German audio-sharing website. SoundCloud will pay royalties to both Warner Music and its publishing division, Warner/Chappell Music, each time one of the songs they’ve opted to monetize is streamed on its free, ad-supported service, as well as for songs played on a new subscription service, according to a person familiar with the matter. SoundCloud plans to launch the subscription service in the first half of next year, said SoundCloud Chief Executive Alexander Ljung. The record company’s decision to sign the deal had hinged upon the guaranteed launch of the paid subscription service, which will likely offer consumers different levels of access for different monthly prices. SoundCloud will continue to offer a free listening option as well, Mr. Ljung said.