This business arrangement is an alternative to the traditional recording contract. In a 360 deal, a company typically provides support to an artist in more areas than covered by a traditional recording contract on the condition of receiving a percentage of revenue from these additional areas. During the first decade of the 21st century, revenues from recorded music fell dramatically and the profit margins traditionally associated with the record industry disappeared. The 360 deal reflects the fact that much of a musician's income now comes from sources other than recorded music, such as live performance and merchandise.
360 deals have been made by traditional record companies, as in