Why Are Scooter Braun and His Artists Parting Ways? Everything We Know

After becoming the sole CEO of HYBE America, Scooter Braun is continuing to make headlines in the music industry. 

Over the last week Braun has been in the news as some of his longtime clients, including Demi Lovato and Ariana Grande, have ended their years-long working relationships with the talent manager.

During his years in the industry Braun grew into an entertainment mogul through his various acquisitions and A-list talent roster. In 2007 he established SB Projects, “a diversified entertainment and media company with ventures integrating music, film, television, technology and philanthropy,” per their website. 

Through SB Projects Braun has managed a number of Hollywood’s biggest names, including Grande, Lovato, Justin Bieber, and Tori Kelly. Many of his early clients included singers who broke through on YouTube, with Braun guiding their viral stardom into lasting success.

In 2021 Braun’s Ithaca Holdings merged with HYBE, the South Korean entertainment company behind the K-pop group BTS, giving the company a 100 percent stake in Ithaca and its properties, including SB Projects and Big Machine Label Group, according to Variety.

With the merger Braun joined the board of HYBE and retained the CEO title for its American business. In January 2023, he became the sole CEO of HYBE America. “All of Scooter Braun’s clients are under contract and negotiations have been going on for several months as Scooter steps into his larger role as HYBE America CEO,” a music industry source with knowledge of the situation previously told PEOPLE of the recent shakeups.

Braun previously made headlines over his dispute with Taylor Swift over the rights to the master recordings of her first six albums, which Braun’s Ithaca Holdings acquired in June 2019 and later sold to private equity company Shamrock Holdings. In August 2019, Swift announced that she would be re-recording her albums in an attempt to regain control of her masters, and the pop superstar is set to release her latest re-recording 1989 (Taylor’s Version) in October. 

Ahead, here’s everything we know about the current situation with Braun and his clients. 

Which celebrities have parted ways with Scooter Braun? 

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On Aug. 21 a source confirmed to PEOPLE that Lovato had parted ways with Braun as their manager after four years.

“Couldn’t be happier, inspired and excited to begin this next chapter with you Scooter!!! Thank you for believing in me and for being apart of this new journey. Let’s DO THIS!!!!!!” Lovato wrote on their socials back in 2019 after signing with Braun.

A day before the split news broke, Braun wished Lovato a happy birthday on Instagram, calling her “one of the kindest souls out there.”

Another insider confirmed to PEOPLE on Aug. 22 that Grande had also parted ways with Braun following 10 years of working together.

“They are friendly but she’s outgrown him and is excited to go in a different direction,” a source told PEOPLE about Grande and Braun. “Yes, there are negotiations happening because of contracts. But this is her choice. It’s time for something new.”

On the same day, The Hollywood Reporter reported that Idina Menzel was no longer being managed by Braun. A source confirmed to PEOPLE that she had parted ways with Braun last year.

Which celebrities are still with Scooter Braun? 

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SB Projects’ website still lists Bieber, Dan + Shay, Black Eyed Peas, Hilary Duff and many more artists as “past and present” clients.

While a source told PEOPLE that Bieber is “still managed” by Braun, multiple insiders told PEOPLE the pair haven’t spoken in nearly a year.

“Justin’s been working on his new record for the last six months. Scooter and SB Projects have not set up one session or done one thing for this [new] record,” the source said. “The relationship with Scooter has run its course.”

Why are celebrities parting ways with Scooter Braun? 

Like Grande, Lovato — who is dropping an upcoming rock album on Sept. 15 — parted ways amicably with Braun after they felt ready for a “different direction,” a source told PEOPLE.

“People are spreading rumors based on what they know, but they are off,” maintained the music industry source close to the situation, noting Braun’s fuller plate as sole CEO. “Scooter’s team at SB Projects are still handling both Justin and Ariana as they work through what this new structure looks like.” 

Has Scooter Braun released a statement?

On Aug. 22 Braun seemingly responded to the reports that he’s severed professional ties with several of his longtime clients in a post on X (formerly known as Twitter). “Breaking news… I’m no longer managing myself,” joked Braun. 

He also shared an Instagram post that showed off his vacation to Iceland. “Carpe diem :),” he captioned the post (meaning “seize the day” in Latin), which included photos of Braun and four friends traveling via helicopter.

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Source: HIS Education