The global, multi-year agreement means that users of the social networks will, for the first time, be able to upload and share songs and videos featuring music licensed by UMG, which previously may have been removed due to copyright violations.
In a statement on the UMG website, Tamara Hrivnak, head of music business development and partnerships at Facebook, said: 'There is a magnetic relationship between music and community building.
'We are excited to bring that to life on Facebook, Instagram, Oculus and Messenger in partnership with UMG.
'Music lovers, artists and writers will all be right at home as we open up creativity, connection and innovation through music and video.'
Michael Nash, executive vice president of digital strategy at UMG added: 'Together, Facebook and UMG are creating a dynamic new model for collaboration between music companies and social platforms to advance the interests of recording artists and songwriters while enhancing the social experience of music for their fans.
'This partnership is an important first step demonstrating that innovation and fair compensation for music creators are mutually reinforcing – they thrive together.
'We look forward to Facebook becoming a significant contributor to a healthy ecosystem for music that will benefit artists, fans and all those who invest in bringing great music to the world.'