One Direction is signed to Syco Records, a major label owned by Simon Cowell and Sony Music. They gained fame after being contestants on the X Factor and releasing their hit single "What Makes You Beautiful." Lanterns on the Lake is signed to the independent label Bella Union, which specializes in indie and alternative artists. They gained recognition through positive reviews of their debut album and through placement of their song in a film. Being signed to an independent label allows artists more ownership over their music but with less funding, while a major label provides greater resources but less artist-friendly contracts.