Sony BMG
File:SONY BMG.png | |
Company type | Joint venture |
---|---|
Industry | Music & Entertainment |
Founded | August 5, 2004 |
Headquarters | see List of Sony BMG offices, New York City , USA |
Key people | Chairman of the Board of Directors Chief Executive Officer Chief Operating Officer Executive Vice President Chief Financial Officer |
Products | Music & Entertainment |
Parent | Sony Corporation (50%) Bertelsmann AG (50%) |
Website | www.sonybmg.com |
Sony BMG Music Entertainment, Inc. is the result of a 50/50 joint venture between Sony Music Entertainment (part of Sony) and BMG Entertainment (part of Bertelsmann) completed on August 5, 2004. It is one of the Big Four music companies, and includes ownership and distribution of recording labels such as Arista Records, Columbia Records, Epic Records, J Records, RCA Victor Records, RCA Records, Legacy Recordings, Sonic Wave America, and others.
Financial analysts covering the merger anticipated that up to 2,000 jobs could be cut as a result, saving Sony BMG approximately $350 million annually.
The company's Chief Executive Officer (CEO) is Rolf Schmidt-Holtz, who succeeded Andrew Lack on February 10, 2006. In the first half of 2005, the company's share of new releases in the United States (US) declined from 33% to 26% according to Nielsen SoundScan. This, and Lack's negotiation of what some called an "ill-conceived" deal with Bruce Springsteen led to Bertelsmann informing Sony that it would not renew Lack's contract. Lack now holds the position of Chairman of the Board, the position formerly occupied by Schmidt-Holz.
The company signed a content deal with the popular video sharing community YouTube.
Future of the merger
On March 27, 2006, the New York Times reported that Bertelsmann was in talks with Sony to possibly alter the current venture. Two executives close to SONY BMG have said that Bertelsmann may offer Sony its half of the company in order to raise money by leveraging some of its media assets. Executives close to Sony BMG have stressed that any such agreement will likely take months to conclude.[2]
On July 13, 2006, however, the European Court of First Instance annulled the European Commission's clearance decision as IMPALA (a trade association for independent labels in Europe) had applied for. This judgment has been appealed by the merging parties.
On October 3, 2007, after a new investigation, the European Commission approved the merger again.[3]
It was announced that SONY BMG will dismantle the Sony Urban Music label. All of the artists will now be assigned to Epic or Columbia.[4]
Management
- Chief Executive Officer - Rolf Schmidt-Holtz
- Chief Operating Officer - Tim Bowen
- Chief Financial Officer and Executive Vice President - Kevin Kelleher
- Chairman of the Board – Andy Lack
- Chairman, Sony Music Label Group - Rob Stringer
- Chairman, BMG U.S. Label Group - Clive Davis
- President/COO, BMG U.S. Label Group - Charles Goldstuck
- Chairman, Columbia Records - Steve Barnett
- Chairman, Columbia Records - Rick Rubin
- President, Epic Records - Zachary Stoltzfus
Top Worldwide Sony BMG artists
- AC/DC
- Aerosmith
- Air Supply
- Alicia Keys
- Alizée
- Anastacia
- Avril Lavigne
- Backstreet Boys
- Beyoncé
- Billy Joel
- Bob Dylan
- Boney M.
- Bow Wow
- Bushido
- Brad Paisley
- Britney Spears
- Bruce Springsteen
- Carrie Underwood
- Cassidy
- Celine Dion
- Cheyenne Kimball
- Chris Brown
- Chris Daughtry
- Christina Aguilera
- Cyndi Lauper
- Dave Matthews Band
- David Gilmour
- Dido
- Dixie Chicks
- Duran Duran
- Earth, Wind & Fire
- Elvis Presley
- Eurythmics
- Fiona Apple
- Franz Ferdinand
- George Michael
- Good Charlotte
- Incubus
- INXS
- Jessica Simpson
- Jennifer Lopez
- Joe Satriani
- John Mayer
- Johnny Cash
- Journey
- Justin Timberlake
- Kelly Clarkson
- Kenny G
- Kenny Loggins
- King Kool Savas
- Kylie Minogue (FMR/Warner Bros./Sony BMG)
- Marc Anthony
- Mew
- Michael Jackson
- Natasha Bedingfield
- Nelly Furtado (FMR/Warner Bros./Sony BMG)
- Oasis
- Ozzy Osbourne
- Paula DeAnda
- Pearl Jam
- P!nk
- R Kelly
- Rainie Yang
- Rage Against the Machine
- Ricky Martin
- Rod Stewart
- Roger Waters
- Santana
- Sean Kingston
- Shakira
- Secret Affair
- Simon and Garfunkel
- Show Luo
- System of a Down
- The Fray
- The Outfield
- Toni Braxton
- Tori Amos
- Usher
- Vic Zhou
- Velvet Revolver
- Westlife
- Whitney Houston
- Will Smith
Sony BMG-Based artists
- 10,000 Maniacs
- Sam Marchant and Amanda Marchant
- Amy Pearson
- Anthony Callea(Australian Idol Runner Up 2004)
- Australian Idol
- John Collits
- Crosby Stills & Nash
- Crowded House (1985-1989, 1996)
- Damien Leith(Australian Idol Winner 2006)
- Dean Geyer (Australian Idol Contestant 2006)
- Delta Goodrem (2002-2003, 2007-present)
- Emily Williams (Australian Idol Runner up 2005)
- Guy Sebastian (Australian Idol Winner 2003)
- Il Divo
- Jessica Mauboy (Australian Idol Runner Up 2006)
- John Farnham (1985-1987, 2003)
- Joshuah Michael
- Leona Lewis
- Linda Ronstadt
- Mau Marcelo
- Natalie Merchant
- Seriously Ten (2001-2002, 2006-present)
- Rosita Vai (New Zealand Idol 2005)
- Secret Affair
- Seven Network (2005-present)
- Shannon Noll(Australian Idol Runner Up 2003)
- Stone Sour
- Sunrise (2004-present)
- TV Rock
- Westlife
- Young Divas (Female Australian Idol Contestants, Paulini - 2003 finalist, Kate DeAraugo - 2005 Winner, Emily Williams - 2005 Runner-up and Jessica Mauboy - 2006 Runner-up)
Television DVDS:
- Channel Nine DVD*
- Seriously Ten (2001-2002, 2006-present)
- Australian Idol
- Rove
- Thank God You're Here
- The Biggest Loser
- Big Brother
- Sunrise (2005-present)
- Dancing With The Stars
- Deal or No Deal (2004-present)
- Home And Away (2005-present)
- Neighbours (1989-1994, 2001-present)
Controversy
2005
July
Sony BMG was fined 10 million dollars after the New York Attorney General's office determined that they had been practicing payola mostly in the form of direct payments to radio stations and bribes to disc jockeys to promote various artists including Franz Ferdinand, Audioslave, Celine Dion and mainly Jessica Simpson.
Epic Records, one of their labels, was specifically cited for using fake contests in order to hide the fact that the gifts were going to disc jockeys rather than listeners . [1].
October and November
A controversy over digital rights management (DRM) software that automatically installed itself on people's computers and made them more vulnerable to computer viruses that was produced and shipped by Sony BMG ensued. The scandal caused numerous lawsuits and Sony BMG ended up recalling all affected CDs.
November
November 16 - US-CERT, the United States Computer Emergency Readiness Team, part of the United States Department of Homeland Security, issued an advisory on Extended Copy Protection DRM, citing the XCP use of rootkit technology to hide certain files from the computer user as a security threat to computer users and saying that one of the uninstallation options provided by Sony also introduced vulnerabilities to a system.
US-CERT advised, "Do not install software from sources that you do not expect to contain software, such as an audio CD." [5] In its "Top Flops of '05" issue, the enterprise newsweekly eWeek had to create a new category for the "Sony BMG root-kit fiasco." Peter Coffee, of eWeek Labs reported, "The Sony brand name was already in trouble—it lost 16 percent of its value between 2004 and 2005....
Now it has taken a body blow among tech-product opinion leaders. We've never done it before, and we hope we'll never have occasion to do it again but, for 2005, eWeek Labs awards a stupid tech trick grand prize to Sony." eWeek Vol. 22, No.50
2007
October
In October 2007, it was announced that Sony BMG successfully sued Jammie Thomson. The single mother who makes $36,000 a year, was condemned to pay $222,220 for allowing 24 of her songs to be available on Kazaa. Thomson is currently appealing the decision.
List of Sony BMG labels
- Columbia Records
- Epic Records
- Federation Records
- GUN Records
- Kinetic Records
- Legacy Recordings
- Ode Records
- Ravenous Records
- RCA Music Group
- Provident Music Group
- Sony BMG Nashville
- Sony BMG Masterworks
- Sony Wonder (moved)
- Zomba Music Group
- RED Distribution
- Sony BMG International Companies
- Sony Discos
- TriStar Music
Independent labels distributed by Sony BMG
- Dancing Cat Records (Under the Windham Hill Banner)
- GOOD Music
- Nick Records
- D-Town Records
- One Records
- Independiente Records
- Wind-up Records
- Gun Records
- Rukus Avenue
- Shout! Factory
- NotNowMum! Records
- Century Music Malaysia
List of offices
Sony BMG is present in many parts of the world:
- Argentina
- Australia
- Austria
- Belgium
- Brazil
- Canada
- Chile
- China
- Costa Rica
- Czech Republic
- Denmark
- Finland
- France
- Germany
- Greece
- Hong Kong
- Hungary
- India
- Indonesia
- Ireland
- Italy
- Japan
- Korea
- Malaysia
- Mexico
- Netherlands
- New Zealand
- Norway
- Panama
- Philippines
- Poland
- Portugal
- Russia
- Serbia
- Singapore
- South Africa
- Spain
- Sweden
- Switzerland
- Taiwan
- Thailand
- Turkey
- United Arab Emirates
- United Kingdom
- United States
Japan
In Japan, Sony's Japanese recorded music subsidiary continues to operate independently of Sony BMG due to the strength and size of its business. BMG's former Japanese subsidiary is part of Sony BM
References
- Leonard, Devin (Nov. 28, 2005). "Music Lessons". Fortune, pp. 31–32.