Sony Music Australia
Sony BMG Australia is the predominant record label operated by Sony BMG in Australia. It has close ties with Australian Idol whereby the big winner of the major prize competition receives a multi billion dollar recording contract with becoming Sony BMG Australia-based (in 2003, BMG Music Australia).
History
Sony BMG Australia is a subsidiary of the result of a 50-50 joint venture between Sony Music Entertainment (part of Sony) and Bertelsmann Music Group (part of Bertelsmann) completed on August 5, 2004. It is one of the Big Four music companies, and its related companies includes Arista Records, Columbia Records, Epic Records, J Records, Jive 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 parent 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 parent 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 parent company signed a content deal with the popular video sharing community YouTube.
Marketing
Although used to a degree somewhat less than their American-counterparts, Sony is renowned to co-brand artists with various American acts to raise awareness during new product entrance stage of the product life-cycle to build brand portfolio, even intercompany, with Disney[1].