MusicDish e-Journal - June 30, 2016
MusicDish Advertising Network
» HOME » INSIDER SCOOP » CAREER TIPS » MUSIC SPOTLIGHT » MUSICDISH*CHINA
» INDUSTRY INTERVIEWS » NEWS BEAT » DIGITAL SKOOL » OPEN REVIEW » MUSICDISH EDELWEISS
Search MusicDish e-Journal (Advanced)
Subscribe To MusicDish e-Journal
About | Contact | Advertise | RSS | Submit Article | Submit News | Artist Development | Premium PR Distribution
Mi2N | MusicDish*China | MusicDish Network | MusicDishTV | Urban Music News Network

One Down, Three To Go: The Music Biz Shrinks Yet Again, as Courts Close EMI
EMI has lost in court and it's now only a matter of time before its assets are chopped up
By Moses Avalon
(more articles from this author)
2010-11-13
Comment | Email | Print | RSS

It's official, EMI has lost in court and it's now only a matter of time before its assets are chopped up, dispersed and the famous Capital Records building in Hollywood goes condo. After EMI is dismantled there will remain only WMG, UNI and Sony as the remaining "Big Three" labels in the US and the UK.

The Silicon Valley giants are probably very excited today, since this means that there are only three major record distributors left to destroy before they can finally buy up their catalogs and not have to deal with the RIAA or their stupid one-sided interpretation of the Copyright Act.

Yes, this is great day indeed for those who think music should be free. Because the Beatles recordings along with Led Zeppelin, Rolling Stones, and many others will probably soon be the property of an ISP giant, or computer company who will use them as loss leader to attract subscribers.

If you need to catch up go here, but basically what has happened is that Terra Firma, who bought EMI in 2007, it seems paid a bit too much for the company and can not pay CitiBank, the financier of the deal, under the terms of their loan agreement.

Rather than pay back the loan, or ask for a refinanced one, Terra Firm sued their bankers by asserting that CitiBank basically "tricked" them into borrowing $4 Billion from them to buy the faltering record company. The trick manifested, according to EMI lawyers, by CitiBank not disclosing that nobody else was interested in buying EMI at that price. Apparently Terra Firma never heard of a little thing called due diligence.

Sounds like a law suit that only a music lawyer could come up with: you owe me because I didn't do my homework and spent too much.

Ironically, a CitiBank executive said under oath that the record company made a bad deal and now they just don't want to live with it; a cruel twist because usually it's the record company telling the artist that very same thing. I wonder how they feel being at the other end of that pitch?

A jury took less than five hours to agree that the suit was dumb and now EMI will very likely be foreclosed upon. Rumors that Terra Firma's owner, Guy Hands, had raised some private money to help maintain the loans have turned out to be little more than wishful thinking.

Who are the likely buyers for EMI vestiges? My number one draft pick is, do-no-evil tech giant, Google. They have made substantial investment in their soon-to-be music subscription service. And while Warner and UNI will have their checkbooks out, financially, none of them can out bid Google, with their seemingly bottomless pit of cash, which, when pitted against WMG's debt and UNI's massive overhead, will be no contest.

And while it might seem that one of the remaining Big Three would desperately want the vintage catalog, it's Google that has the stronger motivation to over pay. With their music store just months away, what better way to say "See, we're better than iTunes," than to offer the one thing that iTunes has none of– the Beatles original recordings.

Can't you just already see the TV adds; "Its a Google Revolution."

Gag.

Mo out


Home » Insider Scoop » One Down, Three To Go: The Music Biz Shrinks Yet Again, as Courts Close EMI
Permalink:http://www.musicdish.com/mag/?id=12797
Email |Print |Comment |RSS

back | top


MusicDish Advertising Network

Insider Scoop

» CMA Research Shows Country Music Consumers Spend More On Music

» Venues Refuse to Pay Songwriters While Profiting From Their Music

» Streaming is More Than a Wave, It's Now the Sea In Which the Music Business Swims

» Billy Ray Cyrus Joins List of Artists Standing Up Against Anti-LGBT Bills

» 68% of U.S. Smartphone Owners Listen to Streaming Music Daily

Insider Scoop Directory



» [2016-06-26] Morbid Goats Farewell Tour And Digital Album Release; Morbid Goats Will Release Their First Album And Give Their Farewell Tour During July 1st To July 29th (ten Cities)

» [2016-06-26] Alisa Apps Files Lawsuit Against Universal Music Group And John Newman; The Basis Of The Lawsuit Is An Alleged Copyright Infringement Of Alisa Apps' Song 'Need To Know'

» [2016-06-16] MusicDish*China Music Releases, Charts, MV Premiere And Radio Feature; MusicDish*China Has Ramped Up Its Music Distribution With 8 New Releases So Far This Summer, Ranging From EDM, To Electro-pop, Alternative And Rock

» [2016-06-16] Andreas Carlsson Becomes Advisor And Investor In Soundtrap; Carlsson, Who Has Written Hits For Katy Perry, Backstreet Boys, Britney Spears And More, Sees Huge Potential In Online Music Recording Studio Soundtrap

» [2016-06-16] Adva Mobile Fan Engagement Score (ES); New Mobile Technology Scores Fan Engagement On Artist Web Apps And Ranks Fans By Loyalty

» [2016-06-05] MusicDish*China Presents Ji, Yui And Nagi Trio For A Night At The Museums; The Jazz Trio Will Help Celebrate The China Institute's New Downtown Headquarters As Well As Its Upcoming Fall Exhibition As Part Of Night At The Museums

» [2016-06-01] South Korea's YG Entertainment Attracts Chinese Investment; Tencent And Weiying Technology Invest US$85 Million Dollars In YG Entertainment

» [2016-05-31] Cpop Goes Global With KKBOX And Twitter; KKBOX And Cpop Artists To Create Exclusive #OnlyOnTwitter Content To Share With The World

» [2016-05-28] Syndney Singer Rainbow Chan Guest DJ On China's Kanjian FM; In Its First Month, "Nest" Had Over 16,000 Listens, With The Song Climbing To #4 On Kanjian's Top 50 ING Chart

» [2016-05-25] Brownswood Launches Second "Future Bubblers" Music Discovery Program; The Project Speaks To The Creativity, Enterprise And Vibrancy Of Music Scenes Bubbling Under The Surface Of Towns Across The Country

» [2016-05-24] MusicDish Yaogun Adds Chinese Rock On Colectivo Bunka USB Vol. 6th Asia Music Compilation; The Special Anniversary Edition Features Three Very Different Chinese Rock Bands That Continue To Shape The Scene

» [2016-05-22] Kobalt Offers Creators Real-Time Earnings & Data Reporting; Mobile App Allows Artists And Songwriters To Track Their Earnings, Synch Activity, YouTube And Music Usage, All In Real Time
MusicDish Advertising Network

follow MusicDish on
Follow MusicDish on Twitter

Mi2N Music PR

Killer Tracks Adds Nashville's Ian Bern To Its "Artist Series"

The 2016 IAMA (International Acoustic Music Awards) Kicks Off

The PondHawks Might Be The Next Breakout Band With Their New Album That Is Gaining Worldwide Radio Attention

Zaena Morisho Releases Smash Singles 'BS' & 'What Do U Want' In Anticipation Of The Highly Anticipated EP 'Zaena Now' To Be Release Worldwide July 29

Iconic Platinum-Selling Vocalist Anita Ward Returns To Celebrate Pride 2016 With Empowering Dance Anthem "Another Bad Mistake"

Double Impact DJ Chills The Summer With Their Hit Single "Looking For A Kiss"

Alicia G Hot New Video "Ca$h & Nap" Released Worldwide June 9, 2016



Websites: Mi2N | MusicDish*China | MusicDish Network | MusicDishTV | Urban Music News Network
Services: Submit Article | Submit News | Submit Video | Artist Development | Premium PR Distribution

Copyright © 1997-2015 MusicDish LLC., all rights reserved.
About MusicDish e-Journal | Contact Us | Advertise | RSS | Internships