MUSIC GIANTS' MERGER GOES ONE STEP FURTHER


The BBC reports that the Mario Monti, the EU’s Competition Commissioner, is willing to allow Sony-Music and BMG to merge. The merger of the two music companies, whose artists include Aerosmith, Beyonce, Britney Spears, and George Michael, would leave 80% of the world’s music market in the hands of 4 companies. However, independent record labels have objected, claiming that it will lead to the space available to them in music shops being limited and ultimately, a narrower range of music being available to consumers. The merger still has to be approved by the US competition authorities though.

The IPKat hopes that the combined company will utilise the copyright that it holds wisely. He notes that BMG is behind Napster and hopes that the merged company won’t be tempted to restrict access to its portfolio to other online music providers.

EU Competition Commission here
More about the music business here, here and here
MUSIC GIANTS' MERGER GOES ONE STEP FURTHER MUSIC GIANTS' MERGER GOES ONE STEP FURTHER Reviewed by Unknown on Sunday, June 20, 2004 Rating: 5

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