THIS WEEK IN THE MUSIC BIZ May 9, 2005 Edition

 

Linkin Park Opposes Fleecing Of Warner Music, Demands Immediate Release

 

The new owners of the Warner Music Group will be reaping a windfall of $1.4 billion from their $2.6 billion purchase a mere 18 months ago if their planned IPO moves forward. Linkin Park, their biggest act, will get nothing.

Meanwhile, of the planned $750 million raised by an IPO, only about $7 million will be put toward the company's own operations, with no money going to WMG artists. Additionally, WMG has already seen a widespread reduction of its work force and substantial cuts in marketing and promotion expenditures. Linkin Park has become increasingly concerned that WMG's diminished resources will leave it unable to compete in today's global music marketplace, resulting in a failure to live up to WMG's fiduciary responsibility to market and promote Linkin Park.

Linkin Park has been responsible for approximately 10% of the entire Warner Music Group's record sales, selling over 35 million records worldwide in just 5 years. After reading numerous and daily articles about how WMG executives and corporate raiders have ridden the coattails of the creative community to extract massive rewards, Linkin Park has become increasingly offended and discouraged.

Source:

---

Former Waveworks Music Director Launches New Music Company

MusicDish Network Sponsor

Patrick Smith, long-time music director for Waveworks Digital Media has launched is own music production company, Electronic Philharmonic. The company is dedicated to the composition and production of highest-quality music for films, television, and other types of media. Mr. Smith has achieved a reputation for quality and service over his past 20 years of producing music in the Washington, DC market.

Mr. Smith's music has been featured in episodic television, documentary films and videos, exhibits and installations, and advertising for over 20 years. His current music library lists over 1400 titles. His past clients include Discovery Channel, Fox Television, NASA, The Smithsonian Institution, NBC, ABC, PBS, and many other commercial, corporate, and political partners. His music has been used extensively in the hit Fox series, "America's Most Wanted".

Electronic Philharmonic recently signed a 3-CD production deal with American Music Company, a New-York based music library. AMC also hosts an earlier CD by Mr. Smith; "Treasure Hunter", a collection of big Hollywood blockbuster-type themes, which is enjoying popularity in the field of movie trailer production. The company also provides full music consulting and supervision services.

Source:

---

Roadrunner Records Signs Up To Muzikplugger Services

Roadrunner Records has become the first global record company to sign up to digital music video distribution service Muzikplugger.

In April, Muzikplugger will start tests for the digital delivery of previews and videos in the UK market. Videos from five Roadrunner acts, including Kill Switch Engage and Open Hand, will be used in the tests.

Muzikplugger provides digital distribution of broadcast quality music videos, using the same technology that the major Hollywood film studios use for the delivery of films to broadcasters. The company can track every broadcast in real time, providing rights owners with evidence of audiovisual broadcasts. Meanwhile, Keith Harris (IMMF, Musictank) has been appointed chairman of Muzikplugger. Muzikplugger is powered by Akamedia's proven distribution platform for the delivery of broadcast quality video content securely over IP.

Source:

---

EMI Music Enters Into Agreement With Snocap To Drive Expansion Of Legitimate Digital Music Market

SNOCAP, the first end-to-end provider of digital licensing and copyright management services for the digital music marketplace and EMI Music, the world's largest independent music company, announced that they have signed an agreement for SNOCAP to provide identification and copyright management technologies, as well as database services, that will drive new revenue streams for the legitimate peer-to-peer online distribution of EMI's prestigious catalog of recorded music.

"This deal with Snocap underscores EMI's commitment to developing legitimate ways to deliver our music in more ways to more fans, including peer-to-peer distribution models that ensure creators are compensated for their works," said David Munns, Chairman and CEO EMI Music North America. "This sends a signal to music industry critics who claim we are technophobic. If anything, we are embracing technologies like SNOCAP, which allow the P2P community to share music legally. It's a big step forward for fans, artists and copyright owners."

"We're pleased to join with EMI to bring an unprecedented selection of digital music to people around the world through peer-to-peer platforms and other online retailers," said Shawn Fanning, Chief Strategy Officer of SNOCAP. "EMI understands the role that innovation can play in taking the digital music market to the next level and we look forward to working with them to bring consumers the full breadth of content we know that they're looking for and an expanded choice in distribution models."

Source:

---

Atlantic Records' "Get It Poppin' Fat Joe F/ Nelly" Distributed Exclusively First Via Promo Only MPE

Promo Only and Technology partner Destiny Media Technologies announced today that Atlantic Records has distributed its new single from Fat Joe featuring Nelly, "Get it Poppin'," exclusively first through the Promo Only MPE system. "Get it Poppin'" was made available to Top40/CHR, Urban and Rhythmic radio formats all at the same time on May 2nd at 12:01 am ET.

"We expect a huge response from radio to this track and many instant adds," said John McMann, Senior VP, Pop and Crossover Promotions for Atlantic Records. "Promo Only MPE gives us the ability to immediately distribute our music, faster and more securely than any other service."

Atlantic Records, part of Warner Music Group, is just the latest to utilize the Promo Only MPE system joining Universal Music Group (UMG) which uses the Promo Only MPE System to digitally deliver CD-quality audio files to every US major market radio station. Other labels such as the RCA Music Group and the Zomba Label Group, part of Sony BMG, are also using the system.

Source:

---

Warner Music Group Opens Public Policy And Government Relations Office In Washington, D.C.

Warner Music Group announced the appointment of Linda Bloss-Baum as Vice-President, Public Policy and Government Relations. Bloss-Baum will head WMG's new public policy office based in Washington, D.C. and report to Dave Johnson, WMG's Executive Vice President and General Counsel.

Prior to joining WMG, Bloss-Baum represented the music, film, telecommunications and technology interests of Universal Studios Entertainment (later NBC Universal.) From 1999 to 2003, Bloss-Baum was counsel to the House Energy and Commerce Committee serving under Chairmen Tom Bliley (R-Va.) and W.J. "Billy" Tauzin (R-La.). In that capacity, she served as a legal advisor to members of the committee on technology and telecommunications issues.

"There are many challenges facing the music community that require the attention of Congress and policymakers," said Johnson. "With her experience in entertainment, technology and politics, Linda will make sure the Warner Music Group voice is heard in Washington as Congress considers a variety of legislative issues, including taxes, trade and digital piracy."

Source:

---

MATERNA Starts Into Music Download Business With Its Own Platform

MATERNA Information & Communications, Dortmund-based tele-communications specialist, has already established its efficient infrastructure for mobile services, MACS (Mobile Application and Content Server) a Service Delivery Platform, on the market. As from summer 2005, MACS will be completed with a novel music download platform. In contrast to products from other providers, the MATERNA products supports the full track music download onto both personal computers and mobile phones. Various mobile value added services, such as the MMS Star News, round off the range of services on offer.

MATERNA is going to start into the music download business, with its additional MACS component, in this very year. The new platform offers a comprehensive shop system for the sales of audio files of all common formats, i. e. WMA, AAC/AAC+ and MP3. Furthermore, the existing DRM (Digital Right Management) functionality will be extended by Microsoft DRM and OMA DRM 2.0 The range of services includes a reporting system, meeting the special requirements of the music industry. The downloads can be paid via the monthly mobile invoice, credit card, T-Pay and other billing concepts.

The music download platform will include features like SMS and MMS Newsticker, informing users about new publications, the" top 10" or concert dates. The favourite hit as a ring tone, wallpapers or a personalised "My Music" area make the service perfect for music fans.

Source:

---

Apple IPod's Traffic Reaps Destra Dollars

Like a 'Mister Whippy' van on a hot summer's day, destra Corporation Limited has seen a 300 per cent annualised increase in downloads from the company's MP3.com.au website by Apple iPod users. In downloading free legal music, these iPod users are generating thousands of advertising dollars for Australia's No 1 independent music website.

destra's CEO, Domenic Carosa said, "Since marketing to Apple iPod owners that free legal music is available on our MP3.com.au website, the download rush has overwhelmed us. Our advertisers love it and the advertising revenue we generate goes straight to our bottom line."

MP3.com.au has over 70,000 tracks from over 15,000 independent artists across the globe and over 200,000 registered users. These artists have willingly placed their music on the website free of charge for users to download. The MP3 format is compatible with the Apple iPod.

Source:

---

New Rhapsody Lets Consumers Listen To And Share Music For Free, Legally

Ten years ago, RealNetworks, Inc., transformed the web by bringing sound to the internet for the first time with its groundbreaking RealAudio. Real is again transforming the online world with the introduction of the new Rhapsody delivering free, legal access to a library of more than a million songs to anyone in the U.S. for the first time.

The new Rhapsody lets anyone listen to and legally share songs, of their choosing, every month. Consumers simply download the Rhapsody jukebox software from www.rhapsody.com. Once downloaded, they can listen to 25 full tracks from Rhapsody's library of over one million songs each month, and enjoy unlimited access to the jukebox's other features at no additional cost. In addition, Real also announced significant enhancements to its critically-acclaimed Rhapsody Unlimited service, and added a new tier called Rhapsody To Go, designed to provide customers the ultimate experience in portable digital music.

"With the new Rhapsody, millions of people can now experience and share digital music legally, and with no strings attached," said Rob Glaser, chairman and CEO of RealNetworks. "We think the new Rhapsody will transform digital music. What's more, we believe that once consumers experience Rhapsody and share it with their friends, many people will upgrade to one of our premium Rhapsody tiers. We thank our partners in the music industry who worked closely with us to create an innovative and win-win approach that works for both the industry and consumers."

Source:

---

Music Choice Inks Deal With Koch Records

Music Choice, the pioneering music video network, today has announced a deal with KOCH Records to acquire their wide-ranging music video library for the Music Choice network. Thousands of multi-genre music videos are now available on the Music Choice multi-platform network, which includes Music Choice on broadband, Music Choice On Demand and distribution to thousands of consumers via Sprint's PCS Service. The videos reach millions of PC users with broadband connections and TV viewers with access to On Demand.

In a relatively short period of time, KOCH Records has established itself as the fastest-growing music company and the market leader among independents in North America. The label boasts and wide array of artists and covers a multitude of musical genres including everything form rock to classical to children's music.

"The addition of Koch's catalog to the Music Choice network helps solidify our position as the aggregate of the largest selection and widest variety of music videos", said Damon Williams, Senior Director of Programming for Music Choice. "Our objective is to provide all music videos available in every genre. With our multi-platform on demand distribution network, music fans will soon be able to get the videos they love when and where they want."

Source:

Provided by the MusicDish Network. Copyright © Tag It 2005 - Republished with Permission