Music News Bulletin - 07/11/08

MySpace, MTV Test Piracy-Profit Plan
"A new technology that essentially allows content owners to profit from piracy will get a high-profile test this month from MySpace and MTV Networks.
Instead of triggering the usual take-down notices, copyright-infringing footage of select MTV Networks programing uploaded by MySpace subscribers would be automatically redistributed with advertisements that would generate revenue for the companies. MTV Networks is the parent company of such channels as MTV, BET, Comedy Central, Spike and Nickelodeon." [Billboard]

EMI, Warner Sign Up To Unlimited MP3 Package
"EMI Music and Warner Music have signed up to an all-you-can-eat download service run by Datz.com, which will provide access to unlimited music in MP3 format for £99.99 ($164.45) a year. The service will allow fans to keep the music when the year is up.
Beggars Group and The Orchard have also signed up to the Datz Music Lounge and more are set to join in the coming weeks. " [Billboard]

Can The Major Labels Handle Their Debt?
"The expanding crisis engulfing the international financial system has music industry executives worried that rising credit costs could eventually affect term loans, interest payments and revolving credit facilities at record labels.

"There is a lack of confidence out there so that regardless of credit worthiness, investors are shunning risk," says Thomas Carroll, senior VP/managing director of SunTrust's Sports and Entertainment Specialty Group."" [Billboard]

Free vs. Fee Content in a Recession
"An article at eMarketer (see http://www.emarketer.com/Article.aspx?id=1006660 ) brings up a topic that is worth discussing in the music business: Will free lose out to paid content in an economic downturn? The article debates whether or not creators will increasingly scoff at giving away their content and turn to sites that pay for their content." [Coolfer]

EMI, one of the world's largest record companies, is considering turning over its distribution, sales and marketing operations in the United States to a rival in an attempt to cut its extensive losses, music industry sources said Friday.
"Three industry sources told Fortune that the storied British company - whose catalog includes the Beatles, the Beach Boys and Coldplay - is talking to Warner Music, SonyBMG and Universal Music Group about assuming these functions in the U.S. Those companies declined to comment." [CNNMoney]

Music News Bulletin - 25/07/08

Deal or no deal?: Artists need to think twice before signing a 360-degree deal - it could leave them in a spin July 25 2008
Ever since Robbie Williams signed his notorious £80m deal with EMI in return for handing over the profits from all his musical ventures - including touring and merchandising - the 360-degree deal has been the biggest buzzword in the record industry. But who does it actually benefit?

Live Nation has signed 360-degree deals with artists like Jay-Z, Madonna and Nickelback and many major labels now see the advent of these kind of deals as an opportunity to dip into every aspect of their artists' income in return for handling everything from promotion to touring. [Guardian]

Will product placement tarnish music?: Tie-ins between music and brands are growing rife. Is the rise of sponsorship a necessary step, or a curse? July 3 2008
A few weeks ago a press release landed in my inbox, promoting Bebo's next online drama. According to the PR, it will be set amongst the real-life workings of Universal Music UK's west London headquarters. The producers will use cameos of real life Universal artists to bring "additional authenticity" - and some well targeted promotion for the artists, no doubt - to the show.

Financing for the project follows "Bebo's proven model of brand integration". Sony Ericsson is sponsoring, so "we can expect to see some clever references that integrate the brand or its other properties in to the show - whether it's Sam blagging his way out to an Ibiza Rocks with Sony Ericsson gig or simply winding his boss up with mobile phone-related pranks." [Guardian]

Music industry: Sky sets up rival for iTunes with Universal deal July 23 2008
BSkyB is hoping to revolutionise music consumption as it did television after announcing a tie-up with the world's biggest record label to launch an "all you can eat" digital service that will compete with Apple's iTunes.

Having signed up Universal, home to U2, Duffy and Amy Winehouse, as an equity partner in the new business, the pay TV group is also believed to be close to similar deals with other labels. [Guardian]

Music industry: Sky sets up rival for iTunes with Universal deal July 23 2008
BSkyB is hoping to revolutionise music consumption as it did television after announcing a tie-up with the world's biggest record label to launch an "all you can eat" digital service that will compete with Apple's iTunes.

Having signed up Universal, home to U2, Duffy and Amy Winehouse, as an equity partner in the new business, the pay TV group is also believed to be close to similar deals with other labels. [Guardian]