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The Controversy Surrounding The Universal-EMI Merger

The Controversy Surrounding The Universal-EMI Merger

2581569 universal emi The Controversy Surrounding The Universal EMI Merger As many of you are aware, the Universal Music Group and EMI merger is under review of the Federal Trade Commission. As critics have been arguing, this would create a “super-major” that would bring about devastating effects on the music industry. Some of this could be true, but there is also a lot to consider from the other side of the argument claiming it is exempt from any antitrust claims and possibly beneficial for all of music.

With so many services like iTunes, Pandora and Spotify competing for cheaper licensing deals, a 40% market share from Universal could hold a huge dictating power over the innovation in the industry. Not too mention a 51% hold on the Billboard 100 charts. But maybe it is big dog services like iTunes that have more power than any label, as Forbes brought to our attention. Lucian Grange, CEO of UMG said it himself, “[i]f Apple stops selling our music, we go out of business. Apple does not.”

We will see how things play out in the next few weeks, as this merger is up for debate in the Federal Trade Commission offices. Either way, it is destined to shake up an industry that has been in turmoil for over a decade now. Let us know what you think in the comments section below.

2 Comments

  1. david duck
    Sep 20, 2012 @ 18:59:00

    I think that umg will bring some artists back to the label. I think this what is going to do with the artists and if they are able to keep elton john on the label then elton negotiate with universal to have his recordings on liberty

  2. grlldrbt
    Sep 20, 2012 @ 13:35:00

    down with mainstream

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