Lyor Cohen, Warner Music’s chief executive for recorded music, thinks the long-suffering and depleted music business would do a lot better if it could just stop the bitter in-fighting and back-stabbing particularly among the major label owner rivals Universal Music Group, Sony Music and EMI.
Vevo, the music video company, has relaunched the popular site with a more personalized, social, long-play viewing experience getting closer and further away from that MTV experience at the same time.
One of the big changes is that you can now only get the full benefits of Vevo with a Facebook login in, which allows you to create a personalized Facebook playlist and share the videos you’ve watched with your friends on Facebook.
Just 48 hours ago we pointed out how Warner Music Group shares had dropped some 11 percent as investors panicked over the extent of the downturn in the business’s fundamentals which were worse-than-expected in the all important Holiday quarter and management gave a gloomy prognosis. But this is big finance where focusing on fundamentals is for suckers…things turn around pretty quickly and Warner Music is back up.
After posting weak quarterly sales on Tuesday Warner Music’s shares closed down another 1.4 percent on Wednesday meaning its shares have dropped some 11 percent since Monday. As if that wasn’t enough concern, the heavily leveraged No.3 music company was given a heads-up that its debt is about to be downgraded. Ratings agency Moody’s placed ratings for Warner Music Group’s BA3 debt on review for “possible downgrade” which usually is as good as definite .
We hate to hit replay on this one but following New York Post’s story today that European streaming music service Spotify is close to a deal with Sony Music and thereby close to launch we decided to call a few people to confirm.
So 2010 was the year that wasn’t as far as a major revolutionary digital music launches were concerned. Label executives have been hoping fervently for some real competition to take on Apple’s iTunes. Not that they don’t want iTunes to do very well but having one company control 70 percent of recorded music sales in your biggest markets like the US and UK is perhaps not best for industry growth.
The numbers are in for two of the biggest music markets and unsurprisingly, sales are down yet again, continuing a trend of the last decade.
(Clarifies earlier post to show McCarroll is not replacing Melrose/Brooks)
EMI, the smallest and most troubled of the four major music companies, took its latest step towards re-focusing under new leader Roger Faxon by appointing the current head of North American creative at EMI Music Publishing as president of the Capitol and Virgin label group in North America.