The new issue of the newsletter begins with a look at the latest financials published by the US authors’ body ASCAP. Earlier this month ASCAP reported a return to growth for collections last year and an increase in the growth rate for distributions. Collections were up 0.3% in 2013, and distributions increased 2.7%. However, ongoing litigation with online-radio service Pandora resulted in a rise in ASCAP’s operating-expense ratio.
This issue also details the performance of SME and WMG in the last three months of 2013. Sales for SME were up 14.4% in the three month period, although the rate of increase was greatly boosted by the depreciation of the yen against the US dollar. Excluding exchange-rate fluctuations, sales were down 1% year-on-year. For WMG, total revenues increased 6.8%, excluding currency fluctuations. The acquisition of the Parlophone Label Group at the beginning of July boosted the recorded-music earnings. Without the extra income, revenues would have fallen about 3%. Publishing was WMG’s best-performing sector. Continue reading
Music & Copyright’s annual survey of the recorded-music and music-publishing sectors has revealed how much Universal Music Group (UMG) and Sony have benefited in market-share terms from the breakup of EMI and the consolidation of the two music-industry sectors. UMG cemented its position as the largest recorded-music company last year, and Sony is now the clear leader in terms of corporate publishing control. Continue reading
Earlier today the European Commission said yes to Vivendi/UMG’s bid to buy EMI Recorded Music. The full Commission press statement is here . Is anyone surprised at the outcome? Our guess is no. If the Commission didn’t want the deal to go through it would have said so months ago.
In the release there are some big name artists that are part of the Parlaphone sell-off (Coldplay, David Guetta, Tinie Tempah). The statement issued earlier today by the Association of Independent Music’s Chairman and Chief Executive Alison Wenham described these divestments as “the crown jewels of EMI.” But there are also quite a lot of artists and bands being divested whose best days are behind them (Tina Turner, Duran Duran, Jethro Tull, Depeche Mode, Moby) and whose value is going to lessen over time. But, UMG has The Beatles and so the company now has the two biggest UK bands ever (inc. The Rolling Stones) in its stable. Other icons moving under UMG’s control include the Beach Boys, Genesis and Bob Seger. Contemporary big names that pass to UMG include Katy Perry, Emeli Sandé, Robbie Williams, Herbert Grönemeyer, Lady Antebellum and Norah Jones. Continue reading
Music & Copyright’s annual survey of the recorded-music and music-publishing industries has revealed that Universal Music Group (UMG) remained the world’s biggest record company and Universal Music Publishing Group (UMPG) the largest music-publishing company in 2011. The positioning of each of the four major record-label and music-publishing companies was unchanged last year. Although this lack of change could suggest that 2011 offered up “more of the same” in the recorded-music and music-publishing sectors, such an assumption would be wide of the mark. Continue reading
SME was the only music company to record an increase in market share for all sectors tracked by Music & Copyright in 2009. SME’s recorded music division narrowed the gap with the global leader UMG and although Sony/ATV remained the smallest for the four major publishers, it has closed in on third placed Warner Chappell.
UMG maintained its position as the largest recorded music company and music publisher for the fourth consecutive year in 2009, despite losing market share to its rivals. UMG’s share in terms of revenues generated from the sales of both physical and digital recorded music decreased to 27.7% from 28.6% in 2008. In contrast, SME saw its share increase to 23.1%, narrowing the gap with UMG to 4.6 percentage points.
For music publishing, Music & Copyright has calculated that Universal Music Publishing’s (UMPG) share of global publishing revenues decreased to 22.9% in 2009 from 23.2% in 2008. UMPG became the largest music publisher in the world following Vivendi’s purchase of BMG Music Publishing in 2007. Prior to UMPG taking the lead, EMI Music Publishing was the largest publisher in the world. It remained in second place in 2009 with an increased share of 19.3%.
According to Simon Dyson, editor of Music & Copyright, “2009 was a good year for SME with the company increasing its market share for both physical and digital sales, the only one of the four majors to do so. EMI’s publishing division also performed well last year, closing the gap with Universal.”
Totaling all the revenues received by the major music groups (recorded music sales, music publishing and general licensing including neighboring rights etc), Music & Copyright has calculated the figure for 2009 stood at US$22.15 billion, down 6.8% on US$23.77 billion in 2008. UMG was the leader in 2009 with a reduced market share of 27.2%. The overall successful year for SME saw it close the gap on UMG with an increased share of 20.9%.