Feeds

EMI, Warner Music renew 'pre-nup talks'

If Sony and BMG can wed, why not us?

  • alert
  • submit to reddit

The Power of One eBook: Top reasons to choose HP BladeSystem

EMI wants to woo Warner Music Group again with a view to marriage, in the wake of the anticipated merger between Sony Music and Bertelsmann Music Group.

Unnamed sources cited by The Times claim the European Commission's approval of the Sony-BMG deal has given EMI and Warner executives renewed hope that they too will be allowed to come together.

But a Sony-BMG combo reduces the record majors from five to four. It seems less likely that US and European regulators, which expressed anti-trust concerns over the Sony-BMG merger, will let this drop to three.

If the merger goes ahead, Sony-BMG will account for around a quarter of the world music market. Universal controls another quarter, and together the independent labels yield 25 per cent. EMI and Warner will argue they need to come together to make up the remaining quarter share. Both companies would contribute roughly 50:50 to a combine share.

EMI and Warner have been here before. THey pursued merger negotiations in the autumn of 2000, only to see talks collapse after it became clear that the EC would not authorise the deal, at least so far as EMI's music operation went.

Soon afterwards, Bertelsmann began nosing around EMI, but discussions never reached the stage of formal merger negotiations. BMG's overtures to Sony proved more successful, and in November 2003, the pair announced they were to wed - regulators and shareholders permitting. ®

Related stories

EMI falls into red on failed Warner tie-up
BMG attempting to merge with EMI
Fresh suitors eye EMI after Warner merger collapses
EMI/Time Warner withdraw EU merger application
Europe to OK $135bn AOL/ Time Warner merger
Sony - BMG wedding hit by EC spoiler
Sony, Bertelsmann agree to merge music labels

Top three mobile application threats

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
Bose says today is F*** With Dre Day: Beats sued in patent battle
Music gear giant seeks some of that sweet, sweet Apple pie
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
Application security programs and practises
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Securing Web Applications Made Simple and Scalable
Learn how automated security testing can provide a simple and scalable way to protect your web applications.