The majors usually include the indie labels they and their subsidiaries distribute in their claimed market share to boost their negotiating positions. That increased influence arguably has a more tangible value in the digital age, because when negotiating streaming deals a rights owner’s negotiating power is often linked to its market share, especially when it comes to securing kickbacks like equity. Some in the indie label community don’t like the increased influence such arrangements give to the major music corporations. This isn’t a particularly new phenomenon, and occurred in the CD age too, the argument being that it is a nifty way for artists to get the benefits of a major record company’s global infrastructure, while retaining more control over their recordings business, and/or getting to work day-to-day with an independent record company. And for Sony there is also The Orchard, which operates much more as an autonomous entity. The music major then took complete ownership of the music services firm in 2015.Īll of the major record companies provide distribution and marketing services to independent labels and self-releasing artists, whether through distribution deals done between individual acts and the majors’ frontline labels, or through label services units like Sony’s Red Essential, Universal’s Caroline or Warner’s ADA. The Orchard also began its life as an independent company, but gained Sony Music as a shareholder via its merger with rival IODA in 2012. In joining together, we believe we have an exciting opportunity to provide even greater levels of service and global reach to our local clients”. Both teams are extremely knowledgeable and passionate, and they do an excellent job representing some of the most prestigious and important independent labels in Germany and the Nordics respectively. Their addition greatly enhances our local representation in two of Europe’s key digital entertainment markets. Meanwhile The Orchard’s top guy Brad Navin added: “We’re honoured to welcome Finetunes and Phonofile to The Orchard family. This, the official announcement of the deal insisted, will give indie labels distributed by the two European companies “access to The Orchard’s enhanced services in over 25 territories worldwide, offering physical sales and distribution, global digital marketing, playlist promotion, interactive marketing, digital advertising, sync licensing, video services, neighbouring rights collections, and artist royalty processing”.Ĭonfirming the deal, Finetunes founder Oke Göttlich said: “We feel confident that our labels will be best positioned for a healthy and prosperous future alongside The Orchard, which is dedicated to serving independents on a global level”. Under this week’s deal with SendR, Phonofile and Finetunes will now become wholly owned subsidiaries of The Orchard. At the time the two music distributors described the move as “one of the most significant mergers in the history of the independent digital distribution market”, adding that the two businesses would now actively collaborate. Norway’s Phonofile and Germany’s Finetunes formally came together under one parent company – SendR – at the start of last year. Merlin’s Charles Caldas framed the acquisition as another “land-grab of independent rights” by a major record company via a “faux-indie imprint”. The boss of indie label repping digital rights agency Merlin was scathing yesterday about the news that Sony’s The Orchard had acquired European independent music distributors Phonofile and Finetunes. Business News Deals Digital Labels & Publishers Top Stories Merlin hits out as The Orchard acquires Finetunes and Phonofile By Chris Cooke | Published on Friday
0 Comments
Leave a Reply. |