|
LIVE NATION MAY BE FORCED TO USE ON MUSIC LABELS |
|
|
|
|
Written by Mike Stahl
|
|
Thursday, 31 July 2008 |
|
After paying mega-millions to Madonna, Jay-Z, Shakira and Nickelback for the rights to distribute their respective future albums, Live Nation is now talking about outsourcing the job back to one or more of the major music labels, The Post has learned.
Rather than an overall deal with just one label partner, CEO Michael Rapino is considering doing licensing deals on an artist-by-artist basis, a source inside Live Nation said. Under that scenario, Warner Music Group could end up handling the marketing, promotion and distribution of albums by the very acts that defected from it to join Live Nation: Nickelback and Madonna. "Rapino wants to outsource everything," said a second source close to the situation. "He doesn't want to build an infrastructure or carry any overhead." The move is mirrored after the "rent-a-system" model used in Hollywood, whereby one studio produces a movie but licenses all the other functions to another studio that already has a distribution and marketing infrastructure. Live Nation's talks, which sources say are still in their early stages, represent the latest retrenchment from the strategy of former chairman Michael Cohl, who sought to transform the touring giant into a multi-faceted powerhouse, including a record company. Full Story
| Comments () >> |
 |
|
