Universal Motown To Split Into Two
Universal Motown Records Group will split into two distinct labels, reports Billboard.biz. The two labels, the urban-centric Universal Motown and the rock-focused Universal Republic, will share services (legal, finanacial and sales) but will operate independently of each other. Hits further explains that the Universal Motown roster will include the labels SRC, Cash Money and Blackground.
This move bucks the recent trend of merging labels for cost-cutting reasons. On the other hand, it follows a trend of putting space between two executives who are said to not get along: Monte Lipman, who will head Universal Republic, and Sylvia Rhone, who will lead up the Universal Motown label.
Commentors at The Velvet Rope noticed the separation of urban and rock. "Sounds like it's come down to black and white," said one. "The two different water fountains of Universal Records," commented another. Racial humor aside, seperating urban and rock divisions should, on paper, allow each division to maximize its potential and focus on the distinct differences that exist in each.
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