Wednesday Business Links: Warner, Nokia Do Mobile Deal
Warner Music Group has signed on to Nokia's Comes With Music plan. Of the four majors, EMI is the only one that has not inked a deal with Nokia. (Financial Times)
While most articles on the deal stayed optimistic and left out the details that will impact the service's popularity, The Globe and Mail criticized Comes With Music's restrictions to interoperability and burning. (Globe and Mail)
WMG's stock had a 9% upswing after the Nokia deal was announced but gave up a bit over 3% and ended up even on the day.
Razor & Tie has partnered with The Artist Organization to provide to TAO artists marketing, sales and distribution. (Billboard.biz)
An EMI Phillippines executive speculates that EMI could shudder some of its foreign labels and enter into licensing agreements with other companies. (Philippine Daily Inquirer)
Alter your product mix to stay alive. Tower couldn't do it. Virgin is giving it a shot, and HMV is succeeding in finding revenue growth. HMV's year-ending comp store revenues rose 11.4% in Britain and Ireland and were up 9.2% overall. UK and Ireland music sales "increased marginally" while the market dropped 12% in volume. Games increased 59% and technology (MP3 players and the like) increased 95%. (HMV earnings announcement)
The MCPS and PPL have created a "professional dubbing license" that "will legitimise the activities of DJs, karaoke jockeys, fitness instructors and others who copy legally-owned music onto a digital format for use in a professional or semi-professional capacity." (Press release)
Jupiter's David Card chimes in on the HBR article that questions the long tail and points to another article by the WSJ's Lee Gomes that downplays the hype. Wrote Gomes, "In retrospect, 'The Long Tail' seems to have followed the template of many Wired articles: take a partly true, modestly interesting, tech-friendly idea and puff it up to Second Coming proportions." (David Card's blog)
Music Groups