Sony BMG Major Record Label Profile

Sony BMG Major Record Label ProfileSony BMG Major Record Label ProfileSony BMG Music Entertainment is the second largest of the Big Three record companies in the world. Holding the No. 2spot, it falls behind the Universal Music Group(UMG) and isahead of theWarner Music Group (WMG).Sony Music Entertainment (SME) is a Japanese-owned Americanrecord label conglomerate that is owned and incorporated bySony. It is a wholly-owned subsidiary ofthe Sony Corporation of America. How Sony BMG Music Entertainment Was Formed Known in the trade simply as Sony, the company welches started in 1929. For the first nine years, it was called the American Record Companyand maintained that title until it acquired theColumbia Broadcasting System in 1938. At that time it renamed itself the Columbia Recording Corporation. The Sony name came into being in 1988 when the Sony Corporation bought the Columbia Recording Corporation and fittingly renamed the new entity Sony. Sixteen years later, in 2004, Sony an d the Bertelsmann Music Groupjoined hands and established a 50-50 joint venture and became officially known as the Bertelsmann Music Group. However, four short years later, in 2008, Sony decided to grow the business and made the move to acquire Bertelsmanns stake. The new company was renamed the Sony Music Entertainment. A Buyout Creates a Music Behemoth The Sony buyout proved to be a strategically-sound move because it allowed Sony to acquire all of BMGs significant labels, including the former Columbia PicturessubsidiaryArista Records and Epic Records. Today, Sony Music has a stable of eclectic labels including country labels Arista Nashville, Columbia Nashville, and RCA Records Nashville Latin label Sony Music Latin Christian/gospel labels Provident Label Group and Verity Records, and classical label Sony Masterworks. The Payola Scandal Its impossible to look at the history and status of SME without noting Sonys highly publicized payola scandal. In June 2005 SME was force d to pay an estimated $10 million in fines after being found guilty of engaging in payola by the state of New York, under New Yorks then-Attorney General Eliot Spitzer. The label group had been the subject of a yearlong investigation that revealed it was paying and providing expensive gifts- otherwise known as payola- to radio stations and their employees in return for airplay. This is in direct violation of state and federal law. The bulk of the charges surrounded payment for playing Jessica Simpson tracks. The payola also took the form of outright bribes as well as fictitious contest giveaways, supposedly to listeners, that actually went to station employees. The Epic division of SME was singled out, in particular, for running fake contests to cover up their payola. It was determined that DJs were the only ones who ever won prizes in the contests being held. Another Scandal In February 2016, in a 24-hour period, 100,000 people signed an online petition calling for a boycott o f Sony Music and all other Sony-affiliated businesses after rape allegations against music producerDr. Luke were made by musical akrobat Kesha.Kesha asked a New York Supreme Court to free her from her contract with Sony Music. Although the court denied the request, a highly negative public relations campaign ensued. A Look at the Sony BMG Labels Under the huge umbrella of Sony BMG, more than 20 labels are owned and distributed by the corporation. Sony BMG labels include some of the biggest names in the business, including the following Epic Jive Columbia RCA Arista LaFace Zomba Music Group (including Rough Trade and Pinnacle) SoSo Def Legacy J Records Red Music Distribution Sony BMG also has distribution and partial ownership deals with five indie labels, including the following IndependienteGOOD Music Nick Records Wind Up Records Sony BMG Artists As you might imagine of a company that is responsible for 25 percent of all music sales, Sony BMG represents some of the bigges t names in music. Some of the companys top-selling artists include Britney Spears Jessica Simpson Celine Dion The Fray Belle and Sebastian Justin Timberlake Kelis Other featured artists include Carrie Underwood, Ke$ha, Kenny Chesney, Meghan Trainor, G-Eazy, Miranda Lambert, and Willie Nelson. The label also handled the king of rock and roll Elvis Presley, Michael Jackson, Prince, and Jimi Hendrix. Headquartered in New York City, Sony BMG employs over 168,000 workers across the globe and has offices in more than 30 countries worldwide. In March 2018 Sony began producing vinyl records in-house for the first time since ceasing their production in 1989. In April 2018 Sony Musics total global revenuehit the $4 1000 milliarden mark.