Business
Page: 153
A group of consumers have dropped a class action lawsuit against Spotify over its recent decision to kill its short-lived “Car Thing” device, a case that claimed the streamer left users holding “a useless product.”
Filed in May, the case came just days after Spotify announced that the Car Thing — a device launched in 2021 for playing music in a car — would be bricked in December. The customers claimed the move left them “with nothing more than a paperweight that cost between $50 and $100.”
But less than two months later, attorneys for the jilted consumers said Tuesday (July 9) that they would drop the lawsuit. The move came without explanation and does not indicate that any kind of settlement with Spotify was reached.
Trending on Billboard
In their initial complaint, the aggrieved buyers claimed Spotify had refused to offer refunds and, at the time of the lawsuit’s filing, the company’s FAQ addressing the deactivation did not make any mention of refunds. It simply told users that Spotify was “not offering any trade-in options” and urged them to consider “safely disposing of your device following local electronic waste guidelines.”
But after the news of the lawsuit had spread, Spotify’s website was updated to include a new section covering refunds. In the updated text, Spotify tells users: “Individuals seeking a refund can contact customer support with proof of purchase to discuss their options.”
It’s unclear if the move to more clearly offer refunds resulted in the withdrawal of the lawsuit, and neither side immediately returned requests for more information. But the voluntary dismissal was made “without prejudice,” meaning the accusers could refile the case at some point in the future if they choose to do so.
Spotify announced Car Thing in April 2021, saying it would provide users with a “seamless and personalized in-car listening experience.” The product — a touch screen with a physical dial that still requires access to a smartphone — rolled out in February 2022 at a price point of $89.99. But just months later, Spotify said it would cease production, telling investors that they “frankly haven’t seen the volume at the higher prices that would make the current product financially viable.”
Then in May, Spotify alerted users that it would stop supporting the devices entirely. The company told users that it was “not a decision we made lightly” and offered a link to customer service to “ensure that you have the right place to reach out if you have any questions.” A week later, the company confirmed in a public statement that the move, set to take effect Dec. 9, would render the devices fully inoperable.
On May 28, three Car Thing buyers — Hamza Mazumder, Anthony Bracarello and Luke Martin — filed their lawsuit, accusing Spotify of violating state and federal laws by essentially duping their clients into buying a “useless product.”
“Had plaintiffs and other members of the class known that Spotify manufactured the Car Thing with the ability to brick the product at any point after its introduction to the marketplace and in Spotify’s total discretion, they would not have bought a Car Thing, or would have paid substantially less for them,” the lawsuit read.
A legal battle over Nirvana‘s iconic smiley face logo will end in a settlement, resolving years of sprawling litigation between the band, fashion designer Marc Jacobs and a former Geffen Records art designer who claims he created it.
In a notice filed in Los Angeles federal court on Tuesday, attorneys for all three sides said they had accepted a mediator’s proposal to end the long-running case over the logo, which has appeared on countless t-shirts and other merch in the years since Kurt Cobain’s death.
Attorneys told Judge John A. Kronstadt that they would formalize the settlement within 21 days, and the judge later removed all upcoming hearings and other deadlines. Terms of the deal were not disclosed, and each side did not return a request for comment.
Trending on Billboard
Nirvana’s logo – a yellow smiley face with X’d-out eyes — first appeared during promotion for 1991’s Nevermind. The design eventually became something of an unofficial emblem for the band, and has become particularly prominent again in recent years amid a wave of 90s nostalgia among younger music fans.
The band’s lawyers first sued Marc Jacobs in 2018, accusing the design house of using a look-alike image on a line of its own t-shirts and other apparel called “Bootleg Redux Grunge.” They said Jacobs had just replaced “Nirvana” with the word “Heaven” and replaced the two eyes with an “M” and a “J,” but had changed little else.
“Defendants’ use of Nirvana’s copyrighted image on and to promote its products is intentional, and is part and parcel of a wider campaign to associate [the Grunge line] with Nirvana, one of the founders of the ‘grunge’ musical genre,” the band’s attorneys wrote at the time.
In their initial complaint, Nirvana’s lawyers said the smiley face had been created by the late Cobain – the conventional wisdom for decades about the logo’s origins. But soon after the case was filed, a former Geffen art director named Robert Fisher jumped into the case: “It is, in fact, Mr. Fisher, who authored the Happy Face, not Mr. Kurt Cobain.”
“For 30 years now, Nirvana has reaped enormous profits from Mr. Fisher’s works through the sale of a wide range of products,” his lawyers wrote. “Assisted by a team of lawyers and managers, Nirvana was able to do so without any compensation to Mr. Fisher by falsely claiming authorship and ownership.”
Since Fisher entered the case, the band’s lawyers have staunchly maintained that it was Cobain who designed the image. At the very least, they’ve argued, if it was Fisher who created the image, he did so when he was employed by Geffen at the time – meaning it was a “work for hire” and the label retained all rights to the image.
In December, Judge Kronstadt largely agreed with Nirvana on that issue. Fisher later sought to appeal that ruling, but the judge denied that motion last month, saying he would need to wait until after Nirvana and Marc Jacobs went to trial to file an appeal.
This is The Legal Beat, a weekly newsletter about music law from Billboard Pro, offering you a one-stop cheat sheet of big new cases, important rulings and all the fun stuff in between.
This week: A new copyright rule on streaming royalties and termination rights is hailed as a “landmark victory” for songwriters; a judge rules on the latest legal battle inside the Prince estate; a band called Jellyroll drops its trademark lawsuit against Jelly Roll; and much more.
THE BIG STORY: ‘Landmark Victory’ On Termination & Streaming
The U.S. Copyright Office has finalized a new rule to clear up uncertainty about who gets paid streaming royalties when songwriters take back their music rights – a wonky subject, but one that roused superstars and advocacy groups into action to secure a “landmark victory” for songwriters.The new rule addresses complicated issues about how the Music Modernization Act’s blanket license for streaming royalties interacts with so-called termination rights – a federal provision that empowers authors to reclaim the rights to their copyrighted works decades after selling them away.It seems straightforward that if a songwriter invokes termination to win back their songs, they should get paid for them. But due to complex legal questions (mind-meltingly complex, trust me on this), the Mechanical Licensing Collective had implemented a policy that critics warned might keep streaming royalties flowing – in perpetuity – to the companies that used to own the rights.Following a multi-year effort that included a push from artists like Don Henley, Sheryl Crow, Sting, Bob Seger, Maren Morris, John Mayer and many others, the Copyright Office overturned that “erroneous” approach this week. For more, go read our full story, complete with an explainer of the legal issues, reactions from the industry, and access to the text of the new rule.
Other top stories this week…
PRINCE ESTATE FIGHT – A Delaware judge issued a key decision in the latest legal battle over the Prince estate, ruling that a group of the star’s heirs could not oust two of Prince’s former business advisors (L. Londell McMillan and Charles Spicer Jr.) from leadership roles. The judge said the advisors had been vested with “broad” authority and could not be removed after one heir “came to regret this decision.”JELLYROLL v. JELLY ROLL – The leader of a Philadelphia wedding band called “Jellyroll” agreed to drop a trademark lawsuit he filed earlier this year against rapper-turned-country singer Jelly Roll, claiming he had settled the case by reaching an “amicable agreement” with the superstar artist. But the move to drop the case was unilateral and the artists reps did not confirm that any kind of deal had been reached.CARDI B COPYRIGHT – The rapper was sued for copyright infringement by a pair of producers (Joshua Fraustro and Miguel Aguilar) who claim that Cardi used their earlier track without permission in her hit single “Enough (Miami).”DIDDY SUED AGAIN – Sean “Diddy” Combs was hit with another sexual abuse case, this time by an exotic dancer named Adria English who claims she was a victim of a sex trafficking operation. Like one of the many previous cases against Combs, the new lawsuit claims he and others violated the Racketeer Influenced and Corrupt Organizations, the federal “RICO” law that’s historically been used to target the mafia, drug cartels and other organized crime rings.LYRICAL PROBATION? Following an 11-year prison sentence on federal gun charges, New Orleans rapper B.G. will be required to provide the U.S. Probation Office with a copy of the lyrics to his upcoming songs before producing and promoting them. The arrangement – the product of an agreement between prosecutors and defense attorneys – came months after prosecutors arrested B.G. for violating his parole by performing at a Las Vegas concert alongside rapper Lil Boosie.
Trending on Billboard
GUITAR RULING SHREDDED – A federal appeals court overturned a jury verdict won by guitar maker Gibson against a smaller company that allegedly copied the trademarked shape of the Flying V and other iconic designs. The reason? The appeals court said the trial judge improperly excluded key evidence that might have helped show that the design was too “generic” for trademark protection.
AEG Presents and independent Portland, Ore., promoter Monqui Presents are bringing a brand-new music venue to the city that will be located in the Lloyd District at the former Nordstrom building site on NE Multnomah Street.
Developed and operated by the two entities, the 68,000 sq. ft. venue will offer flexible seating for 2,000 to 4,250 attendees and feature a movable stage for dynamic event configurations. The strategic partnership will be led by AEG Presents’ president of Rocky Mountains and the Pacific Northwest Don Strasburg and Monqui Presents co-owner Mike Quinn.
“This is a project we’ve been working on with Don and the AEG Presents team for about ten years now — we have a great site, excellent design, and most importantly a shared vision in making the audience and artist experience a truly great one,” said Quinn in a press release. “We are extremely fortunate and excited about this partnership and thrilled to bring this venue to Portland.”
Trending on Billboard
The release details the new venue’s location as “prime” given its placement within the Lloyd Entertainment District boundaries with “its extensive surface and adjacent parking facilities, coupled with easy access to light rail, streetcar lines, and the recently completed north-south bike and pedestrian bridge, ensures unparalleled convenience for attendees.”
AEG Presents and Monqui Presents Partner to open new venue in Portland, Oregon.
Courtesy W.PA
“Mike and the whole Monqui team represent the fabric of Portland,” added Strasburg. “We worked together to find the perfect site and designed the perfect venue — we are excited to deliver the city of Portland the concert experience it so deserves.”
According to the release, the venue will boast state-of-the-art acoustics and sightlines optimized for every patron while accommodating a wide range of musical genres and special events, from intimate acoustic performances to extravagant EDM sets.
Portland-based firm Works Progress Architecture, which also designed Mission Ballroom in Denver, has been entrusted with designing the new venue.
“We’ve had an incredible 25+ year relationship promoting shows with Mike Quinn and Monqui and look forward to many more years of putting on historical shows together,” said regional vp of AEG Presents Pacific Northwest Chad Queirolo.
The leader of a Philadelphia wedding band called Jellyroll has agreed to drop a trademark lawsuit he filed earlier this year against rapper-turned-country singer Jelly Roll.
The case accused Jelly Roll (Jason DeFord) of infringing the trademark to “Jellyroll” — a name Kurt Titchenell says he’s used for decades for an act the Philadelphia Inquirer has labeled as “Philly’s favorite wedding band.”
But in a court filing on Tuesday (July 9), Titchenell agreed to voluntarily drop his lawsuit permanently. In a statement, Titchenell said he had “settled” the case by reaching an “amicable agreement” with the superstar artist: “We look forward to our continued use of the name, Jellyroll Band, in connection with our party band business.”
Trending on Billboard
Court records do not confirm that such a settlement was reached. The filing dismissing the case was not signed by attorneys for Jelly Roll, and instead simply dropped the case against him unilaterally. A spokeswoman for the star did not immediately return a request for comment.
Titchenell sued in April, claiming that Jelly Roll’s increasing popularity — his “Need A Favor” reached No. 13 on the Billboard Hot 100 in November — has flooded the market with his name, making it difficult for prospective clients to find Titchenell’s band.
“Prior to the defendant’s recent rise in notoriety, a search of the name of Jellyroll … returned references to the plaintiff,” his lawyers write in their complaint, obtained by Billboard. “Now, any such search on Google returns multiple references to defendant, perhaps as many as 18-20 references, before any reference to plaintiff’s entertainment dance band known as Jellyroll can be found.”
Titchnell claimed he’s been using the name for his band since 1980. In a 2019 Inquirer article marking the band’s 40th anniversary, the newspaper described Jellyroll as a group that nearly every Philadelphian has likely heard at some point, at one of thousands of weddings, galas and other public events.
In media interviews, Jelly Roll has said that his mother gave him the nickname as a child. He used the name on a 2003 self-released mixtape called The Plain Shmear Tape, and then on dozens of subsequent releases over nearly two decades as a little-known Nashville rapper.
The two artists appear to have peacefully co-existed until recently when Jelly Roll climbed the charts and became a household name. Following his breakout 2021 hit “Son of a Sinner” and last year’s “Need A Favor,” he was nominated for Best New Artist at this year’s Grammy Awards and won a trio of major honors at this year’s Country Music Awards.
In the April lawsuit, Titchenell’s attorneys had asked for an immediate court order that would stop the star from using the name “Jelly Roll.” They specifically pointed to an upcoming concert at Philadelphia’s Wells Fargo Center in October: “Despite his receipt of a demand to cease and desist using plaintiff’s registered service mark, defendant has ignored this demand.”
The U.S. Copyright Office has finalized a new rule aimed at ensuring that songwriters who invoke termination rights to regain control of their music will actually start getting paid streaming royalties after they do so.
The provision, issued on Tuesday, will overturn what the Copyright Office called an “erroneous” earlier policy by the Mechanical Licensing Collective, which critics feared would have kept sending money from streamers like Spotify to former owners in perpetuity, long after a songwriter took back ownership.
Proposals to force the MLC to change that approach, first reported by Billboard in 2022, were supported by a slew of songwriters like Don Henley, Sheryl Crow and Sting, who feared they would be “deprived of the rights afforded to them by copyright law.” The effort was led by groups including the Music Artists Coalition, Songwriters of North America, Black Music Action Coalition and the Recording Academy.
Trending on Billboard
In a statement on Tuesday, Music Artists Coalition board member Jordan Bromley called the Copyright Office’s new termination rule a “landmark victory for songwriters.”
“This decision not only ensures fair compensation for songwriters who reclaim their rights, but also sets a precedent that strengthens the very foundation of copyright law in the digital age,” Bromley said. “It’s a clear message that in the evolving landscape of music streaming and licensing, the rights of creators must be protected and respected.”
A spokeswoman for the MLC did not return a request for comment.
HOW IT WORKS
The new rule issued Tuesday addresses complex questions about how MLC’s blanket license for streaming royalties, created by the Music Modernization Act in 2018, interacts with so-called termination rights – a federal provision that empowers authors to reclaim the rights to their copyrighted works decades after selling them away.
Though a powerful tool for songwriters, termination comes with an important exception. Even though a publisher must hand back the rights to the original song, they’re entitled to keep selling any existing “derivative works” they created when they owned it. Those continue to be fair game, and any fees under existing licenses keep flowing back to their old publisher.
That exception makes practical sense: It would be unfair to let a terminating songwriter suddenly send cease-and-desists over a famous sample that had been legal when it was initially cleared, or sue over a movie that featured the song under a synch license. But it also creates difficult ambiguity for the MLC and the blanket license.
Say a songwriter terminates their publisher’s control of their music. The writer is now the owner of those songs — that’s easy to figure out. But by paying the MLC for access to the blanket license, Spotify arguably already has an existing license in place with the old publisher. So, isn’t the copy of the song on Spotify an existing derivative work? And shouldn’t the royalties from it continue to go to the old publisher under that license?
Under a dispute resolution policy issued by MLC in 2021, that appeared to be the case. The rules seemed to choose who to pay based on when a song was uploaded to a digital streamer’s servers; if it was uploaded prior to when a songwriter invoked their termination right, the royalties would keep going to the old owner — seemingly forever.
The MLC’s approach was not intended as a scheme to hurt songwriters. According to the Copyright Office, the group saw it as a “middle ground,” aimed at preventing drawn-out disputes that would lock up royalty payments “to the disadvantage of both songwriters and publishers.” But advocates argued that it would undermine the very purpose of termination rights, which were created to level the playing field for small creators who sold their works away to powerful companies.
In October 2022, the Copyright Office largely agreed. In a proposed new rule, the agency said the MLC’s policy was based on an “erroneous understanding and application of current law.” Ordering the group to “immediately repeal its policy in full,” the proposal said that when a songwriter gets their rights back, they should obviously start getting the royalties, too.
Nearly two years later, that rule was finalized on Tuesday. The final version retains most of the core features of the original proposal, though certain elements have been changed to address “practical and administrative concerns” raised by industry groups. In particular, the agency said it had modified how the rule identifies the payee to whom the MLC must distribute royalties, and pushed back deadlines to give the MLC more time to “update its processes and systems.”
QUIETING THE CRITICS
Over the past two years, the proposed rule underwent a so-called public comment period, during which it was met with both support and criticism from outside groups. According to Tuesday’s final rule, one of the “principal critics” was the National Music Publisher’s Association, which argued that the MLC’s original approach had been supported by historical precedent in industry practice.
In the new rule, the Copyright Office said it was “not persuaded by NMPA’s argument” on that issue.
“We do not dispute NMPA’s assertion that certain publishers may have adopted a different approach to termination, but this approach is not supported by the law in the context of the blanket license,” the agency wrote. “The Office is not adopting a new position, or changing the law as it relates to termination or the exception. Nor are we contending that the MMA or blanket license altered the law as it relates to the exception. The Office is merely stating what the law is and has always been.”
The Copyright Office also rejected separate arguments from the NMPA that the new rule was an impermissible “retroactive” rule, or even an unconstitutional “taking” that violated the Fifth Amendment. In doing so, the agency said that “these royalties always belonged to the post-termination copyright owner” and that the new rule simply “implements the law as it already existed.”
Despite earlier disagreements, NMPA President & CEO David Israelite celebrated the final enactment of the rule in a statement Tuesday, saying the group was pleased with a policy that “ensures songwriters are properly and expediently paid post termination.”
“Having clear guidance on this issue will make the MLC and larger industry even more efficient as it gives a clear roadmap to those who have decided to reclaim their copyrights,” Israelite said. “The songwriter groups deserve much credit for working with the Copyright Office and music publishers to push for this decision.”
A spokesperson for the NMPA declined to comment the Copyright Office’s decisions on the group’s specific objections.
Notably, the new rule will not just change the MLC’s approach going forward, but also require “corrective royalty adjustments” to address any money that was paid improperly under the old policy. But such payments are likely to be relatively small: In filings, the MLC has said that it voluntarily suspended the old termination policy while the case played out at the Copyright Office, and that it expects any corrections to total “less than $2 million.”
You can read the entire new rule here.
BMI’s C-suite continues to grow with the appointment of Tom Kershaw as chief technology officer and Justin Rohde as chief transformation officer. The respective CTOs, both new hires with 40-plus years of experience between them, will report to BMI president and CEO Mike O’Neill. Kershaw arrives from travel retail platform Travelport, where he served as […]
Indie folk singer-songwriter Shaya Zamora has signed with Atlantic Records, which will release his new single, “Sinner,” on Friday (July 12), the label tells Billboard. Atlantic says shortform content teasing the upcoming track has already generated more than 24,000 creates and 20 million views on TikTok.
A native of rural Washington, Zamora only officially began releasing new music last summer and dropped his debut EP, Eulogize, in late January. The set was propelled by the success of its breakout track “Cigarette,” which boasts more than 25 million streams on Spotify alone. That was followed by his Atlantic debut, the single “Pretty Little Devil,” which caught fire on TikTok where it has racked up more than 160,000 creates and over 260 million views, according to the label (“Devil” was added to TikTok’s #NewMusic global discovery hub.) On Instagram Reels, “Devil” boasts more than 16,000 creates and over 85 million views.
More new music from Zamora is slated to drop later this year.
Trending on Billboard
Zamora is managed by Matt Reed at Hyphen Media Group and Devin Poindexter at Mad Jack Management.
Also this week…
Ciara signed with WME for worldwide representation in all areas. The singer, who a press release states has sold more than 23 million records and nearly 30 million singles worldwide off hits like the Billboard Hot 100 No. 1 single “Goodies” and “1, 2 Step” featuring Missy Elliott, is currently working on her eighth album, which will include the previously-released single “How We Roll.” In addition to her music, Ciara was recently featured in Warner Bros.’ 2023 musical adaptation of The Color Purple. She also recently signed with align PR and continues to be represented by IMG Models.
Also at WME, Belgian techno DJ and producer Amelie Lens signed with the agency which will represent her for touring and support the expansion of her labels and brand across events and collaborations. Lens owns two labels: Lenske (Farrago, AIROD, Ahl Iver) and Exhale Records, which is geared toward aspiring producers and is behind the EXHALE event series. Lens’ upcoming tour dates include performances at festivals including DOUR Festival, Tomorrowland and Junction 2.
Vector Management welcomed several new artists to its roster under the leadership of Vector West head Nicki Loranger. They include rapper Yung Gravy, electronic duo 3OH!3, DJ Valentino Khan, indie pop band The Aces, singer-songwriter Jack Harris and DJ-producer 4B. Gravy, Khan and 4B came to the agency through manager Henley Halem, who also officially joins Vector as a manager alongside Bryant Barnes and Gabriel Apodaca, who brought 3OH!3 to the firm.
Nashville-based label and management company Gravel Road, led by Anthony Martini and Rich Barnerhas, signed country-rock duo Lakeview to the label side of the business. According to a press release, the duo’s Jesse Denaro and Luke Healy earned nearly 30 million streams with their breakthrough hit “Home Team” and recently released the new song “Money Where Your Mouth Is” featuring Gideon. The Gravel Road roster also includes Compton Cowboys and producer Scattered Brains. – Jessica Nicholson
Big Machine Label Group imprint Nashville Harbor Records & Entertainment (formerly BMLG Records) signed rising singer-songwriter Shaylen. Following a decade in Los Angeles making pop music, Shaylen returned to Nashville in 2022 and has since scored successes on the country music front including the single “What If I Don’t,” which currently boasts more than 29 million streams on Spotify alone. She’s managed by Two Hats Music Group in Nashville.
Brazilian electronic artist and DJ Victor Lou (“Diu Diu Lai”) signed with UTA for global representation, excluding Brazil, in all areas. Lou recently came off his international tour Summer All Day, which concluded in Orlando, Fla., at the end of March. It was Lou’s first run in the U.S. Festival performances on the tour included Rock in Rio, Lollapalooza, Tomorrowland, XXXperience and Só Track Boa.
Nettwerk signed San Jose, Calif.-based lo-fi beatmaker and multi-instrumentalist Knowmadic, who has scored streaming success with tracks including “Faces” and “Fade.” The label will release his upcoming album, rain check, later this summer.
R&B singer-songwriter TA Thomas signed with High Standardz/Def Jam Recordings, which released his new single, “Risky,” on June 27. Thomas’ debut album, Caught Between 2 Worlds, dropped last September. Thomas is managed by Tosh Mac.
King Thief, billed as a “punk supergroup” featuring members of Teenage Bottlerocket, This Is a Standoff, Choke and The Fullblast, signed to Thousand Islands Records, which will release the band’s debut single, “Gymposter Syndrome,” on Wednesday (July 10), followed by an album this fall. The band consists of Eric Neilson (Change Methodical, Midnight Peg), Ryan Podlubny (Fullblast), Shawn Moncrieff (Choke), Nick Kouremenos (Fire Next Time, This Is a Standoff, TheJohnsons) and Darren Chewka (Teenage Bottle Rocket, Old Wives).
Six years after going public on the London Stock exchange, a majority of Hipgnosis Songs Fund shareholders voted on Monday (July 8) to sell the fund to Blackstone for $1.6 billion, according to a regulatory filing. According to the filing, 99.97% of shares voted voting in favor of selling to the private equity giant–59.21% of […]
LONDON — Universal Music Group is to merge its historic Island and EMI label divisions as part of a widespread restructuring of the company’s U.K. business that will also see the launch of new Audience and Media Division to support artists and labels.
The announcement was made on Tuesday (July 9) by David Joseph, chairman and CEO Universal Music U.K. and Ireland, in an internal memo, which has been viewed by Billboard.
The reorganization of Universal Music’s U.K. operations follows changes the company made to its U.S. teams earlier this year with the formation of Interscope Capitol Labels Group and Republic Corps.
That structure is now being loosely mirrored in the United Kingdom with the creation of what Joseph called “two new powerhouse frontline label groups” — Island EMI Label Group, headed by Louis Bloom as president, and the newly formed Polydor Label Group, led by Ben Mortimer.
Trending on Billboard
Both label groups will be home to multiple labels “all with creative autonomy,” said Joseph’s memo. Each department will also contain a team dedicated to supporting artists from the wider UMG family, said the Universal U.K. boss.
In line with the restructuring, which comes into effect Oct. 1, Universal is shuffling its executive ranks.
EMI Records co-president Jo Charrington has been appointed president of a “reimagined” U.K. arm of Capitol, which will sit within the wider Polydor Label Group, as will 0207 Def Jam, led by president Alec Boateng. (Billboard understands that Boateng’s brother and co-president of 0207 Def Jam Alex Boateng is to remain with Universal and will be given a job within an international division).
EMI Records’ other co-president, Rebecca Allen, will take up the role of president of Universal’s Audience and Media Division (AMD), a newly formed U.K.-based department dedicated to serving artists and labels that will have a global remit.
Joining Allen in the Audience and Media team will be Suzy Walby (media), Kate Wyn Jones (Audience and Digital Strategy) and data and strategic branch The Square insight team, led by Jack Fryer.
In his internal staff memo, Joseph said the “industry first” AMD team “will revolutionise how we deliver for our artists” and will become Universal U.K.’s largest division.
Not mentioned in the memo is the scale or number of job losses that will result from the changes, although it does state that the consultation period for staff whose roles are potentially at risk starts today and will continue until mid-September.
In the United Kingdom, it is a legal requirement that companies must follow so-called “collective consultation” rules if it is making 20 or more employees redundant within any 90-day period. Universal U.K. declined to comment on staff redundancies.
Not impacted by the changes are Laura Monks and Tom Lewis, who will continue in their current roles of Decca co-presidents, which will remain a stand-alone label. Hannah Neaves remains sole president of Universal Music Recordings.
“As a company, we must continue to be forward-looking, innovative, and bold. Developing artists now requires more creativity and patience than ever before,” said Joseph in his internal memo.
Joseph went on to say that the restructure would “strengthen our labels’ capabilities to deepen artist and fan connections.”
“We are committed to being the number one place for artists, fans and talent,” surmised the U.K. CEO. “I have an incredible appreciation for our team given what we have achieved in the past and what I know we will achieve in the future.”