Business
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Federal prosecutors are formally moving to seize R. Kelly’s money held by Sony Music and Universal Music Publishing Group (UMPG), saying it will be used to pay victims and fulfill outstanding fines.
Two years after they won a jury verdict convicting the disgraced singer of sex trafficking and racketeering, prosecutors in Brooklyn have asked a federal judge for so-called writs of garnishment against the label and publisher — court orders that would compel the two companies to hand over funds tied to Kelly.
Sony Music and UMPG are believed to be “in possession of property” belonging to Kelly that could be used to pay down the $504,289 that he currently owes in victim restitutions and criminal fines, the feds argued.
It’s unclear how much of Kelly’s funds each company currently holds. A court ruling in March disclosed that Kelly’s royalty account with Sony held $1,544,333 as of 2020.
Neither Sony Music nor UMPG immediately returned requests for comment on the filings.
After he was sentenced last summer to 30 years in prison on the sex trafficking and racketeering charges, Kelly was ordered to pay more than $480,000 in fines and restitution. After he was sentenced again in February on separate child pornography convictions in Illinois, another $42,000 was tacked on.
Thursday’s filings are the latest efforts by the government to collect on those judgments. Last fall, prosecutors confiscated nearly $30,000 in Kelly’s prison commissary account. But the feds have competition for that money.
R. Kelly victim Heather Williams, who won a $4 million civil judgment against the singer, is also seeking to tap into the Sony Music account — as is Midwest Commercial Funding, a property management company that won a separate $3.5 million ruling against Kelly over unpaid rent at a Chicago studio.
In March, the Illinois Supreme Court ruled that Williams had priority to the funds over Midwest Commercial Funding because she was the first to properly demand the money from Sony. But that ruling left unclear whether she’ll enjoy similar priority over a slew of additional monetary penalties that Kelly owes to victims as a result of his federal criminal convictions.
Federal prosecutors in both Illinois and New York declined to comment on that decision at the time.
In a statement Thursday (June 1), Kelly’s lead attorney, Jennifer Bonjean, told Billboard that she and her client believe that the restitution order against him is incorrect and will be overturned on appeal. But she said they have “no opinion” on prosecutors seeking to garnish funds held by Sony Music and UMPG.
LONDON – Key players from the United Kingdom’s music industry have pledged to improve the digital metadata for song recordings to help ensure that artists and rightsholders are paid fairly.
Under the voluntary two-year agreement published Wednesday (May 31) by the U.K. government’s Intellectual Property Office (IPO), the U.K. industry commits to progressively improve metadata for new music recordings and to accurately award credits on streaming services.
Signatories include representatives of major and independent record labels, publishers, creators and streaming services. Trade bodes BPI —which represents more than 500 labels, including the U.K. arms of Universal Music Group, Sony Music Entertainment and Warner Music Group — and the Association of Independent Music (AIM), which acts on behalf of U.K. independent record labels and music companies, are among the music groups backing the pledge
The U.K. government also says that it will be setting up a new working group with music business stakeholders “to explore and consider industry-led actions on remuneration for existing and future creators” over the coming weeks. The working group will review a range of issues facing creators and rightsholders, says the IPO, including the impact of artificial intelligence.
“The U.K. is a hotbed for world-beating musical talent but as technology advances we need our thriving music industry to continue to offer viable career opportunities,” John Whittingdale, a U.K. government minister for the creative industries, says in a statement.
Whittingdale calls the metadata pact a “landmark agreement” that will help ensure musicians “in the digital age are fairly credited and compensated for their contributions and creativity.”
As streaming has grown to become the dominant mode of music consumption globally, the need for accurate metadata — the descriptive data underlying music recordings detailing who contributed what to a song’s creation and who owns it — has grown in importance in determining who gets paid what share of a track’s streaming royalties. But digital platforms, artists and rightsholders have complained that streaming metadata is often incomplete or inaccurate, which delays payments to songwriters and labels.
“Currently a fraction of recordings being streamed properly credit the people that wrote and published the song,” says Graham Davies, CEO of U.K. songwriters trade group The Ivors Academy, which has also signed the metadata agreement.
In 2021 the Ivors Academy estimated that at least £500 million ($625 million) in global streaming royalties a year were being wrongly allocated or not being paid at all due to missing or incomplete metadata. In a statement, Davies says the pledge “gives us the first proper step on a journey of closing the metadata gap.”
Sophie Jones, BPI interim CEO, says she hopes the agreement will lead to “immediate improvements” in the “speed and accuracy of songwriter payments.”
Other music groups and companies backing what is officially titled the United Kingdom Industry Agreement on Music Streaming Metadata include The Digital Entertainment and Retail Association (ERA), whose members include streaming services; Hipgnosis Songs Fund; the Music Publishers Association (MPA); Musicians’ Union (MU); Featured Artists Coalition (The FAC) and U.K. collecting societies PRS for Music and Phonographic Performance Limited (PPL).
Wednesday’s metadata agreement is the latest in an ongoing series of government-led interventions into the U.K. music industry that spun out of a Parliamentary inquiry into the economics of the music streaming business.
That initial review concluded in July 2021 with the Department for Digital, Culture, Media & Sport (DCMS) Select Committee calling into question the major record labels’ dominance of the industry and branding the global streaming model as unsustainable in its current form, saying it “needs a complete reset.”
Since then, the government has initiated multiple investigations and inquiries into the U.K. music industry, including a market study review of the record business by the U.K. competition regulator. That ended in November when the Competition and Markets Authority (CMA) determined that low returns from streaming for most artists “are not the result of ineffective competition” between the three major labels.
Last year the British government set up two working groups – led by the IPO and made up of industry stakeholders — looking at issues raised by the Parliament probe. One focused on metadata, which has now concluded. A second working group is looking at improving transparency around licensing and royalties for artists. The IPO says it is due to publish the second group’s findings, including a code of practice, in the coming months.
A New York state appeals court has sided with Jay-Z in his long-legal battle against a fragrance company called Parlux over a cologne endorsement deal that went bad.
In a ruling issued Thursday, a panel of appeals judges upheld a 2021 jury verdict that cleared the superstar of wrongdoing and potentially $67 million in damages. It also affirmed a judge’s ruling last year that it was actually Jay-Z, and not Parlux, that was owed money — nearly $7 million in unpaid royalties.
“There were multiple rational bases for upholding the jury verdict, and plaintiffs have not set forth a sufficient basis … to overturn it,” a five-judge panel ruled unanimously.
Barring further appeals, the decision could finally mean the end for more than six years of litigation over “Gold Jay-Z,” a cologne brand that the superstar, whose real name is Shawn Carter, launched in 2013 through a partnership with Parlux.
In its 2016 lawsuit, the company accused the rapper and his S. Carter Enterprises of failing to properly promote the brand, breaching his contract and dooming the product to failure. Jay-Z quickly countersued, claiming he had fulfilled his obligations despite numerous missteps from Parlux – and that the company still owed him money.
After a three week trial in late 2021, featuring heated testimony from the star himself, jurors largely sided with Jay-Z and found that Parlux was entitled to nothing. Then in August, New York Supreme Court Justice Andrew Borrok ruled Parlux owes Jay-Z $6.78 million in unpaid royalties, including interest.
Seeking the overturn the verdict on appeal, attorneys for Parlux argued that the trial judge had improperly instructed the jury about requirements in the contract about Jay-Z’s personal appearances and the need for Parlux to provide a “product development plan.”
But in Thursday’s ruling, the appellate panel was unmoved: “The court correctly instructed the jury on the burdens of proof, and any error in characterizing the notice requirement for personal appearances and the PDP as ‘conditions precedent’ was harmless when considering the overall instructions.”
Parlux can still challenge the outcome once more, taking the case to the Court of Appeals, New York’s top appellate court. An attorney for the company did not immediately return a request for comment.
Broadcast radio’s trade group is doubling down on its effort to combine federal rate court proceedings that will determine how most of the country’s songwriters get paid for airplay.
After a judge on May 26 denied the Radio Music Licensing Committee’s petition to combine rate court proceedings with leading performance rights organizations BMI and ASCAP under a single judge last week, according to a statement from BMI, the RMLC filed an appeal on Wednesday (May 31) at the U.S. Court of Appeals for the Second Circuit.
According to BMI’s interpretation of Southern District of New York Judge Louis Stanton‘s ruling denying the petition, neither the BMI Consent Decree nor the Music Modernization Act of 2018 justified the RMLC’s joint rate petition. Judge Stanton ordered the RMLC’s rate petition against ASCAP to be assigned to another judge and tried separately.
Just Stanton’s ruling instructs the court clerk to “sever all portions of the RMLC petition which seek the setting by a rate court of an ASCAP reasonable license fee under the ASCAP consent decree and assign them by the standard electronic method of selection of a judge of this court.”
The RMLC’s petition to combine the ASCAP and BMI under one judge who would simultaneously set rates for both performance rights organizations in once proceeding was based on what publishing sources have told Billboard is a wrong interpretation of the Music Modernization Act, which included a provision to moving rate hearings to a rotating roster of Southern District judges.
Having a single judge, instead of bifurcated rate court proceedings, could benefit the RMLC because it would likely pit BMI and ASCAP against each other, vying for a higher rate than the other and arguing over market share. In the past, Judge Stanton has overseen BMI rate trials and Judge Denise Cote has overseen ASCAP rate trials. Music publishing executives say that the MMA intended to keep the two-pronged approach for the PRO rate setting, but with rotating judges, not just the two who have overseen the proceedings up to now.
“We are extremely pleased that the RMLC’s latest attempt to deny fair compensation to songwriters was dismissed, and that its end run around the clear language of the BMI consent decree and the MMA was properly rejected by the Court,” BMI president and CEO Mike O’Neill said in a statement. “This would have cleared the way for BMI to secure the appropriate value of our affiliates’ music without the distractions the RMLC was trying to create. Unfortunately, the RMLC is once again opting for litigation over negotiation, and we will continue to do what is needed to protect the essential contributions our affiliates make to the radio industry.”
“It is unfortunate that the RMLC refuses to negotiate to pay songwriters fairly,” added ASCAP CEO Elizabeth Matthews in her own statement. “ASCAP is focused on obtaining fair market rates from radio for our more than 900,000 songwriter, composer and music publisher members. ASCAP will vigorously defend the value of our members’ music and fight the RMLC’s harmful attempt to weaponize its cartel market power to pay songwriters less.”
The RLMC did not respond to a request for comment at time of publishing.
A South Korean law firm representing three members of K-pop boy band EXO says the singers are pursuing legal action against their longtime label and management agency SM Entertainment over contractual issues related to “slave contracts.”
In a press release, Lin Law Firm claims it has represented K-pop stars Baekhyun, Chen and Xiumin — who are members of EXO and also perform together in a splinter trio unit named EXO-CBX — since March over pay and contract disputes with SM Entertainment, who debuted EXO in 2012 and are home to acts like TVXQ!, Girls’ Generation, SHINee, NCT and aespa.
Baekhyun, Chen and Xiumin (whose full names are Byun Baekhyun, Kim Jongdae and Kim Minseok, respectively) claim SM has shown a lack of payment transparency and required unreasonably long contracts extending beyond 12 years, according to a five-page document reviewed by Billboard that was sent by Lin Law Firm attorney Lee Jaehak.
The firm alleges that despite the trio signing exclusive, long-term contracts with SM, the K-pop company has not provided full data about the artists’ payments as they recently requested. Lin Law adds that the artists have always trusted SM’s payments despite Korean law requiring entertainment companies to provide updates on payment settlements twice a year.
Lin Law Firm also claims that SM has used its position in the K-pop market to force artists to sign with the company for longer than the industry standard seven years — deals it calls “slave contracts.” The firm says that SM automatically extends artist contracts by three years if the artist works overseas, which applies to Chen and Xiumin, as the two were originally part of the China-focused group EXO-M. Meanwhile, Baekhyun has released solo music in Japan and was a part of the U.S.-focused, Billboard 200-topping “supergroup” SuperM.
The final point in Lin Law’s document includes an apologetic message to fans and a pledge to resolve the dispute.
SM Entertainment has not responded to Billboard‘s request for comment. Baekhyun, Chen and Xiumin have not publicly commented on the matter, either.
Alleged “slave contracts” are a historically sensitive spot for SM Entertainment. In 2009, three of the original five members of boy band TVXQ! asked Korean courts to examine their 13-year contracts, citing extreme length and worries about payment distribution. Over the course of three-plus years of legal battles, singers Kim Jaejoong, Park Yoochun and Kim Junsu won the right to work independent of their SM deals and formed a new boy band named JYJ. By November 2012, the two parties mutually agreed to terminate the SM contracts, which would have expired in 2016 at the earliest.
As a result, South Korea’s Fair Trade Commission created a rule in 2010 that did away with so-called “slave contracts,” requiring entertainment companies to sign individuals for a maximum of seven years initially. Lin Law does not explain how SM could legally surpass the rule.
As members of EXO, Baekhyun, Chen and Xiumin helped lead K-pop’s international expansion with the group’s dual focus on releasing music in both Korean and Chinese. In April 2015, EXO set a new record for the largest sales week for K-pop artists in America at the time when its Exodus album sold 6,000 copies, according to Luminate. It held that record until late 2016.
EXO has scored five No. 1s on Billboard‘s World Albums chart, while EXO-CBX also topped the chart with its debut record Hey Mama! from 2016. All three members have also released solo albums, with Chen releasing a new song, “Bloom,” on May 30 through SM Entertainment. After several EXO members fulfilled their South Korean military duties, the group reunited for the first time in years. SM has confirmed the group would release a new studio album together this year.
Ezekiel Lewis has been promoted to president at Epic Records. After serving as executive vp and head of A&R at Epic since 2020, Lewis will now help run the company’s daily operations and continue to helm its A&R division. He will also continue to report to Epic chairwoman and CEO Sylvia Rhone.
“Having been a hit songwriter and producer for many years, Zeke brings an invaluable understanding of the artist’s creative journey,” Rhone said in announcing Lewis’ appointment. “His knowledge and experience of the inner workings of the music industry give him an immeasurable edge to drive key business conversations, while staying true to his A&R roots.”
Lewis initially joined Epic in 2017 as executive vp, A&R. Over the last five years, he has worked with an artist roster that includes 21 Savage, BIA, Black Eyed Peas, DDG, Future, Giveon, Madison Beer, Meghan Trainor, Mimi Webb, Southside and Zara Larsson, among others.
“The entire Epic Records team embodies what it means to champion artist development in this fast-moving industry and I’m excited to help shape its future,” said Lewis in a statement. “I will honor the musical legacy of Epic, our artists and partners with my most intentional effort. I look forward to continuing our collaboration, with the singular goal of giving the world some of the most incredible and influential music created to last for generations.”
Prior to Epic, Lewis was senior vp of A&R at Motown Records. During a six-year tenure that began in 2011, Lewis worked on projects by Ne-Yo, Erykah Badu, Migos, Lil Yachty, T.I., Rich Homie Quan and others. Lewis’ extensive list of credits includes co-writing and co-producing artists such as Justin Bieber, Mary J. Blige, Usher and Trey Songz, as well as collaborations with Mariah Carey and Yo Gotti.
Lewis, a 2023 Billboard Power 100 honoree, also founded Bar Music Group in 2010. The music publishing company is home to a roster of songwriters and producers whose credits encompass projects by Chris Brown, Future, Trey Songz and others.
A musician in his own right, Lewis began his career by signing with David Foster’s 143 Records after attending Morehouse College. He later co-founded the songwriter-producer collective The Clutch. The collective is behind hits such as Omarion’s “Ice Box,” Ciara’s “Like a Boy,” Britney Spears’ “Radar” and Timbaland’s “The Way I Are.” Lewis’ additional credits include song contributions on Grammy-winning albums by Luther Vandross (Dance with My Father) and Mary J. Blige (The Breakthrough).
The Recording Academy’s aggressive efforts to boost the number of women and people of people of color at all levels of the organization, including at the very top, have borne fruit.
People of color account for fully 60% of the newly-elected board of trustees, while women account for 45%. People of color represented a majority of the board (53%) for the first time two years ago, as Billboard reported. Women then accounted for 44% of the board.
For the first time in Academy history, women are serving in the top two posts on the board concurrently. Tammy Hurt has been re-elected to serve as chair; Dr. Chelsey Green was elected vice chair.
Hurt is the third woman to serve as chair, but the first two women in that role, Leslie Ann Jones and Christine Albert, both served alongside male vice chairs. Tony Cisconti was vice chair under Jones from 1999-2001. John Poppo served as vice chair under Albert (2013-15). (Poppo subsequently served as chair from 2015-19.) Rico Love was vice chair under Hurt in her first term (2021-23).
Hurt, from the Academy’s Atlanta chapter, is “an openly out LGBTQ+ officer, a landmark for the Academy,” as the Academy’s press release puts it.
Gebre Waddell was elected secretary/treasurer, succeeding Om’Mas Keith. Albert, from the Academy’s Texas chapter, has been re-elected to serve as chair emeritus. It’s her fourth term in that role.
“I’m pleased to introduce and welcome the new national officers and trustees to our Academy family,” Harvey Mason jr., CEO of the Recording Academy, said in a statement. “This great, new group reflects our eclectic music community and will carry forward our mission of serving all music people. I look forward to working alongside this esteemed group to continue the evolution of our Academy.”
In partnership with Mason, the national officers lead the trustees and Academy senior staff to shape the mission and policies of the Academy and its affiliates. The Academy defines its mission as its “commitment to promote diversity, equity and inclusion, fight for creators’ rights, protect music people in need, preserve music’s history, and invest in its future.”
Eleven members of the 2023 –24 board of trustees are Grammy winners. J. Ivy won his first Grammy in March in the new category of best spoken word poetry album for The Poet Who Sat by the Door. Falu Shah won his first Grammy in 2022 for best children’s music album for A Colorful World.
John Legend is the current trustee with the most Grammy wins (12), followed by Angelique Kidjo (five); Yolanda Adams, Chuck Ainlay, PJ Morton and Michael Romanowski (four each); Jonathan Yip and Natalia Ramirez (two each); and Ledisi, J. Ivy and Falu Shah (one each).
Here’s more background on the four national officers:
Tammy Hurt is a drummer, music producer and television producer. She is the second person from Atlanta to hold the position. Her latest musical project, Sonic Rebel, incorporates original, genre-blurred, Dolby Atmos music beds and mashup remixes. Her boutique entertainment firm Placement Music, founded in 2010, has worked with such clients as FOX Sports, Paramount Pictures, CBS, MTV, HBO, BET, Sony, the NFL and NASCAR. Hurt was active in the campaign that led to the passage of the Georgia Music Investment Act, the state’s first standalone music tax incentive.
Dr. Chelsey Green is a multi-instrumentalist, vocalist, entrepreneur, and educator. Dr. Green and her ensemble, Chelsey Green and The Green Project, have released five studio projects, one of which (The Green Room) debuted and peaked at No. 22 on Billboard’s Contemporary Jazz Albums chart in October 2014. Green performs concerts, music festivals and educational workshops around the world. Committed to music education, advocacy and youth arts access, Dr. Green is an associate professor at Berklee College of Music and also serves as a member of the Program Council of NewMusicUSA.
Gebre Waddell is a tech entrepreneur, mastering engineer, and published author. As CEO and co-founder of Sound Credit, he played a key role in the creation and growth of the platform, driving innovation in the field of music fintech and credits. With more than 20 years of experience as a professional mastering engineer, he has made contributions to works of prominent artists such as Ministry, Public Enemy, Lil Wayne and Rick Ross. In 2013, his book Complete Audio Mastering was published by McGraw-Hill Professional,
Christine Albert is an independent recording artist and founder/CEO of Swan Songs, an Austin, Tex.-based nonprofit that fulfills musical last wishes. She has released 12 independent albums as a solo artist and as part of the folk/Americana duo Albert and Gage, and has appeared on Austin City Limits.
Here’s the full list of the Academy’s 2023-24 board of trustees:
Newly elected or re-elected:
Christine Albert
Marcella Araica
Julio Bagué
Larry Batiste
Marcus Baylor
Evan Bogart
Anna Frick
Kennard Garrett
Tracy Gershon
Dr. Chelsey Green
Jennifer Hanson
Tammy Hurt
J. Ivy
Angélique Kidjo
Ledisi
Eric Lilavois
Susan Marshall
Donn Thompson Morelli “Donn T”
Falu Shah
Gebre Waddell
Paul Wall
Wayna
Jonathan Yip
Trustees who are currently midterm:
Yolanda Adams
Chuck Ainlay
Marcella Araic
Nabil Ayers
Jennifer Blakeman
Alex E. Chávez
Doug Emery
EJ Gaines
Jordan Hamlin
Terry Jones
Andrew Joslyn
Thom “TK” Kidd
Mike Knobloch
John Legend
PJ Morton
Natalia Ramirez
Michael Romanowski
Von Vargas
Artist management company In De Goot Entertainment and independent record label So Recordings (part of the U.K.-based Silva Screen Music Group) have partnered to form the label imprint SO In De Goot, Billboard can reveal.
The first U.S. signing to the imprint is Princess Goes, the band fronted by actor and musician Michael C. Hall alongside keyboardist Matt Katz-Bohen and drummer Peter Yanowitz; the group will release its sophomore album later this year.
Bill McGathy
Jennie McGathy
“We have developed a great relationship with Adam Greenup and So Recordings and have major respect for the work they do and their meaningful roster,” said In De Goot Entertainment president/owner Bill McGathy in a statement. “Thanks to So Recordings’ success in the UK and Europe, this new partnership allows In De Goot to strengthen our global footprint and offer new opportunities to our roster and So’s roster in the U.S.”
Adam Greenup
Courtesy of Adam Greenup
So Recordings MD Adam Greenup added, “Bill and his whole team at In De Goot have been our close friends and allies for nearly a decade. We have seen how the team commits and delivers in all areas of North American promotion and beyond. Bill and I had a joint lightbulb moment one morning in his New York office — our roster (old and new) aligned with In De Goot’s weight and influence in the U.S. rock and indie lanes — the fit was just obvious. We would sign, record and promote artists together.”
In De Goot’s current roster includes Biffy Clyro, GWAR, Halestorm and Shinedown, while the So Recordings roster boasts Placebo, Enter Shikari, Band of Skulls and Dinosaur Pile-Up.
Ariana Grande‘s r.e.m. beauty drew a strategic investment led by private investment firm Sandbridge Capital with participation from Strand Equity, HYBE America, Live Nation Entertainment and Universal Music Group. The funds will be used for product innovation, talent acquisition and geographic expansion.
Sony Music Masterworks made a majority investment in Barcelona-based live music and experiential events producer Proactiv Entertainment. Under the deal, Proactiv managing director Nicolas Renna will continue leading the company’s day-to-day operations while working closely with Sony Masterworks president Mark Cavell and Sony Music Spain & Portugal president Jose-Maria Barbat to grow the business.
Music collaboration platform boombox.io, a new company from entrepreneur Tom Chavez, closed $7 million in seed capital. The round was led by Forerunner with participation from Chavez’s super{set} startup studio as well as Ulu Ventures. The funds will allow the generative AI-assisted platform to build out its team, accelerate product development and strike new partnerships. Launched in November, boombox.io allows music producers to store, version and track their music files; collect time-stamped feedback on audio files; communicate via iOS and Android apps; manage splits; and create legally-binding contracts.
Glendale, Ariz.-based VAI Resort announced the VAI Amphitheater, a new 8,000-capacity venue slated to open in 2024. Set against the backdrop of the resort, the venue will offer multiple viewing options, including hotel room balconies, as well as a $40 million stage and state-of-the-art technology. To bring the amphitheater to life, the resort has partnered with live event solutions company TAIT Group and audiovisual company Solotech.
88rising has partnered with Steve Aoki on FLUXGEN, a new creative hub for Asian talent globally. The first release under the new venture is “The Show,” a collaboration between Aoki and Mandopop star JJ Lin.
Music composition system DAACI, which is driven by a suite of AI tools, acquired fellow AI music technology companies MXX and WiSL. Founded by Dr. Joe Lyske, DAACI uses dynamic music AI that allows artists and composers to tailor compositions for specific uses in gaming, digital worlds, XR or VR experiences.
Amplifyd, an auction platform and marketplace for the music industry, launched out of beta and announced a partnership with Insomniac Events, with which it hosted a series of charity auctions at Insomniac’s 2023 EDC festival in Las Vegas that featured participating artists Marshmello, Armin Van Buuren, Yellow Claw and Deorro.
Tokyo-based virtual live music event platform Vark raised 1 billion yen ($7.2 million) in Series C funding through a third-party allotment of new shares to SBI Investments and NetEase Games, in addition to existing investors JAFCO Group, Mitsubishi UFJ Capital and ANRI. The funds will be used to strengthen the company’s product development system, develop new businesses and more.
Myxt, a collaborative workspace for audio creators, partnered with AI stem separation platform AudioShake under a deal that will allow Myxt users to utilize AudioShake’s source separation tool, create stems, and export them for opportunities in content creation, synch licensing, mixing and more.
AI music analysis and recommendation platform Cyanite acquired aptone, an AI-based service that allows music producers to classify and search samples. Aptone founder Johannes Giani will join the Cyanite board as director of information technology, helping Cyanite develop its technology and continue enhancing and expanding the offering for Cyanite’s international customers including BMG, Pond5, APM Music and RTL. The acquisition allows Cyanite to increase the accuracy with which it analyzes and tags samples. Both Cyanite and aptone are based in Germany.
Some of Adidas’ remaining Yeezy shoes are back on sale — months after the German sportswear company cut ties with Ye, the rapper formerly known as Kanye West.
Adidas ended its yearslong partnership with Ye in late October, in light of his antisemitic remarks and other harmful behavior. In the months that followed, the fate of 1.2 billion euros ($1.3 billion) worth of unsold Yeezys remained unknown — until earlier this month, when Adidas CEO Bjørn Gulden announced the company would be selling a portion of the remaining inventory and donating some of the proceeds to social justice organizations.
The first batch of Adidas’ remaining Yeezys went on sale Wednesday. At this time, the sneakers appear to be available through Adidas’ app “Confirmed,” according to the retailer’s website. Part of the profits will be donated to organizations including the Anti-Defamation League and the Philonise & Keeta Floyd Institute for Social Change, Adidas says.
Wednesday’s release marks the first time that Adidas has sold Yeezys since the partnership termination in October. The Yeezy products up for sale will include already-existing designs as well as those that were initiated in 2022 and set to be released in 2023, Adidas previously noted.
“We believe (selling and donating these Yeezys) is the best solution as it respects the created designs and produced shoes, it works for our people, resolves an inventory problem, and will have a positive impact in our communities,” Gulden said in an May 19 statement.
At a May 11 annual shareholder meeting, Gulden explained the company made the decision to sell and donate Yeezys after speaking with nongovernmental organizations and groups that were harmed by Ye’s comments and actions.
Some details of Adidas’ plans are still unclear — including how many Yeezys will eventually go on sale and what portion of sales will be donated. The Associated Press reached out to Adidas for further information on Wednesday.
Cutting ties with Ye cost Adidas hundreds of millions of dollars — contributing to a loss of 600 million euros ($655 million) in sales for the last three months of 2022, which helped drive the company to a quarterly net loss of 513 million euros.
Adidas reported 400 million euros ($441 million) in lost sales at the start of 2023, the company announced earlier this month.
Net sales declined 1% in the first quarter, to 5.27 billion euros, the company said. It reported a net loss of 24 million euros, a plunge from a profit of 310 million euros in the same period a year ago.
Operating profit, which excludes some items like taxes, was down to 60 million euros from 437 million euros a year earlier.
Meanwhile, investors also filed a class-action lawsuit against Adidas in late April, alleging the company knew about offensive remarks and harmful behavior from Ye years before terminating its pact with him. Adidas has pushed back on the allegations.
A group of corporate Amazon workers upset about the company’s environmental impact, recent layoffs and a return-to-office mandate is planning a walkout at the company’s Seattle headquarters Wednesday.
The lunchtime protest comes a week after Amazon’s annual shareholder meeting and a month after a policy took effect requiring workers to return to the office three days per week.
“We respect our employees’ rights to express their opinions,” the company said in a statement.
As of Wednesday morning, more than 1,900 employees had pledged to walk out around the world, with about 900 in Seattle, according to Amazon Employees for Climate Justice, a climate change advocacy group founded by Amazon workers. While some plan to gather at the Amazon Spheres — a four-story structure in downtown Seattle that from the outside looks like three connected glass orbs — others will participate remotely.
Some employees have complained that Amazon has been slow to address its impact on climate change. Amazon, which relies on fossil fuels to power the planes, trucks and vans that ship packages all over the world, has an enormous carbon footprint. Amazon workers have been vocal in criticizing some of the company’s practices.
In an annual statement to investors, Amazon said it aims to deploy 100,000 electric delivery vehicles by 2030 and reach net-zero carbon by 2040. But walkout organizers contend the company must do more and commit to zero emissions by 2030.
“While we all would like to get there tomorrow, for companies like ours who consume a lot of power, and have very substantial transportation, packaging, and physical building assets, it’ll take time to accomplish,” Brad Glasser, an Amazon spokesperson, said in a statement.
Glasser said there has also been a good energy on the company’s South Lake Union campus and at its other urban centers since more employees returned to the office. More than 20,000 workers, however, signed a petition urging Amazon to reconsider the return-to-office mandate.
“As it pertains to the specific topics this group of employees is raising,” Glasser said, “we’ve explained our thinking in different forums over the past few months and will continue to do so.”
In a February memo, Amazon CEO Andy Jassy said the company made its decision to return corporate employees to the office at least three days a week after observing what worked during the pandemic. Among other things, he said senior leadership watched how staff performed and talked to leaders at other companies. He said they concluded employees tended to be more engaged in person and collaborate more easily.
In a note asking Amazon employees to pledge their participation in the walkout, organizers said Amazon “must return autonomy to its teams, who know their employees and customers best, to make the best decision on remote, in-person, or hybrid work, and to its employees to choose a team which enables them to work the way they work best.”
The walkout follows widespread cost-cutting at Amazon, where layoffs have affected workers in advertising, human resources, gaming, stores, devices and Amazon Web Services, the company’s cloud computing division. The company has cut 27,000 jobs since November.
Like other tech companies, including Facebook parent Meta and Google parent Alphabet, Amazon ramped up hiring during the pandemic to meet the demand from homebound Americans who were increasingly shopping online to keep themselves safe from the virus.
Amazon’s workforce, in warehouses and offices, doubled to more than 1.6 million people in about two years. But demand slowed as the worst of the pandemic eased. The company began pausing or canceling its warehouse expansion plans last year.
Amid growing anxiety over the potential for a recession, Amazon in the past few months shut down a subsidiary that’s been selling fabrics for nearly 30 years, shuttered Amazon Care, its hybrid virtual, in-home care service, and closed Amazon Smile, a philanthropic program.