Latest news with #DowntownMusic
Yahoo
2 hours ago
- Business
- Yahoo
Universal's $775 million Downtown deal may hinder competition, EU regulators warn
By Foo Yun Chee BRUSSELS (Reuters) -Universal Music Group unit Virgin Music Group's $775 million acquisition of Downtown Music may hinder competition and remove an important competitor, EU antitrust regulators warned on Tuesday. Virgin announced the deal in December last year which subsequently generated pushback from a wide swathe of European independent labels. The European Commission set out its concerns on Tuesday as it opened an in-depth investigation into the deal, confirming a Reuters story last week. "After the acquisition, UMG would likely have the ability and incentive to use commercially sensitive data of third-party record labels for its own business activities notably related to recorded music," the EU executive said in a statement. It said UMG's access to such data may harm rival record labels and may ultimately further strengthen UMG, already a leader in the market for the wholesale distribution of recorded music in Europe. The Commission set a Nov. 26 deadline for its decision. Universal is the world's biggest music company, while Downtown owns a major music publisher and a number of other businesses that help musicians collect royalties. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Reuters
2 hours ago
- Business
- Reuters
Universal's $775 million Downtown deal may hinder competition, EU regulators warn
BRUSSELS, July 22 (Reuters) - Universal Music Group ( opens new tab unit Virgin Music Group's $775 million acquisition of Downtown Music may hinder competition and remove an important competitor, EU antitrust regulators warned on Tuesday. Virgin announced the deal, opens new tab in December last year which subsequently generated pushback from a wide swathe of European independent labels. The European Commission set out its concerns on Tuesday as it opened an in-depth investigation into the deal, confirming a Reuters story last week. "After the acquisition, UMG would likely have the ability and incentive to use commercially sensitive data of third-party record labels for its own business activities notably related to recorded music," the EU executive said in a statement. It said UMG's access to such data may harm rival record labels and may ultimately further strengthen UMG, already a leader in the market for the wholesale distribution of recorded music in Europe. The Commission set a Nov. 26 deadline for its decision. Universal is the world's biggest music company, while Downtown owns a major music publisher and a number of other businesses that help musicians collect royalties.
Yahoo
6 days ago
- Business
- Yahoo
Exclusive-EU antitrust regulators set to investigate Universal's Downtown deal, sources say
BRUSSELS (Reuters) -EU antitrust regulators are set to open a full-scale investigation into Universal Music Group unit Virgin Music Group's $775 million acquisition of Downtown Music because of concerns about its impact on competition, people with direct knowledge of the matter said. Virgin had until Tuesday to offer remedies to address regulatory worries during the deal's review but did not provide them, according to an update on the European Commission website. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Wall Street Journal
07-07-2025
- Business
- Wall Street Journal
Universal Music's Downtown Deal Warrants In-Depth EU Investigation, Critics Say
A group of independent music companies and trade associations called on the European Union to launch an in-depth investigation into Universal Music Group's plans to acquire Downtown Music Holdings, saying the deal threatens competition and growth across the music industry. Universal entered into a definitive agreement in December for its Virgin Music Group label to acquire Downtown for $775 million in cash, hoping to tap its services across music publishing, distribution and royalties. Founded in 2007, Downtown now serves over 5,000 clients from more than 20 offices around the world.
Reuters
17-06-2025
- Business
- Reuters
EU antitrust regulators to rule on Universal, Downtown Music deal by July 22
BRUSSELS, June 17 (Reuters) - EU antitrust regulators will decide by July 22 whether to clear Universal Music Group's ( opens new tab $775 million acquisition of Downtown Music, according to a European Commission filing on Tuesday. Virgin Music Group, the global independent music unit of Universal, announced the deal in December last year. World number one music label UMG represents global stars such as Taylor Swift and Billie Eilish. Downtown Music collectively serves over 5,000 business clients and more than four million creators across 145 countries. Its music publishing unit counts John Lennon & Yoko Ono, George Gershwin, Miles Davis, Wu-Tang Clan and John Prine among its clients. The EU executive, which acts as the competition enforcer in the 27-country bloc, can clear the deal with or without remedies in its preliminary review or it can open a four-month long investigation if it has serious concerns. Analysts said a full-scale investigation seems the likeliest option in view of the market power of big music labels. The deal has triggered criticism from European independent music labels group Impala which said the acquisition would further entrench Universal's position across European music markets and give it more control over streaming services. Impala, which wants the deal to be blocked, said the acquisition would also reduce opportunities for independent labels. Universal said it look forward to continuing to co-operate with the European Commission in the weeks ahead. "We are confident that we will close this acquisition in the second half of the year, on its original timeline," the company said in an email. A former chief economist at the UK's competition authority in a June 12 letter to EU antitrust chief Teresa Ribera voiced worries about the deal. The acquisition "represents another step in UMG's broader strategy of undermining the vitality and viability of the independent music sector – both in the EU and globally – with a view to strengthening its own position, and potentially also that of the other two majors (Warners and Sony)", Amelia Fletcher said in her letter seen by Reuters. Fletcher co-founded a small independent label and publisher which uses Downtown's services.
