Myspace signs landmark deal with the indies
MYSPACE has settled a year-long dispute with independent record companies in a landmark deal that will allow artists including Artic Monkeys to charge for tracks on the social networking site’s music service.
Myspace, which is owned by Rupert Murdoch’s media empire News Corporation, launched its music service in the US last year – but it sparked anger from smaller labels who accused the site of excluding them.
The four record heavyweights that signed up to the new service – Sony, Universal, Warner and Guy Hand’s owned EMI – all pocketed an equity stake in the venture. But Merlin, which represents independent companies and ten per cent of the global music market said they were not offered favourable terms.
But under the new deal, the independents will “benefit from the financial growth” of MySpace Music.