Thursday, March 06, 2008

Bertelsmann thinks the game's up for major labels

Oh, that noise? That's the sound of another chill running through the offices of the RIAA: the German edition of the FT is reporting that Bertelsmann is having serious talks about dumping its share of Sony BMG. No decisions taken as yet, but even considering the idea is a sign that there's not much faith in the label's ability to deliver much in the way of the "organic growth" that new Bertelesmann chief executive Hartmut Ostrowski is demanding. That, though, will make finding a buyer prepared to pay a decent price quite tricky.