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EMI Planning Homegrown Music Destination

Wednesday, October 08, 2008
by  presnikoff

The majors shuttered their self-created music stores years ago, leaving the field to outsiders like Apple, RealNetworks, and Napster.  Now, EMI Music is planning to deliver a homegrown music and ecommerce destination, one designed to reclaim some real estate.  The direct-to-consumer play will gather data on fans, and use that information to better tailor future talent and services.  Details on the offering are still emerging following an initial report Wednesday by the Financial Times, though the broader vision appears focused on controlling content and consumer relationships.

One executive with knowledge of the plan pointed to critical direction from incoming EMI digital chief Douglas Merrill, formerly of Google.  The Merrill team also includes Cory Ondrejka, a driving force behind virtual world Second Life.  That team brings an ultra-successful digital track record to EMI Music, though labels have been unsuccessful in go-it-alone offerings.  During the earlier part of the decade, label efforts Pressplay and MusicNet suffered because of incomplete catalogs, onerous DRM, and the explosive gains of Napster.  The newer attempt will undoubtedly absorb those lessons of failure, though it remains uncertain whether fans will migrate away from the now-dominant iTunes Store.  The Financial Times pointed to a launch by Christmas.



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