Online and mobile formats make up a massive chunk of major label revenues – and the percentages keep tilting.
Just last month, top digital executives Ted Mico (Island Geffen A&M) and Thomas Hesse (Sony BMG) pointed to breakdowns of nearly 40 percent during discussions in New York.
And earlier this week, Rio Caraeff, a top mobile and digital executive at Universal Music Group, offered more data. “Our mobile business is about half of our digital business, and our digital business is about 40-60 percent of our new releases,” Caraeff told Digital Music News during the Mobile Monday symposium in Los Angeles.
The estimate is a US-based figure, and applies to newer artists within leading genres. “It depends on what genre you’re talking about,” Caraeff continued. “I’m talking about pop and urban,” the executive relayed, though digital percentages subside when the picture is broadened to include publishing, catalog, and other divisions.
And when it comes to urban, mobile formats command a lopsided chunk. “Many of those artists, especially on the urban side, are very high on mobile,” Caraeff explained.
Caraeff is both Executive Vice President of the Universal Music Group eLabs division, and General Manager of the US-based Universal Music Mobile.
Report by publisher Paul Resnikoff in Los Angeles.