Critics Claim UMG/EMI Combo Would Control Too Much Of The Market

Too Big?

The pending purchase of EMI GROUP by UNIVERSAL MUSIC GROUP has its share of detractors, with many pointing to the 43% control of the U.S. music business the combined entity would have as being problematic. UMG currently has 33% of U.S. sales and EMI has 10%.

Critics on CAPITOL HILL are telling lawmakers and regulators that "a combined UNIVERSAL/EMI could have too much leverage in negotiating for radio airplay and store promotions, as well as in dictating terms of digital deals with the likes of iTUNES, SPOTIFY and future platforms," reports POLITICO.

"Concentration can be a dead end for innovators and consumers," said PUBLIC KNOWLEDGE Communications Dir. ART BRODSKY.

UMG spokesman PETER LOFRUMENTO told POLITICO in a statement, "We are working closely with the commission and are confident that we will secure the necessary clearance."

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