Entertainment For Lively Minds
Micheal Jackson deal
Posted by Lunaman on 16 March 2010 - 8:31pm.
Apparently Micheal Jackson's estate have negotiated a ten album deal for 133 million pounds. The value could increase by 33M pounds if certain conditions are met(Source NME.com).
In the face of current record business conditions am I the only person who thinks that this is almost as bad business as the USA sub prime mortgage business that lead us to where we are now financially?
Maybe I'm seriously underestimating the selling power of the late Mr Jackson. I won't be buying shars in this one.
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As usual, Morrissey has the answer:
At the record company meeting
On their hands - a dead star
And oh, the plans they weave
And oh, the sickening greed.
having been in asia recently
his popularity does not appear to have waned
however whether many in asia are likely to buy a CD is doubtful
much less an official CD
I'm with you Lunaman
the decision is lunacy
"the value could increase by
"the value could increase by 33 million pounds if certain conditions are met"
What are these conditions? That he does a Lazarus?
It will almost certainly be an incredibly complicated deal
and it appears to include rights to exploit all sort of stuff like merchandise, not just the "recordings". Plus the money in these deals is always paid in stages through the term of the deal.
Jackson had a huge unrecouped balance at Sony when he was dropped a few years ago, and I imagine that sales since his death have gone some way to paying that off, whilst at the same time generating big revenues for Sony. I read an estimate that revenue will reach US 250m by the first anniversary of his death.
Sony already own the rights to the catalogue recordings, which will generate revenue for a long time - there will be sales via whatever method people buy music in the future. Plus income from broadcast - radio play, MTV, Youtube etc etc
Sony would have been in a pretty strong position going into this deal, so it's fair to say they would be pretty confident of making far more money than they will be paying in advances