Three of Universal Music Group's divisions have joined forces with digital distributor TuneCore to launch branded portals designed to help the labels discover new talent while simultaneously allowing the new acts the opportunity to sell their wares through leading digital retailers.
Universal Motown Republic Group, Interscope/Geffen/A&M Records, and Island Def Jam Group are all participating in the program with the launch of UniMo, Republic and Interscope Digital Distribution, and IDJ First Look, respectively. The sites, powered by TuneCore, allow artists to distribute their music through the label-affiliated portals to digital music retailers such as iTunes, Rhapsody, Amazon, Shockhound, eMusic, and Napster. The branded portals also provide the artists with the opportunity to land on the major labels' radar screen while maintaining their independence.
TuneCore - which, since its launch in 2006, has become a leading digital distributor - has long envisioned working with the major labels, CFO
Gian Caterine, who has worked closely with the company's founder/CEO
Jeff Price since its launch, tells LiveDaily. "
The genesis of the deal came about several years ago after we first launched. Jeff and I looked at each other and said, 'Why aren't major labels embracing this kind of distribution model?' There's really no downside. In fact, the upside is that they really get a bird's eye view on what's emerging for new talent."
That opportunity, apparently, was too good for the major labels to pass up. "Now, more than ever, the web has opened up countless opportunities for unsigned artists to distribute their music directly to their audiences and we want to collaborate with them throughout that process," Cameo Carlson, senior Vice President of Digital Business Development for UMRG said in a statement. "And thanks to TuneCore, we can create a portal that provides them access to digital distribution and the expertise of a major label."
Under the deal, artists can choose the label-branded portal that seems most appropriate for their vision, and upload their music through the TuneCore powered site for a fee (ranging from 99 cents to $19.98, depending on the number of songs, albums, and stores selected). The artists retain their rights and 100% of their potential royalties, but their music can be heard and their sales tracked by the labels' A&R executives, who will monitor the sites, according to the plan.
"This is a fantastic opportunity for artists," adds Caterine. "It's great that Universal saw the light of a new way of distributing music and helping artists."
Thanks for the report to Livedaily.com.
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