RUMOR MILL
This move suggests that Zomba/Jive may not re-up in the U.S. either. The company has until the end of June to decide on that.
Sunday, June 3, 2001
ZOMBA/JIVE LEAVING BMG IN CANADA, EH
Will Company Defect From German-Owned Group's U.S. Distribution, Too?
Zomba/Jive has told BMG that it won’t renew its decade-long Canadian distribution deal when the current pact ends in September, the L.A. Times reports. The decision was read in French, English and German.
The paper also asserts that the label is close to a pact with EMI for Canadian distribution.
This move suggests that Zomba/Jive may not re-up in the U.S. either. The company has until the end of June to decide on that.
If BMG can’t hang on to Clive Calder and Jive, its marketshare could fall below double digits in the U.S., since its owned-and-operated labels account for only about 8% of U.S. marketshare. Bertelsmann has a 20% stake in Jive.
