CBS Records Spins Again
CBS is relaunching CBS Records and will focus mainly on digital music. They plan to make songs; videos and other music related content available for purchase or download at the iTunes music store. They will also offer musical content on www.cbsrecords.com.
Leslie Moonves, President and Chief Executive Officer of CBS said,” “With more consumers choosing the online download model as the preferred way to purchase their favorite songs, we have an opportunity to use our unique and broad collection of media platforms to create a new music label paradigm for a small price of admission.”
CBS Records also has plans to partner with other labels to distribute music. They will also incorporate music by their artists into their TV programming.
Nancy Tellem, President, CBS Paramount Network Television Entertainment Group said, “Our artists will have access to an incredibly powerful medium (television) to drive music sales; our television producers will have greater flexibility to use music as a creative enhancement in their shows; and our Company will be able to reduce the Network and studio’s music licensing cost center while transforming it into a new revenue stream.”
The first three artists they have signed are Will Dailey, whose music has been heard on CBS’ Jericho, P.J. Olsson and Seor Happy, which will have a song on Ghost Whisperer. The new label plans to add several more artists in the upcoming year.
CBS sold their record label to Sony in 1988 for around $2 billion. Later Sony incorporated the label into its other music divisions. CBS did not have to pay anything for using the name CBS Records as Sony only had the rights to the label while it was in active use.