"I didn't want it to be kitschy, you know." Lyor Cohen is in an expansive mood, talking about his new business -- in particular, its name. He's in the artfully designed living room of his home in Manhattan's West Village. On one of the walls is an art piece in red neon lettering that spells out in capital letters "TERROR." The T flashes intermittently to show it really means "ERROR." Both words seem apt descriptions of the music industry's decade-long upheaval. Cohen, though, is ready to put those dark days behind him.

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