EMI will cut up to 2,000 jobs worldwide in its Recorded Music division as part of a major restructuring of the company, intended to shift focus on A&R and encourage new revenue streams from digital services and corporate sponsorship.

EMI Group chairman Guy Hands today (Jan. 15) revealed the plans to reshape the company -- intended to save up to £200 million ($392.2 million) a year -- in a series of presentations to staff, artists and managers. The changes will be implemented over the next six months.

Additionally, the restructuring will merge key support activities including sales, marketing, manufacturing and distribution into a single division with a unified global leadership, with the labels solely focused on A&R. Hands added that he intends to eliminate significant duplications within the group to simplify processes and reduce waste.

EMI says the changes reflect the rapidly changing nature of the music industry and the restructuring follows an "intense" three-month consultation review of the business by Terra Firma, following its acquisition of EMI for £3.2 billion ($6.3 billion) last year.

The new owners were already facing an artists' revolt even before today's announcement, with Robbie Williams' manager expressing concern about the direction of the company, and Coldplay's manager voicing his "confusion" at last week's departure of EMI U.K. Chairman and CEO Tony Wadsworth.

However, the company claims many of the measures being implemented have come at the suggestion of staff, artists and their managers.

"We have spent a long time looking intensely at EMI and the problems faced by its Recorded Music division which, like the rest of the music industry, has been struggling to respond to the challenges posed by a digital environment," said Hands in a statement.

"We believe we have devised a new revolutionary structure for the group that will improve every area of the business," he continued. "In short, it will make EMI's music more valuable for the company and its artists alike. The changes we are announcing today will ensure that this iconic company will be creating wonderful music in a way that is profitable and sustainable."