Sony will become a "major superpower" in the music industry, dominating licensing markets and limiting creator choice if its planned acquisition of EMI Music Publishing goes ahead, warns The British Academy of Songwriters, Composers and Authors (BASCA).
Sony Corporation signed a deal in May to acquire a 60 percent share in EMI Music Publishing from a consortium led by the Mubadala Investment Company, but the transaction still needs to be approved by European regulators before it can be implemented. The past year has also seen Sony complete the acquisition of the nearly 10 percent share of EMI owned by the Michael Jackson Estate, effectively given it sole ownership of EMI, valued at $4.75 billion.
The Japan-based company officially notified the European Commission (EC) about the planned merger on September 21, giving the regulator 25 days to make its initial assessment. At that point the EC can either grant approval or begin an in-depth phase two investigation. If there are competition concerns, Sony can offer remedies thereby extending the phase one deadline by 10 working days.