EMI, one of the big 4 record labels, has announced that will remain a member of the IFPI, but only at a reduced cost. In December of last year the record label threatened to leave in an effort to cut costs but it seems that the trade group has struck a deal to keep them around.
At the time, EMI chairman Guy Hands made comments that implied that the IFPI made over $250 million USD a year from EMI and other companies, just for membership and other anti-piracy activities. Hands also told the IFPI they had until March 31st 2008 to reduce membership costs or see the label walk.
An IFPI spokesman added that both parties had agreed on a “sensible, appropriate and reasonable reduction in our budget.”
Jean-Francois Cecillon, president of EMI International added that the other Big 4 labels would see reduced rates as well. “We undertook to work with our colleagues in the other major labels and with (IFPI boss) John Kennedy on a cost saving plan for the IFPI. Together we have been able to find solutions which we believe are achievable whilst maintaining what the IFPI does best in representing our industry.”
An IFPI spokesman added that both parties had agreed on a “sensible, appropriate and reasonable reduction in our budget.”
Jean-Francois Cecillon, president of EMI International added that the other Big 4 labels would see reduced rates as well. “We undertook to work with our colleagues in the other major labels and with (IFPI boss) John Kennedy on a cost saving plan for the IFPI. Together we have been able to find solutions which we believe are achievable whilst maintaining what the IFPI does best in representing our industry.”
