Sony BMG, Universal questioned about venture talks: source

Thu Feb 7, 2008 7:58pm EST
 
[-] Text [+]

LOS ANGELES (Reuters) - The U.S. Department of Justice has requested information from Sony BMG and Universal Music Group about their talks to launch an online music subscription service, said a record company executive on Thursday.

The person, who wished to remain unnamed, said both record companies had received letters from the Justice Department asking questions about their plans for a site to be called Total Music, which would help the labels reduce the leverage that Apple Inc (AAPL.O) wields in the digital music market with its popular iTunes service.

A spokesman for Sony BMG, a joint venture between Sony Corp (6758.T) and Bertelsmann AG (BTGGg.F), was unavailable to comment. While Universal, owned by French media giant Vivendi(VIV.PA), declined comment.

(Reporting by Sue Zeidler; editing by Carol Bishopric)

 
Kenneth Griffin, Founder, President and CEO, Citadel Investment Group LLC, speaks during the "Financial Recovery: When and How?" panel at the 2009 Milken Institute Global Conference in Beverly Hills, California April 27, 2009. REUTERS/Phil McCarten
Citadel enters the fray

Kenneth Griffin's powerful hedge fund has waded into the case of Goldman Sachs' purloined computer code, suing three of its former employees for setting up Teza Technologies.  Full Article | Full Coverage 

Join the Reuters Consumer Insight Panel and help us get to know you better

Join the Reuters Consumer Insight Panel and help us get to know you better