What is BMG music?

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‘BMG music’ refers to the record company Bertelsmann Music Group. It was founded back in 1987 and had its official headquarters in the city of Gutersloh in Germany.  BMG became one of the biggest record companies in the world selling millions of records with its various artists. By the year 2004, it went into a joint venture with Japan’s Sony Music.  By then, the joint venture was branded as Sony BMG Music.  With the joint venture of the two biggest record companies, the elite Big Five was cut back to the so-called Big Four record companies.  Sony BMG back then had more than 20 percent of the market share when it came to worldwide sales of music records.

Under the Sony BMG Music brand, the 50-50 joint venture between Sony Music and BMG Music owned various labels and was in charge of the distribution for Columbia Records, RCA Records, Arista Records, Epic Records, and Sonic Wave America, among many others.  By 2006, the parent company of BMG Music wanted to raise some funds for its other business ventures and reviewed its venture with Sony Music.  Despite the savings that both companies are expected to get from the joint venture, BMG Music was eventually offered for sale to Sony.

By the year 2008, all shares of BMG Music were sold to the Sony Corporation of America. By this time, only Sony Music remained as a brand while BMG Music and Sony BMG became defunct officially.  But the parent company of BMG Music is still active in the record industry despite its withdrawal from the mainstream record-selling business.  Part of its company is the BMG Rights Management that was involved with representing various music artists and authors in terms of their so-called music rights and management issues.  The only remaining part of BMG Music back then was its unit in Japan which was excluded from the buyout of Sony Corporation of America.  BMG Music Japan was eventually sold to Sony Music Japan in the year 2009.

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