IN STORES THIS WEEK!
IMNZ had previously submitted an opposition argument about the proposed deal to the NZ Commerce Commission.
The IMNZ submission paid particular attention to the resulting effects of the proposed merger on the local NZ music industry and argued that the consequences would include less investment in local music; lower quality, restricted consumer choice; restricted access to innovative music delivery platforms; less musical and cultural diversity; diminished pluralism; and restricted value/pricing - all equally detrimental ways of exploiting increased market power.
IMNZ stands alongside international independent label trade bodies such as IMPALA, AIR, AIM, A2IM in opposing Universal Music Groupís proposed purchase of EMI Music. Also opposed to the merger is Warner Music Group's director and former chairman and CEO, Edgar Bronfman, Jr.
IMNZ will continue to monitor the global situation as it develops this week in Washington at the U.S. Senate Subcommittee on Antitrust, Competition Policy and Consumer Rights hearings, where Martin Mills (founder/CEO of Beggers Group, board member of A2IM and the inaugural winner of Liberia Lifetime achievement award) is currently testifying against the proposed merger. "Market power is why they're doing this," Mills said at the hearings. "The power to dominate Internet services and impose their demands upon them, the power to leverage a disproportionately onerous deal, the power to squeeze out the competition."
Chair of Independent Music New Zealand and owner of NZ label Arch Hill Recordings, Ben Howe is currently in New York attending the A2IM Indie Music Week and advises that: "I believe that independent and New Zealand artists should have a fair shot at getting both exposure and income from the music they make. Unfortunately, the proposed merger would result in a market dominance by one large multinational player, and that could make our goal harder. Although we are collectively disappointed with this ruling, I think the final decision will be determined outside New Zealand. We wish our fellow international independents the best of luck in blocking this proposal."