Undoubtedly one of the biggest news of the summer for the music industry. The British branch of the second most important major on earth, Sony Music Entertainment, just bought the English independent label Ministry of Sound Recordings. This acquisition includes the rights over everything the label released, its artists but also its renown compilations.
The group's CEO announced that: “Ministry of Sound Recordings had its most successful year to date in 2015. [..] I’m delighted we have found the right home to grow Ministry of Sound Recordings at a global level while keeping its unique identity.” Lohan Presence also said: “Sony has the scale and strength within the industry to project our artists and music onto an even bigger platform.”
From English underground to mainstream music
Ministry of Sound's story starts in south London with the opening of a club in 1991, still open today it was founded by the DJ Justin Berkmann and his millionaire friend (who we shall now call “lord”) James Palumbo. Made into a label as well in 1993, Ministry of Sound has become one of the greatest commercial successes of the dance music industry. Since it has been launched Ministry of Sound Recordings has sold more than 70 millions albums, which makes it an extraordinarily profitable independent label.
Throughout its history the label has been pushing English dance music's sub-genres to a broader audience through many compilations. Ministry of Sound is also the label behind the debuts of artists that were later to become international class musicians like Eric Prydz, or more recently London Grammar, DJ Fresh and Sigala.
Sony Music the ever growing giant
Sony and Ministry of Sound had gotten closer together over the past years, this appeared even clearer when recently Sigala and Sony signed a several millions dollars contract over the rights outside of the UK and Australian
Sony Music Entertainment's CEO declared that the acquisition was “an important milestone in our growth strategy.” It is the second big buy for Sony Music UK this year, the company had already bought the European independent label Essential Music & Marketing last March. In its last 2015 trimester report Sony explained that, mostly thanks to money made out of streaming, the company's revenues increased over the past year.