Big record labels vs. Independent record labels

In the music industry, a record label is a brand and a trademark associated with the marketing of

music recordings and music videos. Most commonly, a record label is the company that manages

such brands and trademarks, coordinates the production, manufacture, distribution, marketing and

promotion, and enforcement of copyright protection of sound recordings and music videos;

conducts talent scouting and development of new artists and maintains contracts with recording

artists and their managers. The term "record label" derives from the circular label in the centre of a

vinyl record which prominently displays the manufacturer's name, along with other information.

The music industry

Within the music industry, most recording artists have become increasingly reliant upon record

labels to broaden their audience, market their albums, and be both promoted and heard on radio

and television, with publicists that assist performers in positive media reports to market their

merchandise, and make it available via stores and other media outlets. The Internet has increasingly

been a way that some artists avoid costs and gain new audiences, as well as the use of videos in

some cases, to sell their products.

Major labels 1988–1998 (Big Six)

1. Warner Music Group

2. EMI

3. Sony Music (known as CBS Records until January 1991 then known as Sony Music thereafter) 4.

BMG Music

5. Universal Music Group

6. PolyGram

Major labels 1998–2004 (Big Five)

1. Warner Music Group

2. EMI

3. Sony Music

4. BMG Music

5. Universal Music Group (Polygram absorbed into UMG)

Major labels 2004–2008 (Big Four)

1. Warner Music Group

2. EMI

3. Sony BMG (Sony and BMG joint-venture)

4. Universal Music Group

Major labels since 2009 (Big Four)

1. Sony Music Entertainment

2. EMI Group

3. Warner Music Group

4. Universal Music Group

Record labels are often under the control of a corporate organization called a music group. A music

group is typically owned by an international conglomerate holding company, which often has non-

music divisions as well. A music group controls and consists of music publishing companies, record

(sound recording) manufacturers, record distributors, and record labels. As of 2005, the "big four"

music groups control about 70% of the world music market, and about 80% of the United States

music market. Record companies (manufacturers, distributors, and labels) may also comprise a

record group which is, in turn, controlled by a music group. The constituent companies in a music

group or record group are sometimes marketed as being divisions of the group.

Independent labels

An independent record label (or indie record label) is a record label operating without the funding of

or outside the organizations of the major record labels. A great number of bands and musical acts

begin on independent labels.