Hands over distribution, marketing to WMG
EMI Music is shuttering its operations in a string of Southeast Asian markets, handing its distribution and marketing over to Warner Music Group.
The move, which was announced Monday and is good immediately, followed several weeks of diligence speculation that EMI might be grading down its operations in Asia. Described in a statement from EMI as a "multi-year license agreement," it will see WMG market and distribute EMI's worldwide repertory in Hong Kong, Malaysia, Singapore, South Korea, and Thailand.
In Indonesia alone, Warner will handle marketing and distribution piece a dedicated EMI office staff will carry on to carry on with A&R tasks for domestic repertoire -- including new signings. EMI declined comment on whether new local signings would be made in the other territories, merely Billboard understands it is unlikely.
WMG will exclusively wield exclusive all physical and digital distribution of EMI Music releases.
"EMI's artists will now be able to fully leverage our Southeast Asian operations, specifically our marketing teams and brobdingnagian distribution web of traditional retail, wireless and on-line partners, through which we've seen large success in recent long time," said Lachie Rutherford, Warner Music Asia Pacific's president.
EMI says it still plans "to grow global digital partnerships" in the territories covered by this divvy up. According to EMI's London-based president of Asia Pacific/Latin America Adrian Cheesley: "In Southeast Asia, EMI will retain a small regional team in Hong Kong to superintend the local marketing and distribution of our artists' music, on the job closely with Lachie and his team."
It is as yet indecipherable how many job losings are involved; however, it is tacit that EMI is presently in audience with all its employees in the affected markets. An EMI spokesperson would not disclose the staff numbers involved.
The two majors already have a partnership in place covering India, the Middle East and North Africa, where EMI has marketed and distributed WMG physical products since 2005. The new concord is expected to get no impact on former Asia/Pacific markets -- India.
