warner music

Well, probably not you, since you read this blog, but this is a pretty good summary of how the CRA allowed the Dims to turn Fannie and Freddie into their own little slush fund. It’s not the whole of the current economic crisis, but it’s a big, fat, smelly chunk.

• In a move similar to those by European politicians, Florida governor Charlie Crist has directed the state's Office of Film and Entertainment to form a music recording industry task force to address issues related to Florida's music industry.

• XM increased its subscriptions to 9.7 million in Q2, a 17% increase over least year. (Radio Ink)

• A PriceWaterhouseCoopers study predicts a 0.6% annual decline in global recorded music sales from 2008-2012. The US is predicted to drop at an annual rate of 5.3% while Europe, the Middle East and Africa are projected to have a combined annual decline of 1.5%.

The Telegraph just reported that EMI will cut another 1,000 jobs. Those cuts are on top of previously announced plans to cut between 1,500 and 2,000 jobs.

The music industry is facing an interesting puzzle these days How do you run a business where customers do not want to pay and they do not want advertising? From today's Tennessean:

Bertelsmann reported its 2007 earnings yesterday. For the year, BMG revenues declined by 27.8% to €1.5 billion and operating EBITA (basically operating profit) dropped 46% to €93 million. Physical revenues dropped 17% while digital increased 40%. Digital accounted for 17% of BMG's revenue (up from 12% in 2006).

• A few weeks ago news broke that Bertelsmann was looking into the sale of its stake in the Sony BMG joint venture. Today, as Bertelsmann reported its 2007 earnings, came news the company is considering the sale of its Direct Group book and record clubs. (AP)

• EMI has created two new divisions: EMI Music Catalogue, Compilations, Studios and Archives and EMI Music Licensing and Synch. (Billboard.biz)

• Disney has chosen Universal Music Group over EMI to distribute the Jonas Brothers' album in Europe. (Fin

• The UK government is considering proposals that would force ISPs to look for illegal music downloads and cancel the service of repeat offenders. (MacWorld)