BMG Inks ‘Alliance’ With Universal, Starting With Physical Distribution

20 October 2023 | 9:43 am | Ellie Robinson

The landmark partnership will allow the companies to “explore a range of collaborative initiatives” to bolster BMG’s roster.

Thomas Coesfeld and Lucian Grainge

Thomas Coesfeld and Lucian Grainge (Universal Music Group)

Universal Music Group (UMG) have announced a landmark “alliance” with global publishing giant BMG, which the former says will allow both to “explore a range of collaborative initiatives to further expand opportunities for BMG-signed artists around the world”.

In a press release shared by Universal this morning (October 20), the company revealed that in kickstarting the partnership, distribution of physical releases for BMG’s music catalogue – primarily vinyl and CD releases – will be transferred to UMG’s Commercial Services devision. The transition, it’s said, will begin in the second quarter of 2024, and will be completed by the end of the year.

It’s also noted that “further collaborations” between the two companies are “already under discussion” and range from “exploring shared positions on industry matters” to “joining forces in adjacent business lines”.

In sharing the news, UMG Chairman/CEO Lucian Grainge said BMG “has brought a fresh vision to the music business”, affirming that he and his team “look forward to partnering with BMG on a variety of initiatives to provide greater opportunities to artists and our respective companies”.

The sentiment was echoed by BMG CEO Thomas Coesfeld, who said in a statement of his own: “Our alliance with UMG is a significant step to further enhance our service to BMG-signed artists. We are delighted to partner with UMG, the world leader in music-based entertainment on our thriving physical recorded music business. Their scale, technology and commitment promises to further expand opportunities for BMG-signed artists around the world.”