Sunday, May 6, 2012

Industry Liabilities


American Rock band The Eagles and label Warner Music Group is threatening singer/songwriter Frank Ocean because of his use of their song “Hotel California” on his 2011 mixtape Nostalgia Ultra. Ocean’s “American Wedding” uses both the master track and original melody of The Eagles hit song. Ocean is facing legal issues with the group because he closes out his performances and is now being threatened with legal action if he performed the song again.

With declining record sales, hip-hop artists are using mixtapes as free promotional material for fans. Lead singer of The Eagles, Don Henley, isn’t flattered by Ocean’s use of “Hotel California” because he did not merely sample the song; he took both the original melody and master track and is using it as his own.

I will keep a close eye on this situation because there are many major and independent artists who are taking master songs and melodies and adding their own lyrics and releasing the songs for promotional purposes.




The music industry has dramatically changed thanks to the development of the Internet and the advancement of technology. With the creation of Apple’s iPod and iTunes, the issue is now if digital music should be treated as either a sale or license. 

There is currently a class action lawsuit between Aftermath Records, a division of  Universal Music Group and musicians, alleging that UMG has underpaid royalties on digital downloads and ringtones. Apple has been dragged into the lawsuit because Universal Music Group is asking the courts to see a deposition of Steve Jobs.

Apple is against this testimony becoming public because it would reveal trade secrets that can cause damage to the company.

Apple has become the most successful business model when it comes to a computer company becoming involved in music and music players, so I understand why Apple is reluctant to have this deposition public. I think the judge in this case should only make portions relevant to this case available to Universal Music Group.