The EU has opened an antitrust investigation into Universal Music Group’s planned $2.1 billion acquisition of BMG Music Publishing. Officials say they should have an answer by April 27 (90 working days). The probe seems to be a ripple effect from a court ruling last July that said the EU wasn’t careful enough when it allowed the merger between Sony and BMG’s recorded music units. Some indie labels are protesting the proposed deal. From a statement issued Friday by the European Commission: “The Commission’s initial market investigation indicates that the proposed merger would raise serious doubts as regards adverse effects on competition in the already concentrated music publishing market. ... Universal is the strongest player in music recording. After the proposed merger, it would become also the largest music publisher in the EEA (European Economic Area).” The concern is that the continuing consolidation could be negative for European songwriters. (Via AP)
Related: Indie Labels To Launch EU Appeal Against Vivendi’s BMG Purchase
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