I think this article could be viewed as a not so good sign the album may not be coming this year or that they have any expectations for it......they mention 50, Em and Mariah, but no mention of CD.
Universal Music sees record profits in 2007
By Yinka Adegoke
NEW YORK (Reuters) - Universal Music Group Chief Executive Doug Morris said Tuesday he expects 2007 to be a banner year as new albums from top-selling artists hit the market and digital revenues start to contribute new income.
Morris said he expected the world's largest music company, owned by French media giant Vivendi, to post its best-ever revenue and profit in 2007, even as CD sales continue to decrease at a rate that is difficult to forecast.
"You can see there are myriad streams of income starting to come into the record companies," Morris told the Reuters Media Summit. "We're going to make money from MySpace, we're going to make money from YouTube, we're going to make money from Zune ... we will make a tremendous amount of money from telephones."
Since the late 1990s, the music industry has struggled with falling CD sales due to pirated music and the growing popularity of digital media players like Apple Computer Inc.'s market-leading iPod.
Record labels have argued that they should have a bigger share of online music growth, such as getting a slice of sales of digital music players or related online advertising.
Universal scored an industry first this month when it struck a deal with Microsoft Corp. to receive a fee for every Zune digital player sold. The Zune, launched on Nov. 14, is Microsoft's answer to the iPod.
Morris said Tuesday that Universal may try to negotiate with Apple for a similar royalty fee for the iPod when their next round of negotiations commence in early 2007.
"It would be a nice idea. We have a negotiation coming up not too far. I don't see why we wouldn't do that ... but maybe not in the same way," he said, when asked if Universal would want to replicate the Zune deal with Apple.
He also said Universal may seek similar agreements with manufacturers of cell phones equipped with music players.
"If we had enough leverage to get it, absolutely. It depends how much they want it," he said. Universal accounts for about a third of all music sales in the United States, according to data from Nielsen's SoundScan.
DEATH OF THE ALBUM?
As the music industry considers new business models to cope with a fast-changing marketplace, Morris said Universal regularly talks to artists about recording deals that do not include the traditional album.
"We try and do that all the time but artists have a different perception of themselves," he said. "I'd much rather make a singles deal and put it out and have their best work or three or four cuts or five cuts."
"But artists have a great deal of respect for themselves and want to do a body of work and, if they can, get the deal to make an album."
He said Universal Music will benefit hugely from new albums from its top artists such as Eminem, 50 Cent and Mariah Carey.
"I think that next year we're going to have our best year," Morris said. "I think our revenues and our profits will be the best we've ever had."
http://stocks.usatoday.com/custom/usatoday-com/html-story.asp?guid=%7B66A63C61%2D7A2F%2D47FF%2D8E29%2DDF5292B74C6D%7D
Author