INDIES EYEING NEW TRADE GROUP

Plans are being made by executives from more than 150 independent labels to form a new trade group, called American Music Independents. Meetings are scheduled for April in both New York and Los Angeles, to nail down the details. The basis framework has already been worked out, according to press reports. British trade groups the Association of Independent Music (AIM) and Impala have been advising the new trade group.

Independent labels have a combined marketshare of around 20% in the U.S., commanding $2.5 billion in sales, according to the Financial Times. The paper notes that indies have a 30% marketshare of online music.

AIM chairman/Impapla VP Alison Wenham said: "We have met with record companies, and we are actively encouraging and facilitating the collective will that is required to create a trade body to represent the independents of America. And if I could be any more elusive, I'd run for office."

The American Music Independents would be a complementary to the RIAA, but could be more aggressive in negotiating broadcasting rights and fighting for indies against the Big Five. Impala, for instance, has vocally opposed the Sony-BMG merger.

An anonymous person close to the talks and quoted by FT said: “It's about ensuring the market access for small and medium-sized labels; they have a different business model to the multinationals.”