Psychologically gone?
Hits Magazine reported yesterday that Columbia Records co-chairman Rick Rubin is ready to bail on Sony and go back to Warner Music. They quote an anonymous source as saying “psychologically he’s already gone”. The problem is that Rubin still has 18 months on his current deal with Sony and wants to be paid in full to leave. That’s an especially tough pill for Rob Stringer to swallow. Sony Music has reportedly lost over $50 million on their deal with Rubin.
The biggest slam against Rubin, aside from costing an inordinate amount of money, is that he has failed to deliver for Sony. The latest example is Rubin’s comeback attempt with Crosby, Stills & Nash. More than 2 years ago the trio was signed by Sony Music to a reported 2 album, 7 figure deal. Sources say that although the group was signed by Columbia Records co-chairman Steve Barnett, Rubin went out of his way to co-opt the project, putting the moves on CSN and charming them into hiring him as their producer, and to great fanfare at that. What they, and probably most people didn’t know, is that Rubin’s deal with Sony gives him ownership in the masters that he produces in addition to an exorbitant fee on top of his multi-million dollar salary. Good work if you can get it.
The problem for Sony is that Rubin seemed to be more interested in working on projects for other labels, which his contract with Sony also allows. How stupid is that?
As the story goes (I worked with CSN for 6 years and have very fond memories) this may have been the problem. The group had been rehearsing material for a covers record for nearly 2 years, all the while Rubin had been focusing on the likes of Metallica, Josh Groban or Linkin Park and telling CSN that they’re not ready yet. Did David, Stephen and Graham finally run out of patience and tire of being dissed by The Beard? I guess so, since they fired Rubin from the project and demanded and got their release from Columbia. Ugly.
One if by land, two if by sea
It’s starting to look like the presumed ascension of Rob Stringer to the Sony Music top spot may carry more baggage than just nepotism. After taking control of Columbia/Epic, Stringer went on his merry way by staffing the US company with English cronies, thus giving many who work there the impression that if they were American they didn’t have a prayer of advancing in the company. Not only do the Brits lack familiarity with the American market, would anyone do the reverse? Would the head of Sony UK staff his top management with Americans? Or Sony France with Germans? The point was driven home lately by the quick demise of Epic Records chief Amanda Ghost, who is reported to have been let go for her lack of understanding of the US market.
It has also been reported that had Michael Jackson not conveniently passed away, Stringer’s numbers would have been completely down the toilet. He has very little to brag about, unless you count Glee and Susan Boyle as the label’s future. Makes one think that Neil Diamond may meet an untimely demise leading to a career resurgence. It would certainly boost billing.
In the case of Rick Rubin though, make no mistake. He’s the best producer that Sony Music ever signed to work for other labels.
© 2010, Wayne Rosso. All rights reserved.
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Stringer is no Fredo, more like a Robert Kennedy to Howard’s JFK.
Or an Andy Gibb to Howard’s Barry Gibb.
Yes, it was a gamble to hire Rick Rubin, but the upside if it worked would have been tremendous. No way they’ve lost $50 million on the deal. Of course you cannot begin to back up those kind of numbers.
How much money does Sony have to waste? I’ve got
some property in Florida that they might be interested
in buying…Perhaps they could lay out a “stimulus plan”
so that we Americans can buy more of their crappy music…
Perhaps it’s not just the illegal downloading that’s killing
these companies….They’re constantly shooting themselves
in the foot.
What horrible and disturbing business decisions. Reminds me of ad agencies that pay millions to hire some creative guru, then the next year pay him more millions to leave. What a waste. I saw CSN opening for Petty this summer, and they pulled it off, though I admit it was sad to me to see them do a Who cover. I could see a few on an album, but an act of that stature doing all covers seems beneath them.
never mind the illegal down loading, the economy, digital disruption and all the other possible events that has crippled the music industry. DUMB people (music executives) doing DUMB things (paying exorbitant salaries to people who can’t or won’t deliver) and not realizing there business model has been dead for the past (7) years. sony has demonstrated why a NEW model , NEW executives and a whole NEW way of thinking is desperately needed in the NEW DIGITAL music business. out with the OLD (sony, emi, warner, universal and there executives) and in with the NEW (itunes, tunecore, topspin, rocket science and there executives). GLORIOUS!!