Music network MTV has backed down and signed a new deal with VIDEO PERFORMANCE LIMITED, ending a year-long dispute over payment for promos.
The row began when MTV NETWORKS EUROPE proposed a deal which would have halved the profits from video rights for smaller companies like TELSTAR and Ministry of Sound, and refused to play the videos of those bands whose labels did agree to the deal by March 31 2004.
Smaller record labels accused MTV of "bully boy tactics", but last week (ends26MAR04), the company agreed to renegotiate their terms.
Video Performance Limited, the collecting society who have the power to grant licences to show videos, have since struck a deal involving 167 record labels whose artists include Franz Ferdinand, Mis-Teeq, So Solid Crew, THE STROKES, basement JAXX, Prodigy and Dizzee Rascal.
The Association of Independent Music (AIM) are "delighted" with the deal, and MTV Networks Europe President BRENT HANSEN claimed the negotiations had proved the importance of independent labels to the network.01/04/2004 17:13