Sony buys out Bertelsmann share of music business

Sony has announced plans to purchase Bertelsmann's 50 per cent stake in Sony BMG.

After the acquisition, the music company, to be called Sony Music Entertainment, will become a wholly owned subsidiary of Sony Corporation of America.

Sony and Bertelsmann originally created the Sony BMG joint venture in August 2004.

"Music has been a vital and vibrant part of Sony's culture for over 20 years," said Howard Stringer, chairman and chief executive officer of Sony Corporation.

"This acquisition will allow us to achieve a deeper and more robust integration between the wide-ranging global assets of the music company and Sony's products, operating companies and affiliates. It enables us to offer a total entertainment experience to consumers."

"Over the past four years, Sony BMG has undertaken a very successful restructuring, streamlined operations and developed innovative digital partnerships that ensure it will continue to be a leader in the creation and distribution of music worldwide."

The Sony music group will be comprised of premier music labels such as: Arista Records, Columbia Records, Epic Records, J Records, Jive Records, RCA Records, and Zomba. Key artists will include Celine Dion, Alicia Keys, Yo-Yo Ma, Bruce Springsteen, Justin Timberlake, Usher and Jay Chou.