Independent record labels are getting together to ensure that they can get the same licensing deals as the four majors.
A group of independent record labels have signed a deal with Netherlands based agency Merlin to collectively license the music and videos of musicians signed to independent record labels in countries including Canada.
In the age of downloadable music and videos on sites like MySpace and YouTube it has become increasingly difficult for small independent record labels to cut licensing deals with major websites causing the music to either not be available or to be downloaded illegally.
This deal will give independent labels the clout to be able to compete with the four major labels Universal Music, Sony BMG, EMI and Warner Music Group.
Just after the coalition was formed Merlin signed a deal with digital music company Snocap allowing the music made by indie labels they represent to be sold on MySpace and other sites.
