You could have already heard that Atlantic Music Group laid off a collective workers right now (September 19), lots of whom had been key members of the corporate’s earlier period beneath Julie Greenwald.
The information follows latest affirmation that Greenwald — together with colleagues Max Lousada and Kevin Liles — is leaving Warner Music Group later this month.
Immediately’s departure of round 150 Atlantic staffers will understandably draw trade consideration and chatter for days to come back. (MBW clearly needs these affected all the most effective. Although will probably be no shock to see some affluent new indie music corporations now emerge from ex-Atlantic/WMG execs… Greenwald, Lousada, and Liles included.)
If one zooms out for a second, although, a wider trade story comes into view: A new-look Atlantic, with a brand new technique – and a brand new identification – about to take flight.
MBW has confirmed through sources that Atlantic has this month dropped round a dozen artists from its roster, in what’s maybe the clearest sign but that the label beneath incoming CEO Elliot Grainge received’t be the identical as earlier than.
“When Elliot takes over as CEO of this label group on October 1, it’s going to be a clean web page – a brand new day for the way Atlantic works… and what Atlantic is.”
This has shades of when Aaron Bay-Schuck arrived as CEO/Co-Chairman at WMG’s different important label, Warner Information, in 2018. In his first yr in cost at WR, Bay-Schuck lower over 50% of the roster signed to the label by its earlier administration. He additionally signed 30 new acts, a few of which – six years on – have fuelled a bumper 2024 for WR.
A supply at Atlantic instructed MBW right now: “It’s clear what’s occurring right here, each with these lay-offs and the roster being reduce.
“When Elliot takes over as CEO of this label group on October 1, it’s going to be a clean web page – a brand new day for the way Atlantic works… and what Atlantic is.”
MBW not too long ago questioned out loud whether or not Grainge’s appointment as Atlantic’s new CEO would usher in vital adjustments to the label’s A&R focus.
MBW founder Tim Ingham steered: “Might we see the technique of majors like Atlantic Music Group now tip additional in direction of breaking a better frequency of ephemeral streaming stars – and additional away from ‘pulling each lever’ to start enduring cultural tremendousstars?”
As Ingham identified, that end result may be a “statistical inevitability”.
In 2022 WMG confirmed that its 5 largest celebrity acts contributed simply 5% of its recorded music revenues. A decade prior, that quantity was at 15%.
Let’s say Grainge’s Atlantic does start leaning extra on this route – i.e. extra artists being signed, however with rather less fixation on attaining megastardom.
Might the label group’s latest adjustments point out an try and match its assets to this plan?
Warner Music Group CEO Robert Kyncl confirmed the brand new wave of layoffs at Atlantic in an inside word right now (September 19).
Within the word, obtained by MBW, Kyncl mentioned that WMG will “be unveiling a brand new dynamic construction” for Atlantic Music Group subsequent week and added that Elliot Grainge can be “making an announcement in regards to the management workforce” forward of his official first day on the job on October 1.
Kyncl additionally confirmed that “as a part of this reorganization, we’ll sadly be saying goodbye to proficient folks”.
Elsewhere within the word, Warner’s CEO thanked the workers impacted by the layoffs, noting that they’ve “made an indelible mark on this firm and the careers of the extraordinary artists you’ve championed”.
Added Kyncl: “Phrases by no means lower it in these conditions however we’re eternally grateful for all of your contributions and achievements over time. We want you the perfect and know that you’ll proceed to do nice issues in your subsequent chapters.”
You’ll be able to learn Kyncl’s word in full under.
Hello everybody,
Since we introduced Julie could be stepping down, we’ve been thoughtfully engaged on the way to evolve Atlantic Music Group for the long run. Subsequent week, we can be unveiling a brand new dynamic construction for the label group. Elliot begins as CEO of AMG on October 1.
As a part of this reorganization, we’ll sadly be saying goodbye to proficient folks. I do know you have got been ready to listen to the plan, and reasonably than perform adjustments piecemeal, we determined to make these tough selections in a single go.
Immediately can be a troublesome day, and by 9pm ET you should have heard in case your job is affected. Your leaders and the Individuals workforce will give you all of the vital particulars. We’re dedicated to serving to these impacted via this with the utmost respect, and supporting them with a runway in the course of the transition.
I need to acknowledge the arduous work, ardour, and creativity of everybody throughout Atlantic, 300, and Elektra. Particularly, I need to thank the individuals who can be leaving us. You’ve made an indelible mark on this firm and the careers of the extraordinary artists you’ve championed. Phrases by no means lower it in these conditions however we’re eternally grateful for all of your contributions and achievements over time. We want you the perfect and know that you’ll proceed to do nice issues in your subsequent chapters.
WMG is reworking swiftly this yr, in a fast-paced, fiercely aggressive trade. As at all times, delivering excellent outcomes for artists and songwriters is our highest precedence in all our selections.
As I discussed, you’ll hear extra about our plan for AMG subsequent week, with Elliot making an announcement in regards to the management workforce. Within the meantime, we now have a lot unimaginable music available in the market, and a few excellent tasks on the best way. Your continued help of teammates is wonderful, and your run-through-walls deal with the music is extraordinary.
Thanks and take care,
RobertMusic Enterprise Worldwide
