First Major Music Company to Partner With One of World's Largest Mobile OperatorsLONDON, Jun 20, 2006 -- Warner Music China (WMC) today became the first major music company
to enter a direct, catalogue-wide content agreement with a mobile
operator in China. Under the agreement, ringback tones, mastertones
and artist greetings by Warner Music artists will be available via
China Unicom's CDMA and GSM networks.
With 130 million subscribers, China Unicom is the world's
third-largest mobile operator. On June 20, China Unicom will kick off
its "Year of Music" campaign, where its millions of customers will be
exposed to the many innovative music products available through China
Unicom's advanced networks and handsets.
WMC artists will receive significant marketing support across China
Unicom's network, including SMS marketing, menu listing, a dedicated
Warner Music zone and cross-selling links on WAP sites.
The agreement is the latest milestone in Warner Music's global
digital strategy and will make the music company's repertoire
available to one of Asia's pioneering telecommunications operators.
China Unicom's customers will have access to content from some of
Asia Pacific's most popular artists, including Stephanie Sun, Tanya
Chua, A-Mei and F.I.R. (Taiwan), Wang Jing and Paul Wong (China),
Jocie Guo (Singapore), Nicholas Zhang (Malaysia), and Fiona Sit (Hong
Kong).
In announcing the agreement, Alex Zubillaga, Executive Vice
President, Digital Strategy and Business Development, Warner Music
Group, said, "We are extremely excited to be entering into the
wireless entertainment business in China with a partner who shares
our ambition to grow this important platform for music. We believe
that the expansion of instant, compelling and secure mobile services
in this region presents the music industry with huge opportunities,
and we are proud to be at the forefront of those developments."
Ken Cheung, Vice President, New Media and Business Development,
Warner Music Asia Pacific, added, "As the first direct, catalogue-wide
content agreement with a Chinese mobile operator, this deal not only
provides a dynamic, new distribution channel for our artists'
content, but also provides an opportunity to explore innovative ways
to deliver that content to the Chinese audience."
The Chinese digital music business was 3.6bn yuan ($450m) in 2005 and
is predicted to grow to 12.7bn yuan ($1.6bn) in 2010, according to the
Chinese Audio-Video Association (CAVA).
WMC was the first major label to open a dedicated Chinese office in
2000. This latest announcement further underlines the commitment of
Warner Music International (WMI) to developing its digital business
in the Asia Pacific region. Just two weeks ago, Warner Music Japan
announced it had acquired a minority stake in FrontMedia, a leading
mobile broadcasting company and developer of cutting-edge wireless
applications. In May, WMI announced a joint venture with SK Telecom,
Korea's foremost broadband and wireless provider, and at the end of
2005, WMI launched the first mobile content bundle with KDDI, a
package of audio, video, graphic and textual products in a single,
downloadable file.
About Warner Music Group
Warner Music Group (NYSE: WMG) became the only stand-alone music
company to be publicly traded in the United States in May 2005. With
its broad roster of new stars and legendary artists, Warner Music
Group is home to a collection of the best-known record labels in the
music industry including Asylum, Atlantic, Bad Boy, Cordless, East
West, Elektra, Lava, Maverick, Nonesuch, Reprise, Rhino, Sire, Warner
Bros. and Word. Warner Music International, a leading company in
national and international repertoire, operates through numerous
international affiliates and licensees in more than 50 countries.
Warner Music Group also includes Warner/Chappell Music, one of the
world's leading music publishers.