You could have already heard that Atlantic Music Group laid off a collective employees right this moment (September 19), lots of whom have 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.
At present’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 one of the best. 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 id – about to take flight.
MBW has confirmed by way of 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 gained’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 a way Atlantic works… and what Atlantic is.”
This has shades of when Aaron Bay-Schuck arrived as CEO/Co-Chairman at WMG’s different primary label, Warner Information, in 2018. In his first yr in cost at WR, Bay-Schuck minimize 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 advised MBW right this moment: “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 a way Atlantic works… and what Atlantic is.”
MBW just lately puzzled out loud whether or not Grainge’s appointment as Atlantic’s new CEO would usher in important adjustments to the label’s A&R focus.
MBW founder Tim Ingham instructed: “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 delivery enduring cultural tremendousstars?”
As Ingham identified, that final result is perhaps a “statistical inevitability”.
In 2022 WMG confirmed that its 5 largest famous person 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 path – i.e. extra artists being signed, however with rather less fixation on reaching megastardom.
Might the label group’s latest adjustments point out an try to match its sources to this plan?
Warner Music Group CEO Robert Kyncl confirmed the brand new wave of layoffs at Atlantic in an inner word right this moment (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 will probably be “making an announcement concerning 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 gifted folks”.
Elsewhere within the word, Warner’s CEO thanked the staff 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 minimize it in these conditions however we’re eternally grateful for all of your contributions and achievements through the years. We want you the perfect and know that you’ll proceed to do nice issues in your subsequent chapters.”
You possibly can learn Kyncl’s word in full under.
Hello everybody,
Since we introduced Julie could be stepping down, we’ve been thoughtfully engaged on easy methods to evolve Atlantic Music Group for the longer term. Subsequent week, we will probably 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 gifted folks. I do know you may have been ready to listen to the plan, and relatively than perform adjustments piecemeal, we determined to make these tough decisions in a single go.
At present will probably be a troublesome day, and by 9pm ET you’ll have heard in case your job is affected. Your leaders and the Folks workforce will give you all of the essential particulars. We’re dedicated to serving to these impacted by means of this with the utmost respect, and supporting them with a runway throughout the transition.
I need to acknowledge the onerous work, ardour, and creativity of everybody throughout Atlantic, 300, and Elektra. Specifically, I need to thank the individuals who will probably 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 minimize it in these conditions however we’re eternally grateful for all of your contributions and achievements through the years. We want you the perfect and know that you’ll proceed to do nice issues in your subsequent chapters.
WMG is remodeling 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 decisions.
As I discussed, you’ll hear extra about our plan for AMG subsequent week, with Elliot making an announcement concerning the management workforce. Within the meantime, we’ve got a lot unimaginable music out there, and a few excellent initiatives on the way in which. Your continued help of teammates is superb, and your run-through-walls deal with the music is extraordinary.
Thanks and take care,
RobertMusic Enterprise Worldwide
