EMI confirms Warner takeover offer

It seems that major label giant Warner Music Group is looking to further it's grasp on the industry with a recent bid made to fellow giant EMI. Warner also attempted a merger with EMI last year, but halted progress due to a similar deal with two other major label music groups facing difficulties in European courts.

Though no specific details have been released, EMI has confirmed an offer was made, and speculation on the possible deal has created both optimism and skepticism on the impact such a merger could have. If successful, the new music group would have roughly 25% of the market.

Though EMI attributes it's difficulties to the overall music industry, analysts are quick to point out that fellow major music labels Universal and Warner have both faced similar problems, with less financial impact. Instead, they've pointed out issues at EMI such as "persistent weakness in the United States, lack of promising new tunes and internal control problems." EMI currently holds only about 10% of the music market in the U.S., a small figure for one of the largest markets in the world.

Both EMI and Warner have not commented on the status of the offer, but we'll keep you posted. In the meantime you can find the entire article here.