The landmark deal is worth more than all other benchmarks, such as the all-encompassing rights deals that concert promoter and ticket-seller Live Nation Entertainment Inc. had previously signed with Madonna at $120 million and Jay-Z for $150 million.
Jackson's deal is even more remarkable because it does not include royalties from merchandise.
The contract shows the value of legacy artists. It also comes at a time of decline for the music industry, with sales down about half from their peak in 2000 mainly due to free file-swapping.
The money will go a long way to settling Jackson's debts, estimated at around $400 million when he died. But the singer whose life was plagued with scandal has had a resurgence in popularity in death.
Distribution rights for "This Is It" were sold to Sony Pictures, another unit of Sony Corp., for $60 million and the movie went on to gross $252 million worldwide, the most of any concert film ever.
Revenue from that, song sales and merchandising agreements brought into the estate revenues of about $100 million, lawyers for the estate's administrators told a Los Angeles Superior Court judge in December, when they sought a percentage as an administration fee.
The Walt Disney Co. even brought back the 17-minute Jackson movie "Captain EO" to its Disneyland theme park in Anaheim last month. The original began running at the park in 1986 but was pulled in 1997.
Jackson's most lasting and valuable asset is the 50 percent stake in Sony/ATV Music Publishing, a company that owns publishing rights to music by The Beatles and numerous other artists, including Elvis Presley and Bob Dylan. Split with Sony Music, the copyright catalog itself is estimated to be worth $2 billion.
The new financial windfall comes even as circumstances around his death remain in legal limbo.
Dr. Conrad Murray faces an involuntary manslaughter charge for allegedly giving Jackson a lethal combination of sedatives. He is due back in a Los Angeles court April 5.
No comments:
Post a Comment