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Warner Music to Launch Record Label

Warner Music Group is preparing to launch a record label that would develop and market new artists and distribute their music only over the Internet.
The venture, tentatively referred to as an “e-label,” is scheduled to be in operation by the end of this year.
Warner, home to artists like Madonna and Linkin Park, is hoping the label will enable the New York-based company to give emerging artists more time to develop without the traditional pressures of having to churn out a slate of hits.
“At this new label, an artist can develop in a supportive, lower-risk environment,” Warner chief executive Edgar Bronfman Jr. said at an Aspen, Colo., gathering of the Progress and Freedom Foundation, a Washington, D.C., think tank. “An artist is not required to have enough material for an album, only just enough to excite our ears.”
The e-label would also spare Warner the expense of distributing music in physical formats like CDs.
Instead of releasing a full album every couple of years, the e-label would release “clusters” of three or more songs by an artist every few months, Bronfman said.
Universal Music Group launched an all-digital record label last November. To date, UME Digital has about a dozen artists and has been selling their music over online retailers such as iTunes and Rhapsody.
source : ap