Music System companies such as Music System Group (MSG) and Music System Networks (MSNP) are owned by a joint venture between the Music System Corporation (MSC) and the Music Systems Limited Partnership (MSLP), a group that owns the music labels RTE, The Irish Times and The Irish Independent.
The companies’ parent companies, which include MGM and Universal Music Group (UMG), were granted a shareholding in the companies in 2013.
The joint venture has since sold its stake to MGM and the merged companies have continued to operate under their respective parent companies’ names.
In 2017, the companies sold their remaining shares in their respective companies to MGM for €15m.
The combined companies’ current business is based in New York.
“The two companies have a number of separate businesses that are still run by separate people, but we are still all part of the Music Solutions Group,” a MGM spokesperson said.
“This partnership is about the company and the people who run it and we are committed to continuing to do that.”
However, in the past, the Music Solution Group has also run various music websites and services.
“Our music service and music business are run under a separate company called Music Solution LLC, with our former management team and the two main managers from the Music Services Group now part of our management team,” the company said in a statement.
“We do not disclose the identities of the people involved in our music business.”
The Music Solution’s website and Music Solution website are owned and operated by the same company.
“All the information on this website is the sole property of Music Solution and Music Solutions LLC, so any attempts to alter or tamper with the content are strictly prohibited,” a spokesperson for MGM said.
In a statement, MGM said that it was not possible to confirm or deny that the two companies were owned by the two entities.
“Music Solutions LLC has the sole right to sell the shares it owns in the two joint venture entities, and we will do so when the company’s shares have been sold.
Music Solution is a wholly owned subsidiary of MGM Entertainment, LLC,” the statement said.
It said that the company would not comment on the specific business practices of the two parties.
In the past decade, Music Solution has been embroiled in numerous lawsuits over alleged copyright infringement and money laundering allegations.
“MGM has paid over €1 billion in settlements and litigation over copyright infringement, which is a serious matter that must be addressed in court,” a representative for MGM Entertainment said in 2016.
The music industry’s biggest music labels have faced lawsuits from Music Solution for allegedly stealing royalty payments from artists and labels.
In 2018, the European Court of Justice ruled that the Music Companies Limited Partnership’s claims to exclusive control over music licensing rights infringed copyright.
The ruling said that “MPCL’s claim to exclusive ownership of music licensing arrangements does not amount to the exclusive rights in the same sense as that of the music publishers and record labels, and in fact it is inconsistent with the terms of the agreements in question”.
In 2015, the music industry accused MGM of “selling out” to MGM.
“It’s clear MGM’s own music business is in deep trouble.
This is just the latest example of how the music business has been sold off, as the music world has seen a series of record sales fall off and record sales stagnate in the last decade,” a UK music industry representative said.
The company has also been accused of violating EU rules by charging “premium fees” to artists and for failing to disclose payments it received from a number from the record labels.
However, MGM and MGM Entertainment have both denied the allegations and argued that they have complied with EU rules and that they are not in breach of any EU law.