Jun 18, 2004 • 1 min read

Reports say Sony BMG merger will get green light

Media reports suggest European competition commissioner Mario Monti will approve the Sony BMG merger, with the Commission's decision deadline set for 22 Jul.

It works like this - you act all hardline then cave in at the last minute.

Media reports over night suggest that Europe's competition commissioner Mario Monti will approve the proposed Sony BMG merger. Despite numerous parties opposing the plans at an open hearing in Brussels this week, reports say Monti has recommended the two majors' proposal be given the green light because there is not "sufficient evidence to oppose the deal".

The Commission's deadline for making a decision on the merger is 22 Jul, although a decision could be announced earlier. If the European Commission gives the merger the go ahead the proposals will then go to the US Federal Trade Commission who are expected to be supportive of the plans - especially as the HQ of the combined Sony BMG is likely to be in New York.

Of course there have been rumours that some at the top levels of BMG have been having second thoughts about the deal - which would put Sony boss Andrew Lack in charge - especially given the recent run of successful releases the company has achieved. So even if it does get the EC go ahead the merger is not completely a foregone conclusion.

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