Kobalt Music Group was started in 2000 by Willard Ahdritz to couple new technology with the growing need for music copyright owners to have more control and transparency over the administration of their works.

Kobalt Music Group was started in 2000 by Willard Ahdritz to couple new technology with the growing need for music copyright owners to have more control and transparency over the administration of their works.

Initially the company’s approach differed from most music publishing companies: Kobalt primarily focused on administering songwriters’ copyrights. A contrast to the majority of publishing companies pursuing co-publishing deals, which gives them ownership interests (usually 50 percent) of a songwriter’s copyrights. Kobalt eschewed that approach and instead pitched itself as an admin-only publisher that used technology in a way that created both transparency and a worldwide reach which increased access and revenue streams for its clients.

Over the years Kobalt expanded its business to provide label services to artists who owned sound recording copyrights and eventually took another step: purchasing copyright owners’ catalogs through their investment arm, Kobalt Capital Limited.

Put yourself in Willard Ahdritz’s shoes and, for this week’s assignment, write an essay (between 800-1,200 words) analyzing, evaluating, and ultimately, developing an informed argument on how the company can find a way toward profitability in order for the group to be sustainable.

In supporting your argument, make sure to address the following points:

The competitive landscape for the main five players in the music publishing industry.
Kobalt’s founding principles, value proposition, and competitive advantage; can Kobalt sustain them? What happens if the top four publishers imitate Kobalt’s technological solutions improving transparency and efficiency?
Kobalt Music Group business model and expansion to include additional services.
Kobalt’s financials by business unit.
Should Kobalt make changes in its strategy, structure, or business model to become profitable? What changes would you suggest?
Include any visuals that might help support your argument and make sure you provide references and cite all your sources according to APA guidelines.

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