Brussels, 16/06/2004 (Agence Europe) - After having heard, on Monday, the arguments of Sony and BMG, the two groups running for 50/50 merger, the Commission held an oral hearing of those objecting to the proposal. Opponents include the Impala association, which groups many independent music producers and which put forward arguments against those defended by Sony and BMG. The latter maintain that the Commission has not been able to provide sufficient proof that the operation would entail a collective dominant position (see EUROPE of 11 June, p.12). Also expressing views on the second day of the hearings, the European Consumers' Organisation (BEUC) states through the voice of one of its representatives that the transition to "4 majors" will not be to the consumers' advantage either in terms of price or musical choice. It considers justified the Commission's suspicion of concerted practice within the major musical publishing groups.
The Commission's decision is expected for 22 July, but the timeframe for internal rules of procedure means that the team in charge of the dossier will probably make its conclusions known to Commissioner Monti this week. After the two days of oral hearing, the so-called "devil's advocate" panel is to meet to review the whole of the dossier with the benefit of hindsight, before possible negotiations between the Commission and the two "majors". According to Dow Jones, after their oral argument, neither of the two companies had proposed concessions with a view to giving up part of their activities in exchange for Commission clearance.