Barry Willis

The music goes round and round: An investment group led by former Universal Music chief Edgar Bronfman, Jr. is in the lead to acquire Warner Music Group (WMG) and Warner/Chappell Music Publishing from corporate parent Time Warner, according to reports issued the third week of November. Bronfman's group—a consortium of banks and venture capital firms—has offered $2.8 billion for Time Warner's musical properties, possibly forcing prior suitor EMI Group PLC to drop out of the bidding. On Thursday, November 20, EMI chairman Eric Nicoll told reporters that Time Warner had informed his company of "a possible proposal from another party as an alternative to our own firm offer."

Sony Music Entertainment and Bertelsmann Music Group could soon be one.

Each month Sony Corporation announces what seems to be an even more drastic cure for its lingering financial malaise. On Tuesday, October 28, the Japanese industrial giant announced that it would reduce its workforce by approximately 13% over the next three years, cutting some 20,000 workers from its payroll, 7000 of them in Japan.

Manufacturers and retailers don't expect an upswing in electronics sales next year. That's the consensus of members polled by the Consumer Electronics Association, published in mid-October.