It’s a sad-but-true fact of the music business that an artist is often more valuable dead than alive. Sony Music has just announced that Michael Jackson will be joining Elvis, Jimi Hendrix, Jim Morrison, Tupac and Frank Sinatra in the exclusive group of acts releasing new product from the great beyond.
The King of Pop’s estate has struck a deal with Sony that shatters all previous recording contracts: a guaranteed $250 million for continued control of the singer’s catalog and 10 new projects (including recordings, DVDs, video games and theatre ventures) through 2017.
Planned releases include an album of unreleased tracks due in November, a DVD compilation of MJ’s videos and the rerelease of Off the Wall (with lots of bonus material).
Already included in the total of 10 projects is the two-disc This is It album released last year in conjunction with the theatrical film stitched together from footage shot last summer during rehearsals for Jackson’s comeback tour.
The agreement between Sony and the adminstrators of the singer’s estate, John Branca and John McClain, dwarfs previous record-setting contracts like Bruce Springsteen’s 2005 $110 million deal with Columbia Records, Madonna’s $120 million, 360 degree pact with Live Nation and the $150 million Robbie Williams scored from EMI in 2002.
“During his life, Michael’s contracts set the standard for the industry, reflecting his unique vision and talents that inspired and excited people in every corner of the world,” Branca said in a statement released by both parties. “By all objective criteria, this agreement with Sony Music demonstrates the lasting power of Michael’s music by exceeding all previous industry benchmarks.”
Although $250 million is a sizeable chunk of change, it doesn’t come close to settling Jackson’s massive debt, which was estimated to be close to $400 million at the time of his death last June.
One thing notably absent from the agreement between The King of Pop’s estate and Sony is merchandising royalites, which, if the $50 to $60 million Presley’s estate takes in yearly is any indication, could easily generate enough revenue to eclipse all other income sources.