AOL is among Robinson Lerer's clients. The two music companies distribute 40 percent of all records, tapes and CDs sold in North America each year.
Music is among the best-selling products purchased online.
Universal, the world's No. 1 record label, and BMG, a leader in music fan clubs and a leading record distributor, said their venture will cash in on their access to some of the world's most popular recording artists. They collectively have nearly 200 artists whose latest releases have sold at least 1 million copies each. Among the musicians are Shania Twain, Sting, the Backstreet Boys, Whitney Houston and Elton John. The joint venture would create fan clubs centered around these and other musicians. In addition, the business plan calls for development of online music channels and an e-commerce site.