Newly launched BMG Video U.S. looks for 'explosive' growth.

Video Business, November, 1991 by Scala, Betsy

A powerhouse in music distribution, the Bertelsmann Music Group (BMG), recently announced it had set up a domestic video company, BMG Video U.S. (BV, 11/15). Plans for the immediate future are to keep the new unit focused squarely on what the company knows best: music. Formed when the German-owned media conglomerate bought RCA Records, BMG has a stable that includes The Rolling Stones, Whitney Houston, Barry Manilow and Bobby Brown.

In addition, the company distributes internal "house" labels Arista (6 West Home Video), Ariola, RCA, as well as outside lines, such as Jive/Zomba and MCA/Geffen. Since it started marketing video product in the U.S. two years ago, the BMG Video label has operated under "a very loose arrangement," says David Steffen,...

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