BMG has acquired a substantial stake in the work of two-time Rock & Roll Hall of Fame inductee, Grammy Award-winning American musical icon Paul Simon with the purchase of his royalty income in Simon & Garfunkel recordings as well as his neighboring rights income. Neighboring rights come into play when a particular recording of a piece of music is played in front of a live audience, such as at a concert, in a restaurant, or in a public place, on the radio or, in the U.S., on an Internet radio station. As recently as 2020, the Bertelsmann music company had expanded its rights exploitation business to include Neighboring Rights.
Simon & Garfunkel are among the world’s best-selling artists of all time and winners of seven Grammy awards. Tracks including “The Sound Of Silence,” “The Boxer,” “Mrs. Robinson,” and “Bridge Over Troubled Water” reached Number One around the world and have been streamed hundreds of millions of times. Albums including “Wednesday Morning, 3AM” (1964), “Sounds Of Silence” (1966), “Parsley, Sage, Rosemary & Thyme” (1966), “Bookends” (1968) and “Bridge Over Troubled Waters” (1970) are among the most influential in music industry history.
A Significant Transaction
“In any list of the true greats, Paul Simon stands as one of the pillars of popular music history,” said Thomas Scherer, BMG’s President, Repertoire & Marketing, Los Angeles and New York. “We will play our part to ensure his music continues to be honored and respected.” BMG CEO-designate Thomas Coesfeld said, “We are delighted to have secured the agreement of Paul Simon for BMG to acquire his royalty interests in Simon & Garfunkel recordings and his neighboring rights income. This is a significant transaction. Our ability to secure this deal demonstrates once again that BMG provides the best home for the greatest artists.”
Paul Simon is also considered one of the most important songwriters in popular music, both in his role as one half of the folk-rock duo Simon & Garfunkel and as a solo artist. Despite numerous awards and commercial success, Simon & Garfunkel split after the release of “Bridge Over Troubled Water.” The album soared to the top of the charts in ten countries and won six Grammy Awards in 1971, including “Album of the Year,” “Record of the Year,” and “Song of the Year.” With more than 25 million units sold worldwide, it became the best-selling album of 1970, 1971, and 1972. In 1998, the title song was inducted into the Grammy Hall of Fame. Simon and Garfunkel were inducted into the Rock & Roll Hall of Fame in 1990 and received the Grammy Lifetime Achievement Award in 2003.
Two-time Rock & Roll Hall of Fame Inductee
As a solo artist, Paul Simon was inducted into the Rock & Roll Hall of Fame for the second time in 2001. His celebrated solo career comprises 15 studio albums, including his self-titled work “Paul Simon” (1972) with the songs “Mother and Child Reunion” and “Me and Julio Down by the Schoolyard,” the platinum-selling album “There Goes Rhyminʼ Simon” (1973) with the songs “Kodachrome” and “Loves Me Like a Rock,” the platinum-selling album “Still Crazy After All These Years” (1975) with the title track of the same name and “50 Ways to Leave Your Lover,” the album “Graceland” (1986) with “You Can Call Me Al,” the multi-platinum record “The Rhythm of the Saints” (1990), and works of the 2000s such as “Youʼre The One” (2000), “Surprise” (2006), “So Beautiful or So What” (2011), “Stranger to Stranger” (2016) and “In the Blue Light” (2018).
Over the course of his solo career, Paul Simon was nominated for 17 Grammys, and his albums “Still Crazy After All These Years” and “Graceland” were honored as “Album of the Year.” In 2001, Simon was named “MusiCares Person of the Year,” and in 2002 he received the Kennedy Prize. In 2005, he was feted as a “BMI Icon” at the BMI Pop Awards. In 2007, Simon received the inaugural Gershwin Award from the Library of Congress. In 2011 he was inducted into the American Academy of Arts and Sciences, and in 2012 he received the Polar Music Prize. On May 19, 2023, he released his 15th solo album, a seven-part work titled “Seven Psalms.”
Long-term business strategy
In the past two years, BMG has concluded acquisitions for rights and/or royalties in the work of artists and/or songwriters including Tina Turner, John Legend, Mötley Crüe, ZZ Top, Mick Fleetwood, Peter Frampton, Harry Nilsson, John Lee Hooker, Simple Minds, Primal Scream, Jean-Michel Jarre, and most recently The Hollies, among others. Concluding more than 45 acquisitions over the course of 2022, the transaction forms part of BMG’s long-term strategy to create a 21st-century home for the most iconic music rights in popular music history. BMG already represents or owns rights in the work of iconic artists including Mick Jagger and Keith Richards, Tina Turner, George Harrison, John Lennon, Ringo Starr, Harry Nilsson, Buddy Holly, Jim Croce, Roger Waters, Kurt Cobain, Blondie, David Bowie, Scorpions, The Kinks, Black Sabbath, Iron Maiden, and more.
