Companies in the American entertainment industry have been known to collaborate with each other in areas of mutual benefit. It came as no surprise when Jay-z’s Roc Nation signed a $150 million deal with Live Nation in 2008. The deal came when Roc Nation was under a year old; thanks to Desiree Perez, Roc Nation’s Chief Operating Officer, and her colleagues whose impeccable negotiations skills made the deal possible. Nine years later, the lucrative deal between the two music giants is almost coming to an end. After the expiration of the $150 million deal, both companies will be looking forward to renewing the transaction.
However, preliminary reports indicate that they two may stop working together. Live Nation re-strategized its business, and it is no longer in the business of buying recorded music. This may inconvenience Roc Nation which has many active recording artists such as Rihanna, Shakira, J. Cole, and Big Sean. The suggestion by Live Nation to continue its touring deal with Roc Nation while avoiding recorded music is likely to affect Roc Nation adversely. However, most of Roc Nation’s executives such as Perez are resilient business-minded individuals who will avoid rest until Roc Nation’s business interests are well guarded.
Presently, Desiree and Jay-Z are working around the clock to foster lucrative deals with selected entertainment companies. According to Splash News, Jay-Z and Perez were in California recently to see Sir Lucian Grainge, the chairman and CEO of Universal Music Group (sometimes abbreviated to UMG). Perez has worked with Jay-Z for over two decades especially when such high-profile deals need to be brokered. Although the details of the meeting are still scanty, rumors indicate that the impending expiration of Live Nation’s deal with Roc Nation was far from the agenda of the meeting. Roc Nation and UMG have a distribution deal in place.