Riffage.com has acquired former Interscope label 1500 Records, home to bands God Lives Underwater and Ugly Duckling.
The label will provide A&R support, retail music sales and CD publishing to selected musicians who have uploaded their work to Palo Alto-based Riffage.com. Financial terms of the deal were not released.
Ken Wirt, founder and CEO of Riffage.com, called 1500 Records a logical extension of the site’s music business. “The addition of 1500 Records means that we can offer Riffage.com artists opportunities not available to them anywhere else.”
As part of the deal, up to six Riffage.com artists will be signed by 1500 Records each year. The label will continue to look for talent offline, as well.
Artists signed to the Riffage.com/1500 Records label will get half the net profits on album sales. Domestic distribution of CDs developed by 1500 Records will be handled by RED Distribution.
Gary Richards, prexy of 1500 Records, will continue to head the Los Angeles-based label after the dot-com takes over.
Label is producing the soundtrack for New Line Cinema’s upcoming “15 Minutes,” with Robert DeNiro attached to star. Richards is serving as music supervisor for the film.
He said that “1500 Records and Riffage.com share a common vision of creating a new record industry paradigm that maintains the key marketing services used by the traditional labels, but leverages the powerful artist and fan interaction made possible by the Internet.”
Acquisition is the latest in a string of deals made by Riffage.com, which bought the Great American Music Hall in San Francisco earlier this year. Investors in the Netco include AOL and BMG Entertainment.