By Carl HoweWe wrote yesterday about New York state's investigation into whether the music labels are fixing prices. Today, CNN notes that attorney general Eliot Spitzer has expanded that probe and subpoenaed three music labels to provide testimony and information in the investigation into price fixing. The article notes that Spitzer is investigating Vivendi (NYSE:V) as well as Warner (NYSE:WMG) and Sony BMG (half owned by Sony - SNE), whom we mentioned yesterday.
Our advice to the music labels: Tell Spitzer your New Year's resolution is to make more money from The Long Tail of music than from fixed pricing.
● Related: All Seeking Alpha Network articles on The Long Tail