Part 2

1. More Media Ownership Terminology
• Horizontal Integration - Where direct competitors within the
same industry merge. This reduces competition and costs
(Consider the number of record labels that come under the
Sony Music Group now). Sony, Universal and Warner are all
horizontally integrated organisations within the music industry.

2. More Media Ownership Terminology
• Lateral Integration – integrated with companies across a range
of media and other industries. Sony Corporation is a large
media conglomerate who benefits from being laterally integrated
across a range of media industries, for example film, music and
video games as well as producing media technology and
electronics. If you put all of Sony's media companies together
then they can be seen to be a dominant institution in global
media.
Guitar Hero
PS3
Guitar Hero Ring
Tones on the
Sony Ericcson
Music Rights
Sony
International

3. More Media Ownership Terminology
Vertical integration - Where an organisation has a stake in
production, distribution and exhibition.
•Reduces costs and gives complete access to audiences without
need to go elsewhere. i.e. Sony is vertically integrated as has the
capability to carryout the whole process from finding/developing
talent all the way through to providing live music streaming
services to audiences.