Nick Henny on UMG's royalty system, made in Latvia

Universal Music Group (UMG) vice chairman and CFO Nick Henny talks about UMG's new royalty transaction system, being built by Exigen in Latvia and St. Petersburg, Russia. This is a project aimed at saving tens of millions of USD for UMG as royalty-generating transactions grow rapidly in number but fall greatly in value (99 cent iTunes purchases instead of USD 19.99 CDs). Ultimately, UMG wants to offer the system (when completed in late 2008) to the entire entertainment industry. Warner Music, originally a partner in the project along with UMG and Exigen (it has headquarters and legal personality in the US, but all software development is done in Latvia and, of late, in Russia)

Here is the video interview:

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