Motown Records – U.S. – Part Three
In the previous article we intimated that Berry Gordy Jr’s days with Motown were numbered and indeed, that is exactly what happened. Despite successes with artists such as DeBarge and Lionel Richie, Motown began to lose money in the mid 1980s. In 1988 Gordy decided he had had enough and accepted a $61 million offer from MCA Records and Boston Ventures for his stake. The following year he also sold his interest in the film and television production company Motown Productions to fellow Motown executive Suzanne de Passe. Thus ended Berry Gordy Jr’s involvement with the label he created.
Although signing successful artists such as Boyz II Men, MCA also struggled to turn Motown’s fortunes around and in 1991, unhappy with
MCA’s involvement, Motown sued to end its distribution deal with MCA. Polygram took over and consequently purchased Motown in 1994. After a succession of CEOs, Polygram eventually appointed one of its own senior executives, Danny Goldberg, to run Motown.
During the period of record label consolidation in the late 1990s, Polygram was acquired by Seagram (Universal was its entertainment arm) and this actually brought them together once more with MCA Records, who had also been bought out. This activity did then precede a period of relative success, introducing artists such as Erykah Badu, Indie Arie and Michael McDonald, as well as keeping hold of some of the original performers such as Stevie Wonder and Diana Ross (today, Stevie Wonder is the only ‘veteran’ remaining at the label).
In 2005, there was more reorganisation when Motown was merged into Universal Records, becoming Universal Motown Records. While some may mourn the passing of the original, independent Motown Records, it seems unlikely that the label would have survived without outside help. Unlike some other labels, it has at least retained its name and its sound. It still remains the one label that successfully introduced black music to a wider audience so we should be thankful for Seagram’s decision not to close it down when it looked as though to do so would have been a good move.



