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Kanye Inks New Deal

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Kanye West has just inked a joint-venture deal with Sony Music's U.S. label group.

As a part of the deal, Kanye has formed his own label, Getting Out Our Dreams, and entered into a production pact with Sony.

Such deals, which can be extremely expensive and often fail, have become rarer over the last few years, as companies have sought to cut costs. But SonyBMG execs say they are confident West can develop the next big names in hip-hop and R&B.

"We had no apprehension, because it was Kanye," said Donnie Ienner, president and CEO of the Sony Music Label Group, U.S., overseeing labels Columbia Records and Epic Records. "This is one deal we would have said yes to at any point. He's just so smart and so prolific. We don't make many of these deals, because, honestly, they don't usually work." Financial terms were not disclosed, but executives called it a long-term deal.

The first release under the long-term label/production deal is John Legend's major-label debut, Get Lifted, due in December. Singer/keyboardist Legend appears on Kanye's 2004 solo debut, The College Dropout, which has sold 2.3 million units in the United States, according to Nielsen SoundScan.

Kanye is also nominated for three awards at the American Music Awards - favorite rap/hip-hop male artist and album for The College Dropout as well as favorite new artist.

Kanye remains signed to Roc-A-Fella/ Def Jam.

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This story circulated on the newsgroup rec.music.hip-hop and reached the archive on October 21, 2004. It is reproduced as posted — headlines, typos and all. The post did not credit a source; this story is preserved as it reached the newsgroup.