There are currently three major record labels that dominate the global music industry: Universal Music Group (UMG), Sony Music Entertainment (SME), and Warner Music Group (WMG). These companies are often referred to as "The Big Three" and collectively control approximately 70% of the world's recorded music market.

Universal Music Group is the largest of the three, commanding roughly 32% of the global market share. Based in Santa Monica, California, UMG represents numerous iconic artists and owns several subsidiary labels including Republic Records, Interscope Records, and Capitol Records.

Sony Music Entertainment ranks second, holding about 22% of the market share. Operating from New York City, SME manages prominent labels such as Columbia Records, RCA Records, and Epic Records. The company has a strong presence in both Western and Asian markets.

Warner Music Group, while smaller than its competitors, still maintains a significant 16% market share. WMG operates through various successful labels including Atlantic Records, Elektra Records, and Warner Records.

Prior to 2012, there were actually four major labels, with EMI Group being the fourth. However, EMI was acquired and its assets were split between Universal Music Group and Sony Music Entertainment, consolidating the industry into the current "Big Three" structure.

These major labels provide crucial services to artists including:

Recording and production support
Marketing and promotion
Distribution (both physical and digital)
Legal services and copyright management
Radio promotion and playlist placement
Tour support and merchandise management

Independent labels make up the remaining 30% of the market, offering alternatives to artists who prefer more creative control or specialized genre focus. However, many successful independent labels eventually partner with or get acquired by one of the major three labels for broader distribution capabilities.

The landscape of record labels continues to evolve with the rise of digital streaming and new distribution models, but these three major companies maintain their dominant position in the global music industry through their extensive resources, established networks, and ability to adapt to changing market conditions.

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