Google CIO to join digital music realm

Google CIO Douglas Merrill is leaving Google to become president of EMI's digital unit, according to sources.

A Google spokesman confirmed Merrill is leaving but said he could not confirm the other information. A spokeperson for EMI Music Group declined to comment.

A separate source familiar with the matter said Merrill will be starting at EMI later this month and that the position was created specially for him. He is staying in California, the source says. EMI, the fourth-largest record label, is based in London.

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The move was surprising, given how different the music industry is from Google's world.

Like other record labels, EMI is struggling to compete in an industry turned upside down by the internet. The music industry has to figure out how to deal with technology that easily lets people download music for free instead of paying for CDs. And artists, frustrated with politics at record labels, turning to the internet to release and promote their music.

Merrill's experience at Google, considered along with Apple as one of the most innovative technology companies ever, can help EMI navigate the digital waters better. Traditionally, record labels have been slow to adopt technology and have completely missed the boat on ecommerce. Merrill will be crucial to evaluating technology and helping EMI create an internet strategy.

Hab Haddad, vice president of business development at music management firm McGhee Entertainment, said: "For EMI to hire someone from Silicon Valley will offer them a huge advantage over the label next door."

Haddad says: "It's a digital world and if they [music companies] can't pull the heavyweights in that have been successful in other industries they're never going to get it right for their industry."

The move comes at a time when the music industry is seriously hurting. Total revenue has plunged from $14.3bn in 2000 to $10bn last year.

But for Merrill the move will be quite a change. At Google, products and strategy focus on opening up content for the world to see and making it searchable by anyone with an internet connection. This world view has repeatedly put Google at loggerheads with copyright holders and their ilk.

It will be interesting to see what an executive from a company known for pushing the envelope on fair use can bring to an industry that has strongly protected its copyrights.

Before working at Google, Merrill held information technology, engineering and security positions at Charles Schwab, PricewaterhouseCoopers and Rand - a not-for-profit think tank.

Original article: Google's CIO leaves search giant for job at EMI from CNET News.com