Editing Geffen Records (section)

=== Acquisitions by MCA, Panasonic, and Seagram and departure of David Geffen (1990–1998) ===
After nearly a decade of operating through WMG, its contract with the company ended. Geffen was then sold to MCA Music Entertainment, by then, a label division of the now-defunct [[MCA Inc.]] in 1990.<ref>{{Cite web |last1=Jr |first1=JUBE SHIVER |last2=Cieply |first2=Michael |date=1990-03-15 |title=MCA Buys Out Last Major Independent Record Label : Entertainment: In a much anticipated deal, the giant conglomerate will get Geffen Records for stock worth $545 million. |url=https://www.latimes.com/archives/la-xpm-1990-03-15-fi-389-story.html |access-date=2024-02-13 |website=Los Angeles Times |language=en-US}}</ref> The deal earned founder David Geffen an estimated US$800 million in stock and an employment contract that ran until then. Following the sale, Geffen Records operated as one of MCA's leading independently managed labels. A year later, MCA was acquired by Japanese conglomerate Matsushita Electric (now [[Panasonic]]), bringing Geffen, [[Universal Pictures]] and other sister companies along.<ref>{{Cite news |date=1991-01-01 |title=COMPANY NEWS; MCA Takeover Is Completed |url=https://www.nytimes.com/1991/01/01/business/company-news-mca-takeover-is-completed.html |work=[[The New York Times]]}}</ref> The acquisition was completed on New Year's Day 1991 for $6.6 billion USD.<ref>{{Cite web |last=Content |first=Contributed |date=1991-01-01 |title=Matsushita closes MCA deal: Matsushita Electric Industrial… |url=https://www.chicagotribune.com/1991/01/01/matsushita-closes-mca-deal-matsushita-electric-industrial/ |access-date=2024-02-13 |website=Chicago Tribune |language=en-US}}</ref>

Geffen stepped down as head of the label in 1995 to collaborate with [[Jeffrey Katzenberg]] and [[Amblin Entertainment]] co-founder [[Steven Spielberg]] to form DreamWorks SKG (later [[DreamWorks Pictures]]),<ref>{{Cite web |last=Mendelson |first=Scott |title=15 Years Of DreamWorks Animation And Its Complicated Legacy |url=https://www.forbes.com/sites/scottmendelson/2013/10/02/15-years-of-dreamworks-animation-and-its-complicated-legacy/ |access-date=2024-02-13 |website=Forbes |language=en}}</ref> an ambitious multimedia empire dealing in film, television, books and music. Geffen Records would distribute releases on the newly-founded company's [[DreamWorks Records]] subsidiary. That spring, Panasonic's ownership percentage of MCA was decreased to 20% when the remaining 80% was sold to Canadian distillery company [[Seagram]] in exchange for $5.7 billion USD.<ref>{{Cite web |last1=Bates |first1=James |last2=Eller |first2=Claudia |date=1995-04-10 |title=Seagram Signs Deal to Buy 80% of MCA : Hollywood: Firm agrees to pay Matsushita $5.7 billion for controlling interest. Future of Wasserman, Sheinberg remains unclear. |url=https://www.latimes.com/archives/la-xpm-1995-04-10-mn-53050-story.html |access-date=2024-02-13 |website=Los Angeles Times |language=en-US}}</ref><ref>{{Cite news |date=1995-04-10 |first1=Geraldine|last1=Fabrikant|title=THE MCA SALE: THE DEAL; Seagram Puts the Finishing Touches on Its $5.7 Billion Acquisition of MCA |url=https://www.nytimes.com/1995/04/10/business/mca-sale-deal-seagram-puts-finishing-touches-its-5.7-billion-acquisition-mca.html |access-date=2024-02-13 |work=[[The New York Times]]}}</ref> In January 1996, Geffen funded and distributed a short-lived boutique label, [[Outpost Recordings]], featuring the likes of [[Whiskeytown]], [[Ry Cooder]], [[Veruca Salt]], and [[Hayden (musician)|Hayden]].<ref>{{cite news |url=https://www.latimes.com/archives/la-xpm-1996-01-26-fi-28928-story.html |title=Company Town: Outpost? Nascent Firm Is in the Middle of It All |last=Phillips |first=Chuck |work=Los Angeles Times |date=January 26, 1996 |access-date=July 23, 2021 |url-access=subscription}}</ref> On December 9, 1996, Geffen's parent company, MCA Inc. was reincorporated as Universal Studios, Inc. Even so, its music division, MCA Music Entertainment Group, was also renamed Universal Music Group.<ref>{{Cite web |last=Busch |first=Anita M. |date=1996-12-10 |title=A whole new U for MCA |url=https://variety.com/1996/scene/vpage/a-whole-new-u-for-mca-1117466464/ |access-date=2024-02-13 |website=Variety |language=en-US}}</ref><ref>{{Cite web |last=By |date=1996-12-11 |title=MCA INC. CHANGES ITS NAME |url=https://www.orlandosentinel.com/1996/12/11/mca-inc-changes-its-name/ |access-date=2024-02-13 |website=Orlando Sentinel |language=en-US}}</ref><ref>{{Cite web |last=Bates |first=James |date=1996-12-10 |title=Name Dropping : Parent Firm Won't Be 'MCA' Anymore |url=https://www.latimes.com/archives/la-xpm-1996-12-10-fi-7695-story.html |access-date=2024-02-13 |website=Los Angeles Times |language=en-US}}</ref> However, under UMG's new ownership, Geffen's fortunes began to dwindle.<ref name=":0">{{Cite web |last1=Hilburn |first1=Robert |last2=Boucher |first2=Geoff |last3=Philips |first3=Chuck |date=1999-01-22 |title=A & M Records Closes; Geffen Lays Off 110 |url=https://www.latimes.com/archives/la-xpm-1999-jan-22-mn-524-story.html |access-date=2022-10-24 |website=Los Angeles Times |language=en-US}}</ref>