“I think his view was ... that [Warner Music] should be compensated the way they might for a performance on iTunes,” Kotick told the Financial Times. “But this is an entirely different business that is very technically complex. We’re going to favor those publishers that recognise and appreciate how much we can add value to their artists.”
During a Warner Music earnings call last week, Bronfman called licensing fees for videogame music "paltry."
Kotick told the Financial Times that the fellow exec's comments were "one-sided" and not “respectful of how much we’ve done to bring new audiences into the market."
Kotick's statements echo those of industry analyst Michael Pachter who told Edge last week that Bronfman "misses the point that there is significant value added by Activision, and his comments reflect his lack of understanding about the business."
Pachter said at the time, "[Bronfman's] flip comment disregards that the songs downloaded on Guitar Hero are not songs--they are videogame files with an embedded sound track."
Warner Music currently licenses songs to Harmonix's Rock Band and Activision's Guitar Hero franchises.