Lady Gaga’s Album Causes Financial Woes For Universal Music Group

Looks like Lady Gaga’s album ARTPop really isn’t raking in the bucks that Universal Music Group was hoping for. According to the NY Post, Gaga’s ARTPop album is falling even deeper into a slump, and Universal Music Group is said to be suffering because of it.

According to a report released on Tuesday, Gaga’s sales cut a 9.3 percent revenue for Universal Music Group. In addition this didn’t bode well for her international sales. The Japanese market, which makes up 25 percent of global sales took a dive as well.

Aside from Gaga’s apparent flop album, Universal Music’s top-selling albums belonged to EMI artist Katy Perry and Interscope’s Eminem. Universal Music Group reported that there was a 75 percent jump in different subscription services.

This isn’t the first time that Lady Gaga and Universal Music Group have gotten into financial troubles. Back in 2012 Lady Gaga and Universal Musical Group were sued for a reported $10 million by the maker of Bratz Dolls, MGA Entertainment.

According to E! back in 2012 both Gaga and UMG were being sued. The complaint in the lawsuit stated that the Bratz doll company agreed to produce Lady Gaga dolls in the singer’s image back in December 2011 and that the merchandising firm paid a $1 million fee for Gaga’s likeness. The company planned to ship the Lady Gaga dolls out to stores before Christmas.

However, Bravado, Gaga’s firm told MGA Entertainment, the Bratz company, that Gaga wanted to delay production and shipping to coincide with the ARTPop album.

According to the lawsuit obtained by E! MGA agreed to “an excessively generous royalty rate, invested millions into the pre-production of the Lady Gaga Dolls and put its reputation and goodwill on the line in order to secure distributors and retail shelf space.” The toy company had said that it, “demands a trial by jury on all issues so triable.”

At the time Gaga’s rep came to the singer’s defense having said:

“This is a dispute between Universal Music Group’s merchandising company and MGA. There was no legitimate reason for MGA to drag Lady Gaga into that dispute. MGA today asked the judge to immediately require Lady Gaga to approve dolls which MGA wants to manufacture and distribute.”

Seeing as Lady Gaga’s Bratz dolls weren’t on the shelves with the release of her poorly received album, it looks like the case is still in limbo. Unfortunately, what isn’t in limbo is the reception from ARTPop.