Scott Borchetta to Exit Hybe America, Relaunch Big Machine Records

Scott Borchetta, the founder of the Big Machine Label Group, is exiting the company following its acquisition by Hybe America. The departure marks a significant shift for the label, which was purchased as part of Hybe's billion-dollar deal for Scooter Braun's Ithaca Holdings in 2021. Borchetta, who had remained as CEO since the takeover, will retain the rights to the Big Machine Records brand for his future independent ventures.

Hybe America will maintain control of the label's acquired assets, including its distribution agreement, the publishing arm Big Machine Music, and a roster of established country artists. This roster features hitmakers such as Thomas Rhett, Brett Young, and the group Midland, alongside Justin Moore, Carly Pearce, Preston Cooper, Jackson Dean, and Mae Estes. The Hybe-operated entity will now function under a new, yet-to-be-announced label name, with leadership details expected shortly. This strategic rebranding may be an effort by Hybe to distance its Nashville operations from past controversies, while solidifying its footprint in the lucrative country music market.

Borchetta's legacy is deeply intertwined with the career of Taylor Swift, whom he signed in 2005. Big Machine Records skyrocketed to prominence with the release of Swift's self-titled debut album in 2006 and the six studio albums that followed. However, his reputation suffered lasting damage following the 2019 sale of Swift's master recordings to Scooter Braun—a deal Swift publicly decried as the result of "unfair terms" that prevented her from acquiring her own work. Although the catalog later changed hands twice, ultimately being purchased by Swift herself in 2023, the episode fueled intense criticism from the artist and her global fanbase, illustrating the high-stakes tensions often present in music industry dealmaking.

In a statement, Hybe America Chairman and CEO Isaac Lee praised Borchetta's impact. "Scott has made a lasting mark on the music industry with his sharp eye for talent and his unique vision," Lee said. "He recently approached us to ask for our support as he works to pursue a new, independent and entrepreneurial stage of his career... While we are sad to see Scott go, we understand – and want him to pursue his passions." Industry analyst Maria Chen of SoundScan Insights noted, "This amicable separation allows Hybe to streamline its U.S. operations while enabling a proven hitmaker like Borchetta to return to his roots as an independent entrepreneur, a move that could reinvigorate the Nashville scene."

Borchetta expressed gratitude for the partnership, specifically citing Hybe Chairman Bang Si-hyuk's support for entrepreneurs. "For that, I am forever grateful and wish them nothing but continued and incredible global success," Borchetta added. Lee confirmed Hybe America's ongoing commitment, stating, "We are beyond excited for our future in Nashville and will make further announcements in due course." As the situation evolves, more details regarding the new label's direction and leadership are anticipated.