In the early 1980s, Paul McCartney had a chance to own his own songs. He turned it down because the price seemed too high. That decision is now considered one of the most expensive miscalculations in music history.

McCartney Learns the Business - Then Teaches It

After years of watching others profit from Beatles songs he had written, McCartney became serious about music publishing in the late 1970s. He began acquiring the catalogs of other artists to build income. In 1981, he was among those given the opportunity to acquire the ATV Music catalog, which contained the rights to 251 Beatles songs, for approximately $40 million. McCartney and Yoko Ono both passed, with McCartney reportedly saying the price was not worth it.

Two years later, in 1983, McCartney recorded "Say Say Say" with Michael Jackson at AIR Studios in London. During their time together, McCartney famously advised Jackson to get into music publishing. "It's a great way to make money," he reportedly told him. Jackson took the advice seriously.

Jackson Makes His Move

By 1984, Jackson was actively pursuing the ATV catalog. His attorney John Branca negotiated on his behalf. When Branca contacted McCartney's representatives about the catalog, he was told it was "too pricey." McCartney was given the right of first refusal but did not exercise it. On August 10, 1985, Jackson signed the deal to acquire ATV Music for $47.5 million - just $7.5 million more than McCartney had been asked to pay years earlier.

The Friendship That Fractured

McCartney was not pleased. He later described the situation publicly as "dodgy," saying: "To be my friend, and then to buy the rug they're standing on." The friendship between the two musicians effectively ended. McCartney spent years in legal disputes trying to reclaim some of his rights, and under US copyright termination law he has recovered partial US rights to some songs since 2017.

What the Catalog Became Worth

In 1995, Jackson merged ATV Music with Sony, forming Sony/ATV. He sold half his stake to Sony for approximately $100 million. After Jackson's death in 2009, his estate continued to hold the remaining interest. In 2016, Sony purchased the Jackson estate's remaining share for $750 million - bringing the total value of the catalog to well over $1.2 billion. The 251 Beatles songs McCartney once called too expensive are now among the most valuable intellectual property in music history.

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