Following a legal action by Capitol against the ReDigi.com online company in April 2013 , the latter was found to be in violation of copyright law . Capitol Records claimed that ReDigi was guilty of copyright infringement due to a business model that facilitated the creation of additional copies of Capitol 's digital music files , whereby users could upload the files for downloading or streaming to the new purchaser of the file . ReDigi argued that the resale of MP3/digital music files is actually permitted under certain doctrines ( " fair use " and " first sale " ) but the court maintained that the doctrines ' application " was limited to material items that the copyright owner put into the stream of commerce . " In 2014 , PGH Live Music joined the team and Katy Perry founded the record label Metamorphosis Music , starting a label venture with Capitol . The name of the label was later changed to Unsub Records in 2016 . Also that year , Capitol rose to number two market share and won four categories at the Grammy Awards for music by Beck and Sam Smith
Grammy Awards
57th Annual Grammy Awards
Capitol Records