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Motown Records: How Berry Gordy's $800 bet changed American music forever

Motown Records: How Berry Gordy's $800 bet changed American music forever
Motown Museum
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DETROIT, Mich. (WXYZ) — Motown Records was born in 1959 from a simple but bold decision by songwriter Berry Gordy — and it changed American music forever.

Watch Demetrios Sanders' video report:

Motown Records: How Berry Gordy's $800 bet changed American music forever

Gordy loaned $800 from a family co-op to launch what would become one of the most influential record labels in history.

Drew Schultz, digital media curator and historian at the Motown Museum, said the move was a natural next step for Gordy.

"He said I'm making a little money as a songwriter and producer, I might as well go into business for myself, so he did. Takes money out of his family co-op, $800, starts the Tamla Record Label, eventually starts the Motown Record Label," Schultz said.

Drew Schultz
Drew Schultz

The Black-owned label quickly became an empire, producing 110 top 10 hits between 1961 and 1971. Artists including Marvin Gaye, The Supremes, Stevie Wonder, Smokey Robinson, The Jackson Five, Martha and the Vandellas, and The Four Tops achieved crossover success with both Black and white audiences — helping knock down racial barriers within the music industry.

A key part of Motown's success was its investment in its artists.

"Motown as a record label was unique at the time because it had an artist development department," Schultz said. "And so they trained artists in choreography, music theory, vocal harmony."

Motown Museum
Motown Museum

Much of that early magic was created at Hitsville USA on West Grand Boulevard, Motown's birthplace and the site of Studio A.

"In that studio, Studio A, so many massive hits were recorded. 'My Girl' by The Temptations, 'My Guy' by Mary Wells, 'Ain't Too Proud to Beg' by The Temptations," Schultz said.

The Motown Museum gives visitors a chance to experience that history firsthand. Tours are currently unavailable as the museum undergoes a $75 million expansion.

In the meantime, the Psychedelic Soul exhibit at the Esther Gordy Edwards Centre for Excellence runs through Sept. 27, celebrating an era when Motown embraced new sounds and more socially conscious lyrics.

Psychedelic Soul
Psychedelic Soul

"You move from 'Ooo Baby Baby' to 'What's Going On', you move from 'Stop in the Name of Love' to 'Love's in Need of Love Today'. Very different songs, still talking about society, interpersonal relationships, but embracing the changes of the era," Schultz said.

With countless current artists sampling and covering Motown songs, Schultz said the label's legacy is far from frozen in time.

Motown Museum
Motown Museum

"It pops up over and over again, whether it's fashion, music, message, or the sound," Schultz said.

This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.