Stolen Transmission has split from their backers Island Records due to restructuring at the major label. Label co–head Sarah Lewitinn commented on her blog:
Stolen Transmission started IN MY BEDROOM as an indie label putting out hand made cds of bands that me and Rob Stevenson believed in. We werent funded back then, and we were really happy. We did everything because of how much we loved music. Now that I've had my experience with Island/Def Jam, I know how to actually do what's necessary to release an album and develop artists, and I helped set up 9 amazing releases from Permanent ME, the Oohlas, Monty Are I, Bright Light Fever, the Horrors, Schoolyard Heroes, PlayRadioPlay!, Innerpartysystem, and the Photo Atlas. I'm so fucking proud that the label went from me and a bunch of interns sitting in my bedroom smoking and watching degrassi and eating guac i had just made to me sitting in meetings once a week with JayZ and now it'll just go back to being run from my apartment again. We plan on continuing with Stolen Transmission and are really excited to be returning to our indie roots.

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So it's business as usual here! we're just working from a different location. we're still working all the bands we released (no bands we were working with had anything unreleased –– cept for innerpartysystem who are still in the studio and will remain there til they're done). We're still doing everything the same as before, for the most part. this is actually an incredibly liberating and exciting thing and i can't explain how happy i am. we're still supporting our bands because we've made a commitment to them and we love them.
The now–independent label was formed by Rob Stevenson, an A&R executive responsible for the careers of Thrice, the Killers, Fall Out Boy and Sum 41, and co–run by Sarah Lewitinn, a former writer for Spin magazine, a VH1 TV personality and online blogger.