Created by Bill Laswell in 1989 for the promotion of his own, most "crucial" (to his point of view) projects. Axiom was a subdivision of Island Records (and of Polygram) but had always the advantage of a complete artistic freedom, because of the friendship between Bill Laswell and Chris Blackwell (boss of Island).

"Nothing is true - everything is permitted" was Axiom's motto.

Blackwell, who had sold Island to Polygram in 1989 (but stayed on as head of the label) either resigned or was fired in 1997 (depending on who you listen to), just prior to Islands sale to the Universal Music Group. Axiom was closed (it was not enough commercially interesting and too much "experimental" for Universal), even if more than 20 records had been released and that some of them sold well (Praxis) or had been highly awarded (Sonny Sharrock, Henry Threadgill) by jazz magazines.

Bill Laswell followed Chris Blackwell to Blackwell's new label, Palm Pictures, The Axiom label was revived under Palm for a handful of releases. With Blackwell's desire to move away from music and more into the motion picture realm, Axiom has effectively shuttered operations.

Attempts to buy the back catalog from Island/Universal have so far yielded no results.

As of 2011, Laswell started a new label with Giacomo Bruzzo of RareNoise Records called MOD Technologies. The intent of the label is to be somewhat of a successor to Axiom in intent and overall ethos.