“Spotify already pays nearly 70% of every dollar it generates from music to the record labels and publishers
Sounds like the issue might be with the record labels…
I’m a small label owner and I guarantee you that it’s a red herring. they set the price of the service, and you can either upload your music on spotify, or not upload it.
compared to the market before digital platforms, where YOU set the price according to several factors, Spotify is the judge and the jury. they choose what the subscription cost is. they choose what your music is worth. they choose the amount of payout you’re gonna get. this is completely backwards! WE should be the ones, labels and artists, to tell spotify what our cost is, and THEY should be the ones setting their subscriptions on the according price for them to be able to cover all their running costs.
but they put themselves in the dominating position on the market, and contributed to the destruction of the physical market. we got left with no choice but to upload our music on their service and eat shit.
we passed from earning thousands of euro per year in physical and digital sales, to getting 100€ every three months for royalties on spotify. this is unsustainable whatever the way you look at it.
they’re the pirates, and ruined the market much more than what pirate bay ever did.
I’m curious if you know how this works for other streaming services?
Presumably there’s a market rate that users are currently willing to pay and as such an increase of pay from Spotify to artists would mean they need to increase the fee to their users. This would make them less competitive and possibly lose subscriptions.
I’ve already jumped ship from Spotify over to YouTube music for example because in my country it was a better deal.
of course it’s a better deal, Youtube Music barely pays anything. it’s even worse than Spotify, and most of their streamings come for free, which is enraging to say the least.
anyways they have two paths: they either suck the costs in and increase the subscriptions (and lose customers in the meanwhile, so they’ll earn less in order to give more money to the small artists) or they cut the share they’re giving to the majors, which is the biggest percentage of the pie. but majors will simply boycott spotify and create their own platform, just as it happened with netflix.
If your business can’t pay it’s workers (artists) fairly, your business doesn’t deserve to exist.
Not trying to glaze, but Trudeau had the same idea here in Canada, and Google and Facebook and most of the internet crucified him for it.
Tell that to American restaurants.
We have been
Free market… always look for more ethical options that still fit your music. An ideal platform would be Audius. It’s built on blockchain technology but is limited with music content. It would be the perfect way to allow artists to make a living and get rid of the record label kingpins and Spotify pimps forever!
Well that’s damning
In a letter sent to Uruguay’s Minister of Education Pablo Da Silveira, a spokesperson for Spotify said: “If the proposed reform became law in its current form, Spotify’s business in Uruguay could become unfeasible, to the detriment of Uruguayan music and its fans,” claiming that the amendment would force it to “pay twice” the amount of royalties.
Spotify currently pays out at 70%. Doubling royalties would cause them to pay out more than they make in subscription and ad revenue. This is why they’re shutting down.
70% of what?
If that’s subscription revenue in Uruguay then the business model is just not feasible, unless they up the subscription fees to adequately cover costs.
This is the risk when the revenue model doesn’t scale with th cost model.
they don’t. spotify says they’re paying 70%, but they don’t tell how they redistribute that revenue. they have under-the-table deals with the 3 majors who grabs most of that money, and leave the crumbs to everybody else.
Fuck Spotify. If you don’t want to be a 40 year old and buy albums, Deezer and Tidal pay much larger royalties than Spotify.
As a 40 year old I have no idea what you’re on about lol
Broadly speaking, people aged 40+ still sometimes buy albums, but most young people mostly just stream.
Mid 40s person here, people my age hardly ever buy albums.
40 year old here, I only buy CDs.
