Spotify needs to see 1 billion folks paying for streaming music, double the greater than 500 million clients who at the moment subscribe to Spotify and its opponents. In Spotify’s view, artists are fortunate to have streaming companies, “every doing its half to normalize the conduct of paying for music.”
On Tuesday, the streaming big introduced that it paid out $10 billion to the music trade in 2024, with complete contributions reaching virtually $60 billion since its founding in 2006 — 5 years after Napster ceased operation. Spotify estimates that round 10,000 artists generated not less than $10,000 per yr on the platform in 2014. “Today, properly over 10,000 artists generate over $100,000 per yr from Spotify alone,” Spotify VP David Kaefer stated within the weblog publish. “That’s a lovely factor.”
In the weblog, humbly titled “Getting the world to worth music,” Kaefer describes the pre-streaming period of music as an unique membership that made it tough for brand spanking new artists to enter the trade. “Now, you possibly can document one thing at present and have it on Spotify tomorrow,” stated Kaefer. “Everyone’s invited.”
Chris Macowski, Spotify’s international head of music communications, attributes opponents’ larger per-stream charges to “low engagement” on companies the place subscribers “hearken to much less music.” Spotify optimizes for “larger total payout,” he says.
Update, January twenty eighth: Added remark from Spotify on per-stream payout charges.
