Spotify & Co. make advance payments to the labels to be allowed to use their music catalogues. These advance payments are then recouped with the streaming revenues. However, if the revenue is less than the advance, the difference remains with the labels as “breakage”. If a streaming service pays a label US $1 million as an advance for the contract period, but the label’s catalogue is only streamed to the value of US $750,000, then the label has US $250,000 in additional revenue that does not have to be distributed to the artists.
Nevertheless, Spotify makes more profit than any music label, even more than all the remaining music labels combined. This is how it works today: music, literature, journalism, and art no longer exist according to this logic - only content. And as disrespectful as the term sounds, that’s how it’s paid for - with scrabs because that’s the business model.
Your pirate approach is no longer up to date, because it is no longer directed against large corporations, but robs artists of the little they have left. This will only accelerate the trend: no one will try to make a living from art anymore. If you think that people will do it anyway because they want to express themselves, I think you are absolutely wrong.
It’s not accelerating the trend one bit by opening it to everyone. Music labels and Spotify don’t plan on putting a stop to AI, they want to own it. The artists lost decades ago and siding with copyright juggernauts doesn’t help anyone but the copyright juggernauts.
Market cap and profits are different metrics. At the end of the day major labels dictate streaming services policies . Considering that they own 80% of all music
The major labels are still the biggest evil
https://musicbusinessresearch.wordpress.com/2024/10/14/the-music-streaming-economy-part-18-breakage-in-the-digital-age/?hl=en-US#%3A~%3Atext=It+is+revenue+that+cannot%2C5]
Nevertheless, Spotify makes more profit than any music label, even more than all the remaining music labels combined. This is how it works today: music, literature, journalism, and art no longer exist according to this logic - only content. And as disrespectful as the term sounds, that’s how it’s paid for - with scrabs because that’s the business model.
Your pirate approach is no longer up to date, because it is no longer directed against large corporations, but robs artists of the little they have left. This will only accelerate the trend: no one will try to make a living from art anymore. If you think that people will do it anyway because they want to express themselves, I think you are absolutely wrong.
It’s not accelerating the trend one bit by opening it to everyone. Music labels and Spotify don’t plan on putting a stop to AI, they want to own it. The artists lost decades ago and siding with copyright juggernauts doesn’t help anyone but the copyright juggernauts.
It makes more profits but not revenus
How Spotify’s $109 Billion Market Cap Stacks Up Against Other Music and Entertainment Companies
Market cap and profits are different metrics. At the end of the day major labels dictate streaming services policies . Considering that they own 80% of all music
Making a Scene Presents How Universal Music Group and Spotify Rewrote the Rules—At the Expense of Indie Artists