Feeds

Spotify coining it at home in Sweden: But are artists getting any?

Counting out the royalties with sticky fingers

Boost IT visibility and business value

New figures from the Swedish music market suggest that streaming services are good for music. Revenue from streaming services grew 79 per cent in the first half of the year, making up for declines in CD sales and digital downloads, according to local trade body GLF. Spotify launched in Sweden first, in 2008.

CD sales were barely down at all - with just a one per cent decline - and although streaming services ate into a la carte downloads the overall revenue increased by an impressive 30 per cent.

Major record labels, particularly Universal Music, can be relied on to big up Spotify, since they are major investors and equity holders in the service. But have the labels undervalued the music they provide to it? The deals were struck when the industry was desperate to compete with 'free'. Musicians say the chickenfeed royalties they receive from Spotify mean that the label bosses have sold out too cheaply.

Cellist and composer Zoë Keating recently published her Spotify revenues on a public spreadsheet. While she commends it as an "awesome" listening platform, she earned just $281.87 from 72,000 plays, or around three-tenths of a cent per play. For comparison, for a five month period she earned $46,477 from iTunes downloads.

She also noted that Spotify pays indie label artists much less than artists on major labels. Her analysis is well worth a look.

"Spotify’s CEO is the 10th richest man in the UK music industry ahead of all but one artist on his service," guitarist David Lowery pointed out recently. ®

The Essential Guide to IT Transformation

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Sonos AXES support for Apple's iOS4 and 5
Want to use your iThing? You can't - it's too old
Stick a 4K in them: Super high-res TVs are DONE
4,000 pixels is niche now... Don't say we didn't warn you
Philip K Dick 'Nazi alternate reality' story to be made into TV series
Amazon Studios, Ridley Scott firm to produce The Man in the High Castle
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
Too many IT conferences to cover? MICROSOFT to the RESCUE!
Yet more word of cuts emerges from Redmond
Joe Average isn't worth $10 a year to Mark Zuckerberg
The Social Network deflates the PC resurgence with mobile-only usage prediction
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.