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At first I was thinking "$4 for 14k plays sounds pretty good!", but then I did a little math.

If I listen to a streaming service for 10 hours a week (seems like a plausible average?), that's about 800 songs per month. So I'm probably paying in the range of a penny per song listened to. If I played 14k songs, that's $140. So only 3% is going to the artist[1], which does actually seem fairly low.

To put it another way, he's making the same amount of my subscription as the credit card company is.

1 - We have no idea how much he's previously been paid via advances, etc.



Spotify claims that they pay 70% of their revenue: http://www.spotifyartists.com/spotify-explained/#how-we-pay-...


My initial thought is the amount going to artists with volume like The Rolling Stones, and Bieber (or whatever the kids are clamoring for these days) must command a much higher rate per listen presumably shifting the total percent going to artists to be much higher than that.


Regular radio does this. There is a bonus if your music reaches a certain level. At 25,000 performances, it is 1.5x the base rate and goes up to 4x.


There isn't very much variation in the royalty rate for artists on Spotify.


His $4 number is misleading. You have to look at both his BMI and SoundExchange statements. The webcasting Pureplay rate was $0.0021 per play for 2013. 14227 plays is about $30.




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