Spotify to Pay Songwriters About $150 Million Less Next Year With Premium, Duo, Family Plan Changes
www.billboard.com
Spotify will potentially pay songwriters about $150 million less in U.S. mechanical royalties next year after bundling its plans with audiobooks.

When Bloomberg reported that Spotify would be upping the cost of its premium subscription from $9.99 to $10.99, and including 15 hours of audiobooks per month in the U.S., the change sounded like a win for songwriters and publishers. Higher subscription prices typically equate to a bump in U.S. mechanical royalties — but not this time.

By adding audiobooks into Spotify’s premium tier, the streaming service now claims it qualifies to pay a discounted “bundle” rate to songwriters for premium streams, given Spotify now has to pay licensing for both books and music from the same price tag — which will only be a dollar higher than when music was the only premium offering. Additionally, Spotify will reclassify its duo and family subscription plans as bundles as well.

  • UnderpantsWeevil@lemmy.worldEnglish
    51·
    7 months ago

    Spotify is a great service for the consumer. One reasonable monthly fee for most of the music in the world.

    Plus ads.

    instead of a “different Spotify per music publisher”.

    I was perfectly happy with Napster, before it got blown up.

    As it stands, I’ve been leaning on SoundCloud and Bandcamp when I’m hunting for something indie and pirating or going vinyl for anything mainstream.

    Spotify’s model is doomed to fail over time. Far better to own the media than stream it.

    • redfellow@sopuli.xyzEnglish
      31·
      7 months ago

      Not sure about the ads? If you mean when the app notifies you about live gigs etc. then yeah, that’s shittification. Luckily it doesn’t happen on my desk or car, but I wish it didn’t sometimes appear on my phone. That’s the one thing that might push me to add music to my video streaming arr stack.

      • UnderpantsWeevil@lemmy.worldEnglish
        62·
        7 months ago

        Certain content (podcasts, most notably) insert ads into the feed above and beyond what Spotify Premium ostensibly removes. There’s also Spotify’s persistent need to blow up your phone with notifications and bloat your in-app screen, but at least some of that you can silence manually.

        My wife has Spotify and she’s noticed the increased pressure to be always-online, as well. We were on a flight, and she’s got her take-off chill music, when she discovered putting the phone in airplane mood before starting up the app caused a bunch of bugs in her selection screen. Which - in the middle of a take-off that she did not enjoy - fucking sucked.

        The service is definitely getting worse over time. And when you can keep an enormous library of music locally, the service becomes harder and harder to justify imho.

        I’m perfectly happen to send $30/mo to Patreon for a few of my favorite artists. $12/mo for Spotify just feels like money down a well.

        • redfellow@sopuli.xyzEnglish
          4·
          7 months ago

          I’m not familiar with the free tier, but if you don’t pay anything, I think ads are fine.

          Paying and seeing ads is wrong on the other hand.

    • Sylvartas@lemmy.worldEnglish
      2·
      7 months ago

      Spotify’s model is doomed to fail over time.

      This right here. At the very least, unless they are not beholden to shareholders, it will eventually reach market saturation and will have to cut artists’ share, hike prices up, or add more paywalls to keep the line going up