Original article by
Paul Resnikoff Digital Music News http://www.digitalmusicnews.com/permalink/2014/09/18/streaming-services-99-problems
(1) Artists make little-to-nothing off of streaming services.
(2) Streaming services claim that artists are making money off of streaming,
which has generated massive distrust and anger among artists.
(3) As a result of (1) and (2), artists often get pissed off at streaming
services, and sometimes publish their abysmal royalties on sites like
Digital Music News.
(4) As a result of (3), streaming services counter that the leaked royalties
are miscalculated and inaccurate, which makes artists
even more pissed off.
(5) Streaming services like Spotify claim that someday in the near future,
artists will make money off of streaming services. In fact, Spotify CEO Daniel
Ek says that artists will be making a decent, living wage off of streaming in just a
(6) There is very little evidence to suggest that (5) will ever happen for
(7) Streaming services pay the labels, who typically pay nothing to
(8) Still, streaming services like Spotify claim that labels pay their artists, which everyone knows
(9) Major label artists contracts typically ensure that streaming royalties
will never, ever be paid to artists.
(10) Major label licensing partners now demand large percentages in the
streaming services they license, like Beats Music. But artists
are virtually guaranteed to make nothing off of these massive
equity payouts when an IPO or sale occurs.
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