4 ms·
I would rather pay slightly more per month (let's say $12 USD rather than the current $10) than pay the artists less, even if the effect is relatively small due
by yladiz 10y ago
I would rather pay slightly more per month (let's say $12 USD rather than the current $10) than pay the artists less, even if the effect is relatively small due to the labels taking so much cut out of the payout.
But in any case, I do believe that the way Spotify will be able to have real leverage is for it to start being their own label, not just getting exclusive content. I feel like it would be cheaper to just bring on either independent artists or artists that are kind of not "into" traditional labels but are popular, rather than pay for exclusive content since it is probably less work but more expensive to do the latter, while the former would take a by of work but cheaper in the long run. It's subscriber base being so large may be a bargaining chip but I would guess that a lot of its current subscribers would move to other services were it to shut down, so it can't be that big? Sheer volume in a market with competitors that would be basically the same but with a different UI and maybe some different content can't count for that much can it?
- mtgx 10y agoI'm not a Spotify user, so I will assume they don't already have what I'm going to propose. But I think it would be in Spotify's interest if it started focusing more in indie artists, and maybe even offer a special plan for "indie music", which would promote indie music, and may even give those artists more money because there would be much less indie music to listen to, and because there would be no corporate labels to take their large cuts. The more indies Spotify gets, the more it can tell labels to go screw themselves if they don't want to take a deal, in the future. Alternatively, Spotify could also try to do what Netflix is doing with shows and movies and start funding indies through their own label.
- dilemma 10y agoYes. They should buy Soundcloud and set up a semi-automated publishing system for that pipeline. That's a new generation of artists that the corporate labels have no way of reaching, generally. Some of that IP will be enormously valuable, like seed equity.
- wcummings 10y agoTheir contracts with major labels could preclude them being a label themselves.