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>Are you saying big acts get more per stream? The big acts may get more per stream because of 2 factors: 1) the Spotify allocation algorithm of subscription p
by jasode 8y ago
>Are you saying big acts get more per stream?
The big acts may get more per stream because of 2 factors:
1) the Spotify allocation algorithm of subscription payments works top-down from the most popular artists' percentage of total streams instead of bottom-up from individuals' play logs. (The top comment of a previous HN thread discusses this.[1])
2) Some record labels have (had?) negotiated sweetheart deals with Spotify for different revenue share and stream payouts. So a Universal/Sony/Warner major label with a roster of desirable artists that Spotify wanted may get slightly more per stream than an unknown indie label with no leverage.
[1] https://news.ycombinator.com/item?id=9226497 https://news.ycombinator.com/item?id=9226497
- criddell 8y ago> Some record labels have (had?) sweetheart deals with Spotify That reminds me of something else I've been thinking about. The labels all have substantial equity stakes in Spotify. It feels like that could be a massive conflict of interest or maybe a collusion problem. Why should the labels push for higher streaming fees when that could hurt Spotify's stock price which would hurt the label's own balance sheets?
- skinnymuch 8y agoI thought they mostly exited by now. I know Sony and Universal sold significant amounts of their stakes.