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> If all you wanted was a streaming platform that didn't have all these major artists on it, it could be provided for much less than £15. This sounds like econ
by FartyMcFarter 6y ago
> If all you wanted was a streaming platform that didn't have all these major artists on it, it could be provided for much less than £15.
This sounds like economies of scale but backwards, which makes me suspicious of this claim.
- avian 6y ago"economy of scale but backwards" describes the whole content industry, doesn't it? At your local shop you will typically pay more for a hit album CD with millions of copies made compared to an indie release with maybe 100 copies made.
- WJW 6y agoThe economies of scale for Spotify reduce the cost of their technology as measured in dollars per user, but since the majority of their costs are in artist payments the tech costs don't matter as much.
- westwing 6y agoIt's more complicated than that. If economics of scale applied to music pricing, why do records cost all more or less the same? A small act can't support itself from licensing fees alone either way, it would make sense to settle for less, or waive fees entirely, just to increase exposure.