Nowadays, most of users listen to music in streaming, the most popular service is Spotify, but there are alternatives such as Apple Music, Google Play Music/ YouTube Music, Deezer, Tidal, etc likewise, there are platforms that allow you to listen to music for free and others that you have to pay month-to-month in order to get access to its catalog.
And that is the fact that some platforms do not provide a free service is because that sometimes leads to losses to the companies, as is the case of Spotify, for although the users do not pay a single penny, the company must pay to the artists for each reproduction in the platform, that yes, not all artists earn the same, and not only because the profits depend on the reproductions, but because they are not paid the same to all the musicians that are on the platform.
Here also much depends on the discography to which each artist belongs, because on the one hand we have the monsters record companies as Warner Music, Universal Music, Sony Music, etc, And on the other hand, there are artists with independent labels that will always have less coverage and scope in comparison with the major labels, but that also can receive a higher percentage of profits.
According to the latest data disclosed this year for the Information is Beatiful, the platform that less money paid to artists is YouTube, while the largest amount of money offered is Napster, however, YouTube is the platform with the most monthly users in the world, a situation that could allow an artist to earn more money in the Google platform, which in Napster, Tidal or even Apple Music and Spotify.
- YouTube. Represent 0,0007 $ / 1000 million users.
- Pandora. 0,0013 $ 81 million users.
- Amazon. 0,0040 $ / 20 million users.
- Spotify. 0,0044 $ / 159 million users.
- Deezer. 0,0064 dollars / 16 million users worldwide.
- The Google Play Music. 0,0068 usd / 10 million users.
- Apple Music. 0,0074 dollars / 36 million users.
- Tidal. 0,0125 usd 4 million users.
- Napster. 0,0190 $ / 5 million users.
This is on average what they pay each company an artist for reproduction, however, take into account that each company reaches an agreement with artists and record labels more and more important to adjust payments for the reproduction of the users, because as I mentioned above, you will not earn the same as a independent artist, a mexican international band like Metallica, and I don’t mean to profit by volume, but the payment for reproduction, although this is a piece of data that only have the companies involved in the negotiation, even many artists are unaware of how much they pay for reproduction, as it is a deal that will make the record companies directly.
Additional to this, we estimate other fees depending on if the user is a free or paid (in the case of Spotify and now YouTube Music), in addition to that there is also a price to pay differently if the user has the music stored on your device, however, these data are not in the public domain.
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