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Is Streaming Threatening the Future of Music?

JUSTICE AT SPOTIFY: Streaming services told ‘to sort themselves out’ before everything we once knew about music is lost.

“Unfortunately, it’s not possible and it’s not logical that [live income] would be instantly replaced by the money that they make from their recordings.”

Yes, we’re on that subject again. Streaming. In another moment of doom and gloom, the problem of music streaming has been raised as a red flag and even brought into Parliament as an inquiry to sort out.

With no income from live sector, attention is being turned at a far irate pace than usual to streaming and how its system is worked out.

Key points to take into consideration is;


Right now, musicians are simply not earning enough from streaming services like Spotify and Apple Music to keep their heads above long enough to survive. The revenue splits is something ridiculous to 0.01 pence to the penny or something. In recent news, it seems that the amount that is being paid out to rights-holders from every closer $100 is closer to $62.50. “This means streaming companies are keeping around 37.5% … to deliver music they didn’t create.” Which is simply not on in order to keep music alive.


“Streaming is not perfect yet” – David Joseph, label executive



With the rate in dire straits to sort, many users, consumers and industry specialists are looking at the system itself.

The option for change is apparent and they have opted for a user-centric payment system. This way, if you listen to Arlo Parks for a month, your entire monthly subscription would be sent directly to her and other artists, rather than it being diluted tremendously to suit the mainstream artists’ pay-out.

Unfortunately, this should go the same for royalty payments via music being played in businesses and the radio. It’s the same case for that. Despite someone paying for a licence strictly for their metal music in their gothic-style pub, their licence payment will simply be split up and divided for all the members who are also covered under the same umbrella – despite them not playing any Ed Sheeran of the sort!


“I would love to have a service that wasn’t based on the algorithm. I think it favours certain types of music,” he told MPs.” – David Joseph, label executive


However, with everything – there is two sides to a story.

The BPI – those who speak on behalf of the recorded music industry, cited that streaming actually benefits the artists and their pay rate. I know right? I couldn’t believe it, either.

They documented that 1,800 artists had achieved more than 10 million streams in the UK during 2020, the equivalent of selling 20,000 CDs. Based on per-stream averages then, that would mean that those artists earned £29,400 last year from streams in the UK alone. Now, it did not actually say how these were distributed or if this actually reflected what they received, but still.

It also argued their point of mainstream artists and how they are paid. The top artists only accounted for 5% of all music streamed last year, but when CDs were a major thing, the top 10 artists were responsible for more – 13% to be exact. Surely, that is something?

Either way, artists simply do not enough – and especially now, where live is pretty much relied upon to keep their figures in the black, they need more support and they’re simply not getting it. What do you think – who’s in the right – and who’s in the wrong?

Read more HERE

Keen to help out? Click the link above.

Intrigued in the magic of streaming? Be sure to check out this story in the Evolution and Impact of Music Streaming by Got a Million Rhymes:

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By manvmusic

In one of the most controversial, ever-changing and unpredictable industries, join my rants and ravings as I dissect the music industry word by word through technology, current events, industry stories and problems.

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