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Major Record Labels Keep 73% of Spotify Payouts
journovampire sends this report:
New record company figures out of France suggest that artists are being paid just 68 cents from every €9.99 monthly music streaming subscription – as major labels keep hold of 73% of payouts from the likes of Spotify. They’re followed by writers/publishers with a 16% share, and then artists – mostly paid by their labels – who get 11%.
You wouldn't steal an an artist's royalties.
You wouldn't dodge taxes
You wouldn't install a rootkit on a customer's computerl
But the Record industry would.
And just to get the joke out of the way, "You wouldn't shoot a policeman. And then steal his helmet. You wouldn't go to the toilet in his helmet. And then send it to the policeman's grieving widow. And then steal it again!"
Note that the word "artist" usually refers to the autotune operator, not the singer.
It's written plain as day in the article, on the SNEP chart.
For every 9.99€ monthly subscription:
Spotify or other streaming platforms ("Plateformes") get 2.08€
Labels ("Producteurs") get 4.56€
Performers (or artists) ("Artistes interprètes") get 0.68€
Composers and writers ("Auteurs compositeurs éditeurs") get 1€
And VAT is 1.67€
Profit, pre-tax, is as follows:
Composers and writers ("Auteurs compositeurs éditeurs"): 0.6€
Performer (or artists) ("Artistes interprètes"): 0.68€
Labels ("Producteurs"): 0.26€*
Platforms: 0.1€*
*Net profit margin estimated at 5% of revenue.
But if you read the rest of the study, you'll see streaming represents 55% of digital music revenue in France in 2014 (16% total revenue for the industry).
The music industry market is tanking a bit says the study, but the royalty payouts are stable.
You'll find the full study here.
A cartel implies collusion - got any evidence of that going on?
Yup. They even named it themselves: The RIAA.