Apple Music Tops Spotify With One Cent Paid Per Stream
In a letter slated to be shared with artists today through the Apple Music for Artists dashboard, obtained by The Wall Street Journal, Apple has reportedly revealed that it pays music rights holders one cent per song streamed on Apple Music.
The report claims that Apple Music's payment structure is thus roughly double what Spotify pays music rights holders per stream, which averages to about one-third to one-half penny per stream, although the report cites music industry experts who say that Apple Music's payments can dip lower. Apple Music's payments come directly from the service's subscription-based revenue from customers, the report adds.
In the letter, Apple says it pays 52% of subscription revenue, or 52 cents of every dollar, to record labels and other music rights holders, according to the report. These music rights holders in turn pay artists based on their recording, publishing, and distribution agreements, so artists might not receive the entire cent per stream.
"As the discussion about streaming royalties continues, we believe it is important to share our values," Apple said in the letter, the report says. "We believe in paying every creator the same rate, that a play has a value, and that creators should never have to pay" for their music to be featured in prominent sections of the Apple Music app.
Spotify has significantly more users than Apple Music worldwide, with 155 million paying subscribers and 345 million total users as of the end of 2020. Apple Music's last known subscriber count is around 60 million, including those on a free trial, but Apple has not provided an updated figure in nearly two years now.
Popular Stories
The iPhone is Apple's top-selling product, and it gets an update every year. In 2024, we're expecting the iPhone 16 and iPhone 16 Pro lineup, with an arguably more interesting feature set than we got with the iPhone 15 and iPhone 15 Pro. Subscribe to the MacRumors YouTube channel for more videos. Capture Button All four iPhone 16 models are set to get a whole new button, which will be...
Apple is widely expected to release new iPad Air and OLED iPad Pro models in the next few weeks. According to new rumors coming out of Asia, the company will announce its new iPads on Tuesday, March 26. Chinese leaker Instant Digital on Weibo this morning 日发布%23">claimed that the date will see some sort of announcement from Apple related to new iPads, but stopped short of calling it an...
Apple suppliers will begin production of two new fourth-generation AirPods models in May, according to Bloomberg's Mark Gurman. Based on this production timeframe, he expects the headphones to be released in September or October. Gurman expects both fourth-generation AirPods models to feature a new design with better fit, improved sound quality, and an updated charging case with a USB-C...
Resale value trends suggest the iPhone SE 4 may not hold its value as well as Apple's flagship models, according to SellCell. According to the report, Apple's iPhone SE models have historically depreciated much more rapidly than the company's more premium offerings. The third-generation iPhone SE, which launched in March 2022, experienced a significant drop in resale value, losing 42.6%...
iOS 17.4.1 and iPadOS 17.4.1 should be released within the next few days, with a build number of 21E235, according to a source with a proven track record. MacRumors previously reported that Apple was internally testing iOS 17.4.1. As a minor update for the iPhone, it will likely address software bugs and/or security vulnerabilities. It is unclear if the update will include any other changes. ...
Apple's new iPad Pro models with OLED displays will likely begin shipping to customers in April, according to information shared today by Ross Young, CEO of display industry research firm Display Supply Chain Consultants. Bloomberg's Mark Gurman also said the new iPad Pro models might not ship until "deeper" into April in his Power On newsletter on Sunday:I've repeatedly said that new...
MacRumors was first to report that Apple was planning to rebrand "Apple ID" to "Apple Account" across its software platforms and websites like iCloud.com as early as this year, and now Bloomberg's Mark Gurman has corroborated this change. A mockup of the new Apple Account branding In his Power On newsletter today, Gurman said the new "Apple Account" branding will start to be used later this...
Top Rated Comments
So that is $1.50 on a $15 Album
I am sure that I am not the only one that randomly finds an interesting song (maybe heard it on tv etc.) by someone I don't even know, starts listening to it, then listens to more songs by the same artist and then just moves to similar artists for a while.
Some of the artists are multi millionaires and to them the "delayed" payment is a non issue , for the smaller artists I believe streaming service is a blessing as more ppl listen to more music then ever , so greater chance to break out and make it big.