Spotify: Difference between revisions

Line 9:

'''[[Wikipedia:Spotify|Spotify]]''' is a global music-streaming service founded in 2006 in Sweden by Daniel Ek and Martin Lorentzon. It allows users to stream music, podcasts, and other audio content via a freemium model, offering both free, ad-supported access and premium subscription services.

==~~Summary of anti~~-consumer practices==

==Anti-consumer practices==

~~===Micro Payments per Stream===~~

*Label Retained Royalties:

::Spotify pays artists between $0.003 and $0.004 per stream, requiring approximately 4 million monthly streams to earn $1,160, which is equal to a month of the U.S. minimum wage. High profile artists like Taylor Swift and Thom Yorke withdrew music in protest.

*Policy Changes Harming Indies:

::70% of Spotify’s revenue goes to rights holders (e.g., record labels), but artists receive only 11% to 16% after the labels take their cuts. For example, Universal Music kept 73% of Spotify payouts.<ref name=":1">{{Cite web |title=Criticism of Spotify |url=https://en.wikipedia.org/wiki/Criticism_of_Spotify |website=Wikipedia}}</ref><ref name=":2">{{Cite web |title=The truth about Spotify |url=https://www.honest-broker.com/p/the-ugly-truth-about-spotify-is-finally}}</ref>

::Spotify stopped paying royalties in 2023 for tracks with less than 1,000 annual streams, and diverted the approximately $40 million per year to major labels. This disproportionately impacted emerging artists.

===Fake Artists and Playlist Manipulation===

Line 27:

Line 15:

*Perfect Fit Content (PFC) Program:

::An internal initiative to seed playlists with AI generated or low cost music (''e.g., ambient, jazz. The velvet sundown'') from Swedish and English producers. These tracks replaced human artists to reduce royalty payouts.<ref name=":2" />

::An internal initiative to seed playlists with AI generated or low cost music (''e.g., ambient, jazz. The velvet sundown'') from Swedish and English producers. These tracks replaced human artists to reduce royalty payouts.<ref name=":1">{{Cite web |title=The truth about Spotify |url=https://www.honest-broker.com/p/the-ugly-truth-about-spotify-is-finally}}</ref>{{Cite web |title=Criticism of Spotify |url=https://en.wikipedia.org/wiki/Criticism_of_Spotify |website=Wikipedia}}</ref><ref name=":2">

*Fake Artist Networks:

@@ Line 9: / Line 9: @@
 '''[[Wikipedia:Spotify|Spotify]]''' is a global music-streaming service founded in 2006 in Sweden by Daniel Ek and Martin Lorentzon. It allows users to stream music, podcasts, and other audio content via a freemium model, offering both free, ad-supported access and premium subscription services.
-==Summary of anti-consumer practices==
+==Anti-consumer practices==
-===Micro Payments per Stream===
-*Label Retained Royalties:
-::Spotify pays artists between $0.003 and $0.004 per stream, requiring approximately 4 million monthly streams to earn $1,160, which is equal to a month of the  U.S. minimum wage. High profile artists like Taylor Swift and Thom Yorke withdrew music in protest.
-*Policy Changes Harming Indies:
-::70% of Spotify’s revenue goes to rights holders (e.g., record labels), but artists receive only 11% to 16% after the labels take their cuts. For example, Universal Music kept 73% of Spotify payouts.<ref name=":1">{{Cite web |title=Criticism of Spotify |url=https://en.wikipedia.org/wiki/Criticism_of_Spotify |website=Wikipedia}}</ref><ref name=":2">{{Cite web |title=The truth about Spotify |url=https://www.honest-broker.com/p/the-ugly-truth-about-spotify-is-finally}}</ref>
-::Spotify stopped paying royalties in 2023 for tracks with less than 1,000 annual streams, and diverted the approximately $40 million per year to major labels. This disproportionately impacted emerging artists.
 ===Fake Artists and Playlist Manipulation===
@@ Line 27: / Line 15: @@
 *Perfect Fit Content (PFC) Program:
-::An internal initiative to seed playlists with AI generated or low cost music (''e.g., ambient, jazz. The velvet sundown'') from Swedish and English  producers. These tracks replaced human artists to reduce royalty payouts.<ref name=":2" />
+::An internal initiative to seed playlists with AI generated or low cost music (''e.g., ambient, jazz. The velvet sundown'') from Swedish and English  producers. These tracks replaced human artists to reduce royalty payouts.<ref name=":1">{{Cite web |title=The truth about Spotify |url=https://www.honest-broker.com/p/the-ugly-truth-about-spotify-is-finally}}</ref>{{Cite web |title=Criticism of Spotify |url=https://en.wikipedia.org/wiki/Criticism_of_Spotify |website=Wikipedia}}</ref><ref name=":2">
 *Fake Artist Networks: