Spotify to Pay Songwriters About $150 Million Less Next Year With Premium, Duo, Family Plan Changes
www.billboard.com
Spotify will potentially pay songwriters about $150 million less in U.S. mechanical royalties next year after bundling its plans with audiobooks.

When Bloomberg reported that Spotify would be upping the cost of its premium subscription from $9.99 to $10.99, and including 15 hours of audiobooks per month in the U.S., the change sounded like a win for songwriters and publishers. Higher subscription prices typically equate to a bump in U.S. mechanical royalties — but not this time.

By adding audiobooks into Spotify’s premium tier, the streaming service now claims it qualifies to pay a discounted “bundle” rate to songwriters for premium streams, given Spotify now has to pay licensing for both books and music from the same price tag — which will only be a dollar higher than when music was the only premium offering. Additionally, Spotify will reclassify its duo and family subscription plans as bundles as well.

        • Spider89English
          38·
          5 months ago

          I assume professinol music that’s good. Not amuture sounding music.

      • sgtgigEnglish
        40·
        5 months ago

        Unironically iTunes

      • unreasonabroEnglish
        30·
        5 months ago5 months ago

        high end artists don’t need your money, they’re funded already and corporate productions in the first place. So i guess you’re in the clear! ;)