Swedish Spotify Technology, the operator of the music streaming service of the same name, has paid out $10 billion in royalties to musicians and record labels through 2024.
► Read the telegram channel “Minfina”: main financial news
According to the company's report, the size of payments has increased 10-fold compared to 2014, when royalties amounted to $1 billion. Since the launch of the service in 2008, Spotify has paid out $60 billion to copyright holders.
This is the company's first detailed report that includes specific payment amounts, MarketWatch notes.
Some musicians have previously criticized Spotify, noting that its royalties are not sufficient compensation. In particular, Taylor Swift severed ties with the company in 2014 and removed her discography from its platform because of this.
Spotify shares are up 4.2% in New York trading on Wednesday, more than doubling its market cap to $102.1 billion over the past 12 months.
Let us recall
“Minfin” wrote that in 2023, Spotify's CEO received $345 million. No artist on the platform has earned so much from their career. Artists on Spotify receive approximately $0.003 per song stream.
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