Spotify Says It Paid Out $10B to the Music Industry in 2024

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As the Grammy Awards approach, Spotify aims to underscore its leading role in the current musical revolution.

On Tuesday, the leading audio streaming company announced that it doled out a historic $10 billion to the music industry in 2024. Since its establishment a decade prior, it has distributed a total of $60 billion.

In a blog post, Spotify’s VP of music business, David Kaefer, explained that for many people, the numbers might not stick in their minds. They may wonder why Spotify emphasizes these figures so much. The reason is that our joint system is functioning effectively, and what we have achieved so far is merely a starting point. Currently, there are over 500 million paying subscribers across all music streaming platforms. Setting a goal of reaching 1 billion paying listeners globally is achievable, and it’s something we should strive for together.

In 2014, the worldwide music industry’s total recorded earnings amounted to $13 billion. A significant portion of this turnaround can be attributed to platforms like Spotify, Apple, and YouTube.

Nevertheless, the company has received backlash regarding artist payments, as many lower-tier artists often voice dissatisfaction with their remuneration. However, in a recent blog post, Kaefer defended the company’s stance on this matter.

As a gamer, I’d rephrase it like this: “Back in 2014, roughly 10,000 musicians were earning $10,000 or more annually on Spotify. Fast forward to today, and that number has significantly grown, with over 10,000 artists now making six figures from Spotify alone. It’s a truly inspiring sight.

Our aim is to assist artists in showcasing their work to both current and new admirers, constantly advance their interests, and present it in a manner that encourages people to purchase it,” he went on. “By bringing people on board with paid streaming, we’ve seen our payouts grow significantly—up to ten times—over the last ten years.

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2025-01-28 21:55