Streaming Music Revenue Passes Downloads At Warner Music Group For 1st Time
It's generally accepted that streaming is how the majority of music will be consumed in the near future; and for the first time ever at a major label, income from streaming music has surpassed revenue from downloads.
During an earnings call yesterday, Warner Music Group shared that revenue from streaming music has exceeded income from downloads. Though some independent record labels have been reporting the trend for more the a year, it's a first for a major label group.
Overall recorded music revenues rose 5% to $564 million including $274 million in digital income.
During the call WMG CEO Stephen Cooper said that he, like other label execs, was working with Spotify and other streaming music services to increase paid adoption "through modifications of service offerings and more sophisticated approaches to the consumer market.”
But Cooper also cautioned against those who are calling for an end to streaming. Calling piracy "zero revenue," he called for caution "before freemium is burned at the stake."