Music Business

Apple Jabs At Spotify, YouTube With Proposal That Would Pay Songwriters Just $910 Per 1 Million Streams

Apple $The amount that songwriters are paid for streaming is diluted by the hundreds of millions of streams on ad-supported music services like Spotify free and YouTube.  Apple has filed a proposal that would change that, and unsurprisingly also strengthen its own hand in its battle against its rivals.

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Apple filed a proposal with the Copyright Royalty Board on Friday that would simplify the streaming royalties paid to songwriters. In a direct jab at free ad supported services like Spotify and YouTube, Apple proposed a flat rate of $0.00091 for each stream, whether is happened on a free or an ad supported services.  Currently, most music streamers pay songwriter's a percentage of total revenue from ads and subscriptions. 

That's an effective rate of $910 per one million streams.

Apple - Spotify“An interactive stream has an inherent value regardless of the business model a service provider chooses,” said Apple in irs proposal.  Currently, music streamers pay songwriter's a percentage of total revenue from ads and subscriptions.

A spokeswoman for Apple confirmed the filing, but declined to comment.  Apple’s proposal came as part of the US Copyright Royalty Board's effort to set statutory rates for downloads and interactive streaming from 2018 to 2022, according to the New York Times.  

Spotify, Google, the RIAA and other industry players were expected to file their opinions by Friday's deadline, but they have not yet been made public.  

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1 Comment

  1. What are the current statutory rates for downloads and interactive streaming for songwriters? That information is incredibly difficult to find.

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