MUSIC STREAMING SERVICE Spotify has responded to criticism of the royalty amounts it pays to music artists.
Music industry figures including Radiohead lead singer Thom Yorke have long called for fellow artists to boycott the Swedish music streaming service, which Yorke described as "the last desperate fart of a dying corpse".
In launching the new Spotify For Artists website, Spotify has been proud to boast that it has paid out more than $1bn, over half of which it has paid in the past year. However, digging deeper the truth emerges that this equates to between $0.006 and $0.008 per play.
That's fine if you're Lady Gaga or Beyonce, but for musicians at the grassroots level this represents a massive hole in their finances. Or to put it in perspective, it would require a five piece band to be played 5,477 times just to be able to buy themselves a round of drinks. For a new, untested and undiscovered artist, that simply isn't enough to get by.
A play on the BBC's alternative radio station 6 Music nets an artist approximately five pence. Not a king's ransom, but a huge amount compared to Spotify's rates. In contrast, Bandcamp, the service designed to allow artists to self release their music, lets artists set their own prices for music, or even leaves it up to consumers to pay what they believe the work is worth.
This is the way that the internet is supposed to empower artists. The internet has made it possible for anyone to be a star, or at least make a living from their music, if they are good enough.
But accepting the payment of these tiny amounts of money is actually far worse for the industry than so-called 'piracy', because copyright infringement will always be considered wrong, while streaming for fractions of pennies normalises the practice of underpaying for creative talent and creates the kinds of gatekeepers that have made the giant music industry companies such a cartel. A cartel that is starting to implode. µ
Plus the cost of ambition as moonshots eat into the coffers
Spoiler alert: it's probably VeriSign
Did we say cuts off? We meant traps them inside their own home