Tidal Royalties No Better Than Spotify

[manicm]

Well as I live on a state pension I couldn't really earn less than I receive currently! So please keep your offensive personal remarks to yourself... this discussion is about the rewards available to artists who decide to try and make a career in the music industry.

Offensive? Hahahahah nice one.

 

[manicm]

You ever buy s/h physical media and feel bad that you have not contributed personally to the artist?

No, but streaming is a completely new and insinuous model in that there's no transparency to the royalties handed out. Not the ratio of label to artist anyway.

 

[RoA]

No, but streaming is a completely new and insinuous model in that there's no transparency to the royalties handed out. Not the ratio of label to artist anyway.

So you have inside knowledge as to what deals artists have made with their labels outside of streaming?

 

[manicm]

So you have inside knowledge as to what deals artists have made with their labels outside of streaming?

Well nobody's saying anything, and I'm more concerned about lesser known artists.

 

[Tinman1952]

No, but streaming is a completely new and insinuous model in that there's no transparency to the royalties handed out. Not the ratio of label to artist anyway.

I think you mean 'insidious'.....

 

[DCarmi]

Why was the owner of Spotify thinking of buying a premier league football club not long ago if he's not earning any money ?

There is a difference between company profit and CEO remuneration. Companies will often flog shares on the prospect of future profit and can make a killing. Basically hedge funds, pension companies and the like will bet on a company being successful, at least for a while. Usually companies with what is called First Mover Advantage (Spotify in this case) are the best bet.

This does mean that Spotify need to keep buying infrastructure, "stock" (e.g. Podcasts etc) and employing good staff to ensure their service is better appreciated than the competitors. This costs a load of dosh. Not least the licences paid to the labels.

Spotify's biggest risk are companies like Apple, Amazon a d Google who can afford to run these competitor services at a loss because they have other strings to their bow. Spotify is pretty much a one product company. If their product fails, the company fails. I would not be surprised if Apple and Amazon were paying less in licence fees than Spotify.

Netflix would be another company with similar problems to Spotify. How to expand the company to compete with the likes of Amazon, Apple and Disney who are awash with spare cash? You can put you prices up, like Netflix and hope that people don't leave.

Besides if Bezos really wanted a football team, the cost of buying it to him would be like us thinking of buying a bag of sweets!

 

[manicm]

There is a difference between company profit and CEO remuneration. Companies will often flog shares on the prospect of future profit and can make a killing. Basically hedge funds, pension companies and the like will bet on a company being successful, at least for a while. Usually companies with what is called First Mover Advantage (Spotify in this case) are the best bet.

This does mean that Spotify need to keep buying infrastructure, "stock" (e.g. Podcasts etc) and employing good staff to ensure their service is better appreciated than the competitors. This costs a load of dosh. Not least the licences paid to the labels.

Spotify's biggest risk are companies like Apple, Amazon a d Google who can afford to run these competitor services at a loss because they have other strings to their bow. Spotify is pretty much a one product company. If their product fails, the company fails. I would not be surprised if Apple and Amazon were paying less in licence fees than Spotify.

Netflix would be another company with similar problems to Spotify. How to expand the company to compete with the likes of Amazon, Apple and Disney who are awash with spare cash? You can put you prices up, like Netflix and hope that people don't leave.

Besides if Bezos really wanted a football team, the cost of buying it to him would be like us thinking of buying a bag of sweets!

With no free tier I doubt Apple Music is running at a loss, and if they are it won't be for long. And with their high audio quality offerings they're certainly bullish.