The cost of music

Time magazine (it’s a famous mag you may have heard of) notes that Radiohead’s Thom Yorke is pulling some of his music from Spotify. Essentially he feels he’s getting gyp’d by the streaming service (as many do.) This section in the article caught my eye.

Reports from acts like Damon Krukowski of Damon and Naomi, folk artist Erin McKeown and cellist Zoe Keating indicate that independent acts make around half a cent per song stream on Spotify. That’s a pittance compared with the 7¢ to 10¢ an artist can expect to earn from a song download on iTunes and even further removed from what artists earn from physical CD sales.

However, that’s a something of an apples to oranges comparison. A single stream on Spotify covers a single listen whereas if you download a song you can listen as often as you want. Crunching the numbers here and it seems 20+ listens of a download would actually mean the artist is getting paid less than they would were the listener launching Spotify for each listen.

Of course, it’s worth pointing out that downloads on iTunes do not cost 7-10¢ – they’re generally around a dollar. So where is the rest of the money going? According to this the label gets the big cut, Apple gets a about a third and the rest goes to the artist.

Without getting into a debate about the fairness of these numbers, I can’t see how this can be a sustainable model to encourage the creation of music. I think right now there are still a lot of people creating music because of the “glamour” associated with it (myself included.) But if musicians are eventually understood to be idiots doing a lot of hard work for nothing, that glamour will fade.

As a side point here: I actually dug up some of Radiohead’s music on Spotify last night. (The band’s music is still there; Yorke only pulled some solo and side band material.) I’ve never really dug them despite the fact that many herald them as the Jesus Christ of music. I listened to some selections from their “OK, Computer” album and… it wasn’t bad. Not the greatest thing ever, but certainly something I’d listen to again.

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