Two leading organisations from the UK music industry are calling for artists to receive a greater cut from Spotify and streaming royalties in the midst of the coronvirus pandemic.
The Keep Music Alive campaign has been organised by the Musicians’ Union and The Ivors Academy whom are both calling for artists to receive a greater percentage of royalties after the widespread cancellation of gigs and festivals has caused a massive void in the incomes of musicians.
The Guardian reports that the campaign aims to highlight their predicament to politicians, streaming platforms and record companies across the UK.
In a launch statement, they explain:
“This crisis has brought into sharp relief the fact that creators and performers are sustained primarily by the live side of the music business and that streaming royalties are woefully insufficient.”
Currently, it’s estimated that Spotify plays an average of £0.0028 per stream to “rights holders”.
Similarly, a campaign called Broken Record which was organised by Gomez’ Tom Gray. Gray is a director of the Performing Rights Society, an organisation that oversees payment received by musicians from radio stations and music played in public places.
On May 24th 2020, Gray is going to host a series of listening parties to raise money.
Earlier The Verge reported that Apple has asked music labels to take a smaller percentage of revenue which it comes to streaming music.
“The record labels’ deals with Apple expire at the end of June, though they are likely to be extended if the parties can’t agree on new terms by then, said the people, who asked not to be identified discussing private information.
The negotiations would bring Apple closer to the rate Spotify Ltd. pays labels, and allow both sides to adjust to the new realities of the music industry. Streaming services have been a source of renewed hope following a decade of decline in the digital age.”
It seems that they’re wanting more money with this side business the music takes from them so Apple can earn more money. (But this can be seen as them trying to get money back from the highly critical reviews of their touch bar on the Macbook Pro’s). It seems like Apple’s trying to steal what little they’re paying out to labels and in turn the artist’s that are being played from what’s being licensed to on Apple music. But would this soon mean a higher paying rate for the subscription on the consumers part? I hope not.