Liar Liar Streams on Fire #3: Spotify Is Paying LESS per Stream as it Scales

We’ve got data.  Lots of data.  We have two different consumption surveys of college students and one of the broader population.  We’ve also got the details of 2014 digital revenues from a moderately sized independent catalogue.

While everyone else wildly speculates we’re gonna show you our data.  All this week.

This is not pie in the sky projections involving “connected refrigerators” from the VPs of digital “strategy” at your record label or distributor.   This is what is really happening.  And can we really trust these digital executives anyway?  They have been proven objectively and demonstrably wrong.  We suspect they are now  just making shit up to try to cover their asses,  (or looking for jobs at the streaming services.)

See: Who will be the first executive to lose their job over the streaming fiasco?

But I digress, here’s todays installment:

The Cynical Musician has demonstrated a flat rate streaming model of the music business essentially creates a cap on the size of the recorded music business.   The corollary to this is that as streaming services “scale” the rates will go down per spin. Our data shows that this is indeed the case.  Streaming rates per spin are falling.  This is contrary to what pro-streaming music business executives and the digital services have claimed.  Details here.

SpotifyNetMONTHLY_Charted

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