Spotify is spending big on podcasts and CFO Paul Vogel says they’re having a strong effect on user growth and retention. Spotify can forego its share of revenue to attract podcast creators, but it can’t raise music royalty rates? Something seems really off about what that says to musicians. Spotify is hoping being generous with creators will attract more total listeners to its podcast service.īut it’s hard to trust a service like Spotify, which repeatedly refuses to pay music artists more. That’s especially true in the pandemic era, when creators are increasingly turning to the internet to earn a living. So content creators could set up paid subscriptions on both Apple and Spotify for those platform’s users.īut even if everything else is the same, losing 30% of your revenue in the first year and 15% afterward is huge when Spotify takes nothing. Apple’s paid subscription service doesn’t require there to be any exclusivity. Spotify is hoping that giving creators 100% of the revenue they earn will be more attractive than Apple’s services.
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