Why Spotify Struggles to Make Money from Music Streaming
open.substack.com
Despite being the king of music streaming, Spotify is struggling financially, but why?
  • wolfshadowheart@slrpnk.netEnglish
    56·
    11 months ago

    I didn’t mention servers because that is their only cost next to employees.

    If they aren’t paying artists well, well what’s the point of having servers.

    Maybe can we not pretend like Spotify is some up and coming startup that barely breaks even because of their benevolence?

    • Rendh@lemmy.worldEnglish
      41·
      11 months ago

      Because apparently these servers cost enough that even with 400mil users they aren’t making profit? The point of Spotify is giving paying customers what they want so that hopefully Spotify can make a profit. Unsure why that’s so unacceptable for you? And small artists have been paid like shit long before Spotify was an idea. Take that up with the actual music industry. Or maybe accept that turning your hobby (making music) into a job just doesn’t pay the bills for everybody that tries. I have no idea how you can blame Spotify for payouts bigger than on YouTube or Twitch when it’s the music industry fucking with the numbers.

      • wolfshadowheart@slrpnk.netEnglish
        1·
        11 months ago

        Many of their executives make over $300,000 and the CEO is a billionaire. I don’t know how you can’t blame Spotify for payouts.

    • ashok36@lemmy.worldEnglish
      42·
      11 months ago

      Servers and employees. Nothing else. Got it. No office space, no advertising, no royalties.

      What a genius business plan. No wonder they’re so successful.

      • wolfshadowheart@slrpnk.netEnglish
        11·
        11 months ago

        Then I’m sure their executives would be happy to take a pay cut to make the business profitable.