Apple Music had notified artists that it would pay royalties at a rate of $0.01 per play. Apple said it believes that all artists should be paid the same standard of royalties.
Apple Music stated in a letter sent to the artists, “Although negotiations on broadcasting royalties are still going on, we believe that sharing our value is important.”
Apple Music also said that for every dollar of revenue it receives, 52 cents are paid to record companies. In contrast, streaming music giant Spotify pays much lower playback royalties, less than 1 cent per time between 0.3 and 0.5 cents.
Moreover, Apple proposes to increase the playback royalties, which is basically equivalent to about 2 times that of Spotify. Spotify has 155 million paid users.
|VIA|
