alt Hacker News> I don't like what they do to artists
Not sure if you're aware, but it's the labels, not Spotify:
> It pays roughly two-thirds of every dollar it generates from music, with nearly 80% allocated to recording royalties and about 20% to publishing, though how much artists and songwriters ultimately receive depends on their agreements with rights holders, which Spotify does not control. [0]
Spotify is frantically trying to escape the record label's death grip (hence podcasts), because they know they can squeeze it for just about anything with licensing deals. It's a terrible business model! Spotify keeps a third for their costs (& finally some profit in the past year or two), ie. about the same that Apple takes from App Store for basically nothing[1].
How the record labels convinced the world that Spotify is the bad guy here is beyond belief.
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[0] https://www.forbes.com/sites/sofiachierchio/2026/01/28/spoti...
[1] Certainly app store costs are nothing when compared to the infrastructure that Spotify needs.
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Spotify paid out ten billion dollars to artists in 2024. This is not small potatoes - total 2024 music industry merchandise sales was around $14b.
These big platform payouts matter a lot.
> Not sure if you're aware, but it's the labels, not Spotify:
*not only Spotify
They had plenty of problems from people abusing their system to steal listens from actual artists.
Their system is basically "one big bucket of listens" - if your song gets listens, you get money. So if you pay your sub, and listen to say 5 niche musicians only, it still all goes mostly to the most popular songs.
Now you might already notice the flaw here - if you say, make a bunch of bots that just listen to songs to boost their revenue, not only your sub doesn't pay artists you listen, but also to fraudulent ones.
Then there was problems with using fake collaboration tags, AI music to hijack artist profiles, and few others.