Increase Transparency, Spotify Pays IDR 164 Trillion Music Royalties Throughout 2024

Spotify distributes royalties in 2025 (Ist)

JAKARTA - Spotify's digital streaming platform has just announced the Annual Music Economic Report as an effort to support the rights of artists to get clarity on the economic rights of their music streaming.

Keterangan di situs resmi menyatakan, Situs ini bertujuan untuk meningkatkan transparansi dengan membagikan data baru tentang pembayaran royalti Spotify dan menggaraikan ekonomi streaming global, para pemain, dan prosesnya.

The report announced that the platform, based in Luxembourg and Stockholm, had paid the music industry more than $10 billion by 2024. Overall, they have paid nearly US$60 billion in music royalties since its formation.

Spotify paid more than retailers or other streaming services by 2024, but that's not all. Our $10 billion payment is the largest in the history of the music industry - more than any retailer has ever paid in a year, and more than 10 times the contribution of the largest record store at the top of the CD era.

In addition, the platform, which was created in 2008, also brings other interesting facts to note. The report says there are more artists who make more money than ever before.

The number of artists producing royalties at every threshold on the site - from US$1,000 to $10 million per year - has increased by at least threefold since 2017. Ten years ago, the top artist on Spotify made more than US$5 million. Currently, there are more than 200 artists who have exceeded that threshold.

In 2024, according to the report, nearly 1,500 artists generated more than $1 million in royalties from Spotify alone - and possibly more than $4 million from all recorded revenue sources. This is not just for famous names, in fact 80% of these artists don't have songs that reach the Spotify Global Daily Top 50 charts by 2024.

"It's not just about old artists, because the majority didn't even start their careers until 2010 or after. More than 80% of them are artists who are actively on tours with at least one tie show in 2024," the report reads. Success in the streaming era does not require hits that occupy the top of the charts or catalogs that span a decade - it's about building a loyal fan base that keeps coming back.

The last interesting fact is that most professional artists and newcomers get more money from abroad than from their domestic market. In fact, nearly a third of them generate more than 75% of the royalties of listeners overseas.