Apple Music Pays Musicians Better Than Spotify

Apple Music which is ready the 30. June, pays out more money for musicians and record labels than competitor Spotify.

How large an amount of $ 10, as Apple takes for its music service, Apple Music, actually goes to the musicians and record companies who supply the content?

It has since Re/Code interview during one of Apple’s directors, Robert Kondrk, about to get smarter.

Here he can reveal that the United States will go 71.5% of the amount of $ 10 a month to pay the musicians and record companies for the over 30 million songs that will be available in Apple Music. Outside the United States are paying Apple an even higher amount, which stands at 73% of the $ 10.

The two amount turns out to be higher than what Spotify offers, which also has a free, but advertising funded version. Swedish Spotify provides 70% of the amount directly to the rights holders of the music, but with the advertising-funded Edition to the equation made up a little differently.

“We pay licensing fees by every playback including trial offers and our free radio service to mobiles, and it runs up in roughly 70% of our total revenue, just as it has always done”, tells the advocate with Spotify, Jonathan Prince.

Apple pays so as a starting point for more money for the creators behind the music, but in the entire 3 months, which you can sample Apple Music in absolutely free, paid not a penny to musicians and record labels.

Therefore, the licence fee is set higher than the competitor Spotify and the General market in order to compensate for the non-payment in the longer sample period.

In the long term, will Apple Music so be a better business for the musicians, because Apple has the potential to get far more subscribers, it sounds according to Re/Code.