Why Artists Are Leaving Spotify
Despite being a major player in the music streaming industry, Spotify has been struggling to keep artists on its platform. In recent months, high-profile musicians like Taylor Swift, Adele, and Radiohead have pulled their music from the service, citing unfair compensation and poor listener experience. While Spotify has tried to address these issues by increasing its royalty payouts, many artists remain unconvinced.
The main reason for this exodus seems to be Spotify’s business model. Unlike traditional music sales, which give artists a large chunk of the profits, Spotify pays royalties based on how often their songs are streamed. This means that most artists earn very little from the service, and those who have popular songs earn even less. In addition, Spotify has been dealing with a spate of bad publicity in recent months, including allegations that it listens to users’ private conversations in order to recommend songs.
who left spotify
It’s no secret that Spotify has had its fair share of high-profile departures in recent years. Among the most notable are Troy Carter, who served as the company’s global head of creator services; Tuma Basa, Spotify’s former head of hip-hop; and George Ergatoudis, the ex-head of music at the streaming service. Now, it looks like Spotify has another high-profile departure on its hands: founder and CEO Daniel Ek. According to a report from Swedish publication Breakit, Ek is planning to step down from his role at the company later this year.
The report cites sources close to the situation, who say that Ek is planning to leave Spotify in order to focus on his other business interests. He is reportedly planning to launch a new company, though it’s not clear what that company will be. This news comes just a few months after Ek announced that he was planning to take Spotify public through a direct listing on the New York Stock Exchange. The move was seen as a way for the company to bypass the traditional IPO process, which can be costly and time-consuming.
Spotify pays artists a fraction of a penny for each stream
One of the main reasons artists are leaving Spotify is its low payouts. For example, Ed Sheeran reportedly earns just $1.50 for each 1,000 plays of one of his songs on the service. That’s a far cry from the profits he would earn from traditional music sales. In fact, most artists earn very little from Spotify. A recent report from the Music Business Worldwide showed that the average artist earns less than $0.005 per stream on the service.
Spotify has been embroiled in a number of controversies
In addition to its low payouts, Spotify has also been facing criticism for its business practices. In 2017, the company was accused of listening to users’ private conversations in order to recommend songs. This was based on a report from German publication Der Spiegel, which alleged that Spotify employees were using special software to listen to user conversations and determine which songs to recommend.
More recently, the company has been embroiled in a controversy over its decision to remove music from some artists who have signed deals with rival streaming services. This includes artists like Taylor Swift, who pulled her entire catalog from Spotify in November 2018.
This makes it difficult for artists to make a living from their music
One of the main reasons artists are upset with Spotify is that its low payouts make it difficult for them to make a living from their music. In fact, many artists rely on income from streaming services to support themselves and their families. For example, in a 2016 interview with Billboard, country singer Chris Stapleton said that he earned more from streaming services than he did from traditional album sales.
With Spotify’s low payouts and its history of controversies, it’s no wonder that so many artists are choosing to leave the service. In order to keep these artists, Spotify will need to address its low payouts and its negative image.