Spotify just posted their financials and Paul Resnikoff at Digital Music News was quick to point out that the average Spotify employee salary is $168, 747.
Contrast that to the plight of songwriters. There would be no music business without the fundamental efforts of songwriters. Yet, there is not a free market in songs. The federal government mandates that Spotify pay songwriters/publishers based on a percentage of revenue. Last I checked this rate was working out to about $0.00058 per spin. This includes both the public performance (BMI/ASCAP) and the streaming mechanical (IF they happen to pay it).
Best case scenario, if a songwriter retains all publishing rights to their song then a songwriter would need 288,104,634.15 spins to earn the average salary of a Spotify employee.
Any questions?
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