The music streaming giant, “Spotify,” has officially revealed its new payment policy for artists, which was discussed a few weeks ago. The company has decided to give a break to small and less popular artists, stating that songs played less than 1000 times a year will not receive compensation.
Please follow us on Facebook and Twitter.
“Spotify” has previously stood out with its rather stingy payment approach, but now individual artists will receive a flat zero for their compositions. Of course, they can still boast the opportunity to be on “Spotify” playlists. The company explains that this payment policy is adopted to reduce instances of fraud, which apparently have been detected so far. Meanwhile, this unpaid money will be redistributed to those artists whose songs reach at least 1000 plays within a year.
Additionally, “Spotify” has announced that it is abolishing payment for some so-called “white noise” recordings. This includes recordings of raindrops falling on a roof and similar types of music. It should be noted that payment will not be reduced for these “white noise” recordings if their duration exceeds at least two minutes.
The music streaming giant emphasizes that these activities will save a total of 1 billion dollars, which will be redirected to more popular artists over the next five years. For now, however, no further information has been provided on how exactly these funds will be redistributed. “Spotify” only claims that it will not pocket this money itself.
