Apple Music created a controversy when they announced that they have no plans to pay song artists during the trial period of their new music service.
After several song composers, including Taylor Swift strongly protested the idea, the company agreed to pay them a cut for every play. Recently, the company has started talking about the sum that they will pay to artists as well as record labels. Sources confirmed that Apple will be paying $0.2 cents for every play to the label companies. It may not be huge but they say that in the long run, this would be a lot of money especially for hit songs that people may choose to repeatedly play every other day.
Pay Per Play
Most companies including the hugely popular Spotify pay artists and labels based on the number of plays their songs get. Taylor Swift was the first artist to opt out of their service, because the streaming platform gobbled up a major share of the revenue and paid mediocre sums to people who actually created those songs. A similar embarrassing situation might come up with Apple music as well because according to the New York Times report, they will be paying $0.2 cents for individual song composers as well.
70% Cut Expected with Subscription Plans
Apple has assured everyone that they are not going to pay so less once the subscription plans are introduced. Users will soon exhaust their trial period after which they have to pay $10 per month to access Apple Music. The sum is similar to what Netflix, Hulu and Spotify are charging their customers. The only problem is that so many companies are on the rise, offering similar services.
While it is nice to have options from a customer viewpoint, it also becomes redundant. The same songs are there for everyone to enjoy, be it Spotify or Apple Music. The subscription cost is the same at $10 and one could justify choosing a service only based on the value added services they provide besides some good collection of songs. Apple confirmed they will be paying at least 70% of the revenue they make to song composers and record label companies once all the plans are introduced.
If you wish to enjoy the services as a family, all you have to do is pay $15 and the music subscription will be open to five different members of the same family. It is going to compete with Spotify, obviously, but it’s tough to guess the winner at the moment.
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