My first post on ASR, so please be gentle.
I once read, or somebody explained, why streaming services under-pay a lot of musicians. They pay based on the total number of streams of a song by all users on their platform in a month. And compared to the current popular songs/artists, something like jazz or classical is so far down the list that they only get a few pennies compared to the most popular musicians. For example, in 2024, the most popular musician on Spotify had about 4 billion streams and the most popular jazz artist had about 200 million streams at number 377 on the list. So it becomes a winner take all situation with the vast majority of the money going to pop musicians.
But what if you looked at it on a per subscriber basis rather than a total streams basis? Let’s say I pay $10/month for Spotify and I only listen to jazz. If Spotify took all the royalties they pay on my $120/year subscription and divided it based on my streams, nobody in the top 366 musicians would get any of my royalties but many musicians much further down the list would get a portion of my royalties. Thus, listeners who listen primarly to non-pop musicians could support the artists they are paying Spotify to listen to.
As far as I know, there is no reason royalties couldn’t be allocated on a per-subsciber basis, but it isn’t done that way. So jazz, classical, bluegrass, zydeco, etc musicians who have small but passionate followings, don’t get rewarded for this.
I hope this made sense.