Apple Music and Amazon Music Pay Double Spotify's Streaming Royalties, New Study Reveals

Apple Music and Amazon Music Pay Double Spotify's Streaming Royalties, New Study Reveals

By Marcus Delano Thompson

January 29, 2025 at 07:06 AM

A new report by Duetti reveals significant disparities in streaming royalty rates among major music platforms. Amazon Music leads with $8.80 per 1,000 streams, followed by Apple Music ($6.20), YouTube ($4.80), and Spotify ($3.00).

Apple Music and Spotify royalties comparison

Apple Music and Spotify royalties comparison

The global average streaming royalty rate stands at $3.41 per 1,000 streams in 2024, showing a slight decrease from $3.46 in 2023 and $3.69 in 2022. This stabilization comes despite recent price increases across platforms.

Key findings:

  • Amazon Music pays nearly triple Spotify's rate
  • Apple Music pays more than double Spotify's rate
  • Spotify requires 1,000 annual streams before paying royalties
  • Apple Music offers higher rates for spatial audio content
  • Spotify's Discovery Mode usage doubled to 26% in 2024

Spotify disputed these findings, stating that they reject a per-stream payment model as it would "incentivize streaming services to minimize streams." They emphasize focusing on total payouts rather than per-stream rates.

Industry implications include:

  • Continued growth in streaming volume
  • Increasing AI-generated content
  • Expanding market reach in challenging monetization regions
  • Impact of price increases on royalty structures

The streaming landscape continues to evolve, with monetization strategies and royalty structures remaining key factors in the industry's development.

Note: Photo Credit: Brett Jordan

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