For anyone wanting to rage at Spotify, I’d remind you that Spotify has never actually turned a profit. They lose money on every single paid user, and even more on free users. Tl;dr of the article (sorry for the account-wall) is that Spotify is contractually obligated to give around 70% of every dollar it makes to the labels, who then eat most of it and give a few crumbs to the artists. If you want to support artists, buy their merch, their physical albums, and go to their shows. If they’re independent, they may actually see some non-trivial revenue from streaming as well.
Spotify may also be contractually restricted in what level of access they can offer for free - licensing can be very messy - and they also do need to create enough incentive to actually make the paid tier worth it. Given that a month of access to essentially all music ever costs about as much as a single CD did back in the day, it feels like pretty incredible value to me, personally. Yes, you can of course always pirate if you want to deal with the hassle of that, but you should at least keep it in the back of your mind that, if everyone did that, we wouldn’t have any music to enjoy at all. If the cost of streaming or buying music is genuinely a burden, I wouldn’t blame you that much for pirating, but if you can afford it, I do think the value really is there, if only to avoid the sheer hassle of pirating and managing a local library. And if you really think that streaming is just uniquely corrupt and terrible, CDs haven’t gone anywhere.
But if you can easily afford to pay for music and you still refuse to, at least have the honesty to just admit that you want to get things for free and you don’t care about anyone involved in creating it getting paid for it, without dressing it up as some kind of morally righteous anti-capitalist crusade. It’s normal to be annoyed about having to pay for things; we all are, and we all want to get things for free. Just admit that instead of pretending your true motivation is anything deeper.
Holy shit, an actually reasonable take on Lemmy regarding subscription services. I genuinely couldn’t believe what I was reading and was waiting for the “LOL, JK! Pirate everything, they don’t deserve my money and fuck every ad and paid service ine the universe.”
This is ridiculous. Spotify has been effectively doing dumping as an economic policy, and now that they have a sizeable portion of the market share, they’re turning to enshittification to make a profit. I see nothing defensible in that. The fact that they can’t turn a profit means that they’re trying to drive out competitors with less VC money.
We as consumers are not obligated to ensure healthy profit margins for random megacorps, and especially not ones engaged in anti-competitive behaviour, and it’s embarrassing to defend that. I’ve never used Spotify and I never will, but the idea that they lose money on every user tempts me. I second the other guy in the comments: If it isn’t economically viable, it shouldn’t exist. It’s just wannabe monopolism otherwise
Fundamentally, no industry can survive on VC money forever, so there simply has to be some kind of crunch eventually, either by reducing the product, increasing the price, or both.
We as consumers are not obligated to ensure healthy profit margins for random megacorps
I mean, this is a nice sentiment in the abstract, but in actuality, we kind of are if we want the product to continue to exist. Spotify is not going to be able to operate at a loss forever, and while there is a discussion to be had about what level of profit is warranted, I don’t think it’s a particularly wild thing to say that the answer is at least non-negative profit.
If it isn’t economically viable, it shouldn’t exist.
What I genuinely don’t understand is how you can simultaneously say that Spotify shouldn’t exist if it’s not economically viable, and at the same time, you’ll also criticize them for any attempt to make it economically viable. If Spotify shouldn’t offer the free tier because it’s not viable, and you’ll also attack them if they stopped offering it, what do you actually want them to do?
https://medium.com/brain-labs/why-spotify-struggles-to-make-money-from-music-streaming-ba940fc56ebd
For anyone wanting to rage at Spotify, I’d remind you that Spotify has never actually turned a profit. They lose money on every single paid user, and even more on free users. Tl;dr of the article (sorry for the account-wall) is that Spotify is contractually obligated to give around 70% of every dollar it makes to the labels, who then eat most of it and give a few crumbs to the artists. If you want to support artists, buy their merch, their physical albums, and go to their shows. If they’re independent, they may actually see some non-trivial revenue from streaming as well.
Spotify may also be contractually restricted in what level of access they can offer for free - licensing can be very messy - and they also do need to create enough incentive to actually make the paid tier worth it. Given that a month of access to essentially all music ever costs about as much as a single CD did back in the day, it feels like pretty incredible value to me, personally. Yes, you can of course always pirate if you want to deal with the hassle of that, but you should at least keep it in the back of your mind that, if everyone did that, we wouldn’t have any music to enjoy at all. If the cost of streaming or buying music is genuinely a burden, I wouldn’t blame you that much for pirating, but if you can afford it, I do think the value really is there, if only to avoid the sheer hassle of pirating and managing a local library. And if you really think that streaming is just uniquely corrupt and terrible, CDs haven’t gone anywhere.
But if you can easily afford to pay for music and you still refuse to, at least have the honesty to just admit that you want to get things for free and you don’t care about anyone involved in creating it getting paid for it, without dressing it up as some kind of morally righteous anti-capitalist crusade. It’s normal to be annoyed about having to pay for things; we all are, and we all want to get things for free. Just admit that instead of pretending your true motivation is anything deeper.
Holy shit, an actually reasonable take on Lemmy regarding subscription services. I genuinely couldn’t believe what I was reading and was waiting for the “LOL, JK! Pirate everything, they don’t deserve my money and fuck every ad and paid service ine the universe.”
Thank you!
This is ridiculous. Spotify has been effectively doing dumping as an economic policy, and now that they have a sizeable portion of the market share, they’re turning to enshittification to make a profit. I see nothing defensible in that. The fact that they can’t turn a profit means that they’re trying to drive out competitors with less VC money.
We as consumers are not obligated to ensure healthy profit margins for random megacorps, and especially not ones engaged in anti-competitive behaviour, and it’s embarrassing to defend that. I’ve never used Spotify and I never will, but the idea that they lose money on every user tempts me. I second the other guy in the comments: If it isn’t economically viable, it shouldn’t exist. It’s just wannabe monopolism otherwise
Fundamentally, no industry can survive on VC money forever, so there simply has to be some kind of crunch eventually, either by reducing the product, increasing the price, or both.
I mean, this is a nice sentiment in the abstract, but in actuality, we kind of are if we want the product to continue to exist. Spotify is not going to be able to operate at a loss forever, and while there is a discussion to be had about what level of profit is warranted, I don’t think it’s a particularly wild thing to say that the answer is at least non-negative profit.
What I genuinely don’t understand is how you can simultaneously say that Spotify shouldn’t exist if it’s not economically viable, and at the same time, you’ll also criticize them for any attempt to make it economically viable. If Spotify shouldn’t offer the free tier because it’s not viable, and you’ll also attack them if they stopped offering it, what do you actually want them to do?
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This is such a lame excuse. If the company never turned a profit - they shouldn’t exist anymore. Not shittify their service till nobody uses it.