Spotify Faces Criticism Despite Record $10 Billion Royalty Payout in 2024

The streaming giant highlights increased artist earnings, but concerns over low per-stream rates and songwriter royalties persist.

Spotify's 2024 Loud & Clear report reveals a record $10 billion in royalty payouts, marking a tenfold increase since 2014.
Nearly 1,500 artists earned over $1 million in royalties last year, with many achieving this milestone without chart-topping hits.
Critics highlight Spotify's low per-stream payouts compared to competitors like Apple Music, Amazon Music, and YouTube, which pay significantly higher rates.
Songwriters and industry groups claim Spotify's bundled subscription tiers reduced royalties, costing U.S. writers an estimated $150 million in 2024 alone.
Advocacy groups and lawmakers are pushing for reforms, including the proposed Living Wage for Musicians Act, to ensure fair compensation for artists.