In a recent interview with Music Business Worldwide, Believe (Tunecore) CEO Denis Ladegaillerie claimed that Major Labels are making moves to reduce streaming revenue for independent artists.
Conversely, Sony Music chairman, Rob Stringer, addressed the issue of the dilution in market share due to the flood of independent music uploads on platforms daily, which he referred to as “flotsam and jetsam.”
So who do you believe?
While both sides of the coin present significant warning signs to companies like Believe and Sony are these forecasts of doom relevant to artists at all? The yearly streaming revenue that the average artist generates is so insubstantial, that it really shouldn’t make much difference either way.
While the concept of prioritizing streaming revenue for major labels may be completely unethical, this is nothing new in the world of big business. When the music industry came to rely upon online services rather than physical sales, these grey areas became increasingly apparent.
Marketing over matter?
Every transaction and subscriber matters in the online marketplace and once platforms like Spotify have cornered the market they get to make decisions that impact the rest of us for better or worse.
Chart rigging and payola schemes have been part of the music business for decades, so is it really cause for concern?
Corporate optics rely on creating narratives that support a company’s marketing strategy, therefore it seems obvious that a company like believe would slander major labels like Sony and vice versa.
Is this truly a catastrophic state of affairs or simply a branding skirmish?
I could easily compare these reports to the McDonald’s CEO stating unequivocally that “vegans suck,” but what are your views on the matter? Should we abandon streaming altogether and go back to CD?
Please let us know in the comments below!
- Listening to music via streaming services such as Spotify, alongside vinyl listening, has gained great popularity in the last decade.: Bob Malkowski/Gearnews