What is unbelievable about this? Do you know what performers get paid when their song plays on a radio station?
ZIP, not one thin dime.
The publisher and songwriter get paid a cut that varies based on various factors but the actual performer doesn’t get a penny. I don’t see you skewering Clear Channel.
You judge the payment vs other streaming services, and that’s the only model you can judge it by. Until I see a comparison chart, being outraged over the pay scale is silly.
Lets do the math shall we? Apple Music is said to cost between $10 and $15 a month depending on the tier you use. So, lets see a typical song is 3 minutes long. Using spotify as a baseline, just because I could find some actual numbers on it, the claim is about 2 hours of music listening per day. So, that’t 40 songs per day listened to. The typical month is 30 days long, so that 1200 songs listened to per month... so lets just do some quick math here...
If you are the $10 tier and apple were to pay 1 penny per song you listened to, they would be losing $2 per subscriber per month just on the cost of the content... let alone the cost of actually running the business. 1/5 of a cent per month that drops the raw cost of the content to 2.40 a month. So that’s about 25% of the revenue is going to content costs, that’s not to me outrageous or stingy. Anyone who things it is, hasn’t run a business.
I've been in business since I was 17 years old. I did so by not screwing the customer OR the people I work with. When I hire a guy to install flooring I don't charge 20 bucks an hour to my customer then turn around and pay 5 bucks an hour to the guy I hired to provide the service.
Thank you, HamiltonJay. These guys do not understand that the Streaming Radio portion of Apple's business has to stand on it's own profit and loss books according to Generally Accepted Accounting Principles (GAAP) rules, which I have been trying to tell them for some time. . . and that was the reason behind the original contract that had the requirement that the payments for the trial period would be AFTER the completion of the trial period when the revenue stream started. Apple was not intending to "stiff" the artists or to "cheat" any of them. They were merely following the rules of GAAP, waiting until they had sufficient income flow to pay out of the revenue stream of the proper pocket.