Nashville songwriters call out Spotify for music, audiobook bundle
NASHVILLE, Tenn. (WKRN) — The battle between songwriters and Spotify continues as Music City artists call out a new decision made by the music streaming platform.
The Nashville Songwriters Association International (NSAI) unanimously signed a letter to Spotify sharing what they see as a major issue for royalty payments. Specifically, Spotify’s decision to “bundle” music with audiobooks.
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In the letter, the NSAI said this results in an estimated annual loss of up to $150 million in mechanical royalty payments to American songwriters, composers and music publishers.
They’re asking Spotify immediately reverse its course and offer separate music subscription choices at price points that will fairly pay songwriters.
“The American songwriter community is appalled that this is happening while Spotify is reporting record profits, and while founder Daniel Ek has recently cashed in a reported $180 million in stock options,” the letter reads. “Reporting record profits while reducing songwriter royalties as the company founder cashed in millions in stocks proves a greedy, offensive and callous disregard for the songwriters on whose backs these revenues are generated.”
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In response to the letter, Spotify shared a statement with News 2 that reads:
Spotify is on track to pay publishers and societies more in 2024 than in 2023. As our industry partners are aware, changes in our product portfolio mean that we are paying out in different ways based on terms agreed to by both streaming services and publishers. Multiple DSPs have long paid a lower rate for bundles versus a stand-alone music subscription, and our approach is consistent.
Spotify
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