Unveiling the black box : Allocate the Missing Revenues in Music Streaming

Abstract

Listening to music has never been easier. Now, everything is just a fingertip away. From mainstream hits to niche productions, all we need to do is log on to a music streaming service like Spotify. Even better, we do not need to pay a single penny! If we want more access and options, we can pay for premium service with a monthly subscription fee as low as 99 Norwegian crowns or USD $9.99, depending on where you are located. This new music consumption method has become so popular that it has turned the tide of the long recession in the music industry, and now “accounts for 50% of total recorded music revenues” (IFPI, 2017, p. 10). However, the music industry is also not short of complaints from recording artists who argue they are not getting paid enough from music streaming. This contradictory phenomenon has sparked a huge discourse in the music industry, and I am here to trace the artists’ shrinking revenue stream.