Re:Spotify Will End Service in Uruguay Due to Bill Requiring...
by Denvercoder9 on Thursday November 23, 2023 @09:48AM
(#38393293)
> If my 7$ is thrown in a global pool and split by global stream counts this artist gets almost nothing.
Not by definition. If you generate more streams this month than the average user, your streams are a larger fraction of the stream counts than your 7$ is of the revenue pool, and this artist will get paid more than if he only got your 7$.
Splitting the revenue per-user instead of per-stream can certainly make a huge difference, but switching to per-user instead of per-stream benefits artists with listeners that generate a below-average amount of streams per month, regardless of their absolute stream numbers.
Now if my 7$ are distributed to all artists I've listened to this artist will now receive 7$. If my 7$ is thrown in a global pool and split by global stream counts this artist gets almost nothing.
Of course this is a extreme example but it should illustrate why this can matter.