(Hypebot) — U.S. streaming tops 84% of revenue that U.S. labels and artists receive from recorded music. Total revenue is now $8.67 billion based on RIAA stats for the first half of 2024.
Streaming tops 84% of revenue
Revenue from paid subscriptions accounted for 78% of streaming revenue growing 4% to $5.7 billion. Physical sales accounted for 12% of revenue, downloads and ringtones 2% and sync income 2%.
The numbers point to slowing U.S. revenue growth, particularly when recent price increases for Spotify and other subscription streamers are factored in. The U.S., where dollars from streaming dominates, may be a nearly saturated market, though overseas revenue growth continues to accelerate.
Here is a more detailed breakdown of revenue.
What does this mean for musicians?
Any hope that Daniel Ek’s promise that volume and growth would make up for the inadequate royalty payments to artists is fading fast.
Spotify all but aknowledges the disparity with their efforts to help musicians earn more income from merch and ticket sales.
Add in rising costs and increased competition and building a sustainable career in music is harder than ever.
Bruce Houghton is the Founder and Editor of Hypebot, a Senior Advisor at Bandsintown, President of the Skyline Artists Agency, and a Berklee College Of Music professor.
H/T Rain
