Spotify Reports $10 Billion in 2024 Royalties, but Songwriter Earnings Remain Low

While Spotify highlights record payouts and growth, financial disparities persist for songwriters and smaller artists in the streaming economy.

Spotify announced it paid over $10 billion in royalties to the music industry in 2024, bringing its total payouts since 2006 to nearly $60 billion.
The company's 'Loud & Clear' report reveals that 1,500 artists earned over $1 million in royalties from Spotify in 2024, but only a small fraction of artists achieve significant earnings.
Songwriters receive a small portion of streaming revenue, with just 14% of Spotify's per-stream income allocated to publishing, and this is further divided among publishers, rights organizations, and multiple co-writers.
Spotify's recent bundling of music and audiobooks has drawn criticism, with estimates suggesting it could reduce music royalties by $150 million in 2025.
While streaming has revitalized the music industry, critics argue that outdated royalty systems and unequal distribution of earnings leave many creators struggling financially.