New Rule by Spotify: Tracks Under 1,000 Streams Won’t Earn Money

todayApril 5, 2024 57 1 5

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New Rule by Spotify: Tracks Under 1,000 Streams Won’t Earn Money

Spotify has taken a bold step, reshaping how artists earn. Also, songs with fewer than 1,000 streams no longer make money for their creators. This new rule, effective from April 1, 2024, is set to change the music earning landscape on the platform.


The New Earning Model by Spotify Unveiled

Now, a track must hit 1,000 plays in the past year to qualify for royalties. Interestingly, Spotify’s data indicates that 99.5% of all streamed tracks exceed this threshold. This means a potential increase in earnings for the majority of qualifying tracks.


Tackling Fraud and New Listener Requirements

The music platform is cracking down on fraudulent streaming practices. It now demands a minimum number of unique listeners for a track to earn royalties. This measure aims to prevent artificial inflation of stream counts. Additionally, the music platform has set its sights on certain music genres, like white noise. The platform has extended the minimum playtime for revenue eligibility from 30 seconds to two minutes. However, not everyone is celebrating Spotify’s new policy. The United Musicians and Allied Workers have raised concerns, suggesting that 86% of Spotify’s catalog might not meet the new royalty criteria. Furthermore, this statistic, shared on X, has sparked debate about the fairness of Spotify’s policy.


new rule by spotify tracks under 1000 streams wont earn money

Spotify Advocacy for Fair Pay

In response to the policy change, the United Musicians and Allied Workers are pushing forward with their “Make Streaming Pay” campaign. This initiative supports the Living Wage For Musicians Bill, aiming to secure sustainable incomes for artists in the digital age.


Financial Adjustments and Subscriber Impact

Facing its own financial hurdles, the music platform plans to increase subscription fees. Additionally, This adjustment will add $1 to $2 to the monthly bills of subscribers in several regions, including the UK and Australia. The increase aims to cover costs for new features like audiobooks and video learning content. Despite a new, more affordable tier excluding audiobooks, Spotify’s stock value has recently risen by 4.6%.


Conclusion: A New Era for the Music Industry

Lastly, Spotify’s latest policy introduces a significant shift in the streaming music industry. It aims to reward popular tracks while challenging artists to engage more listeners. As the music community adapts to these changes, the future of music streaming and artist compensation remains a hot topic.

Check out the Twitter/X post below to get informed about the topic.

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Written by: AIT

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