Spotify represents an important piece of our music industry ecosystem, and the system is vulnerable.

Competition is a fundamental part of a free market economy, of which we all reap the benefits.

Spotify’s revenues increased 80% in 2015 to US $2.18bn (€1.95bn).

However, its annual operating losses also jumped from €165m to €184m as it paid out almost 85% of revenues to music rights owners.

In 2016, Spotify raised a $1bn convertible note, with a sizable 5% interest rate that increases 1% every six months until the company’s IPO.

And now? Spotify is considering delaying its planned IPO pending renegotiating fairer terms with the three major record companies: Sony, Universal and Warner (“the BIG 3”).

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