Apple recently released a letter on their artist dashboard where they spoke about the money they pay out to artists and labels, saying they believe in “the value of music and paying creators fairly for their work.”
Apple went on to say, “While royalties from streaming services are calculated on a stream share basis, a play still has a value. This value varies by subscription plan and country but averaged $0.01 for Apple Music individual paid plans in 2020. This includes label and publisher royalties.” Apple Music also said they pay out the same 52 recent headline rate to all labels, as well as paying the same headline rate for all compositions. The company also said they don’t pay a lower royalty rate in exchange for featuring.
The Union of Musicians and Allied Workers spoke on the reveal by Apple while calling out other streaming platforms for their lack of transparency. The union said, “If Apple can pay a penny per stream, then Spotify can too. We also know that paying a penny per stream is only a starting point to righting the wrong of the streaming economy. This adjustment alone will not make the music industry sufficiently equitable or fair.”
In another tweet by the Union, they said Apple Music’s methods for payouts to artists and labels are “doable for streaming companies, including Spotify, which currently averages $0.0038 per stream.”
source: Complex
