Heard the news? Spotify is changing its royalty model to crush streaming fraud

In short, the three changes are:

1 - INTRODUCING A THRESHOLD OF MINIMUM STREAMS BEFORE A TRACK STARTS GENERATING ROYALTIES ON SPOTIFY

Today, every play on Spotify over 30 seconds long triggers a royalty payment. This won’t be the case by early next year…

2 - FINANCIALLY PENALIZING DISTRIBUTORS OF MUSIC – LABELS INCLUDED – WHEN FRAUDULENT ACTIVITY IS DETECTED ON MUSIC THAT THEY’VE UPLOADED TO SPOTIFY

Spotify believes it has the most sophisticated anti-fraud detection technology of any streaming platform – and it’s not afraid to use it…

3 - INTRODUCING A MINIMUM LENGTH OF TIME THAT NON-MUSIC ‘NOISE’ TRACKS MUST REACH IN ORDER TO GENERATE ROYALTIES

Today, as had been seen in a number of notable cases, makers of ‘non-music noise content’ (e.g. white noise, binaural beats, whale-song etc.) get paid the same as every other creator of music on Spotify.

One way said ‘non-music noise content’ uploaders have made the most of that fact? By splitting their ‘noise’ playlists into 31-second tracks.
This means, for example, that if someone plays a white noise playlist on repeat to help them sleep or to focus at work, hours of play-time are logged at Spotify, with every 31-second interval resulting in a royalty payout.

Source and more details:

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