In a balanced take on the online streaming debate, The Gaurdian’s Eamonn Forde latest blog discusses Red Hot Chili Peppers manager Peter Mensch’s recent comments slamming YouTube for (what else?) not paying musicians fairly.
Thankfully avoiding the slanderous rhetoric going back and forth between media monsters like Google and musical artists, managers, labels and publishers, Forde discusses a recent report conducted by the IFPI that puts some numbers on the ‘value gap’ problem facing the music industry, showing an estimated 900 million users of ad-supported services generated just $643m in royalty payments. On the other side of the coin, 68 million paid subscriptions to services like Spotify and Apple Music collectively created $2bn in royalties.
As we all know, a war is brewing between the music industry and YouTube; it has been for years. The arbitrators of this war will need to consider the virtues of YouTube and trade them off against its small returns to find an amenable solution.
We highly recommend checking out the full blog here.