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Get your wallets out, Spotify is considering making some upcoming releases avaliable only to paid subscribers

By News
Spotify

Spotify may make some of its biggest upcoming releases avaliable only to paid subscribers, according to a new report from Financial Times.

As 9To5Mac point out, this would come as part of a negotiation with record labels that would reduce the amount of royalties Spotify pays for songs.

Spotify

Spotify is considering making some upcoming releases from the world’s three major labels avaliable only to paid subscribers.

The Financial Review report reads:

“As part of the proposed deals, the music companies have agreed to trim the royalty fees that Spotify pays for their songs, according to people familiar with the discussions.

In exchange, Spotify would restrict the biggest album releases to its paid tier for a period of time — a substantial concession after years of friction with pop stars including Taylor Swift, who pulled her music from the platform in 2014.”

Nothing has officially been decided, however, the report continues by alleging that sources say the negotiations have been ongoing for months and that deals could be signed in the coming weeks.

Spotify is currently renegotiating contracts with the three big labels— Universal, Sony and Warner— all of which own a small share in the company.

Earlier this month Spotify announced that it has now topped 50 million paying subscribers but it looks like this number may be growing exponentially very soon.

[via 9To5Mac]

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March 17, 2017

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