Music streaming is always a market of cutthroat, with leading companies that do not have many positive things to say about one. But things have become especially heated this week when a small tweak on US copyright policies – which actually happened a whole year ago and revived today due to a new development – set a chain of public accusations with streaming companies, songwriters and music business associations.
This is a complex thing surrounding a built-in 119 page court document, so here's a simplified rundown rundown
What's the issue?
In January 2018, the US Copyright Royalty Board paneled three judges panel referring to digital music rate rates, raised the amount of money that services like Spotify should pay to songwriters ̵
Spotify really covers songwriters?
No – and Spotify have care to clarify it right on a blog post, writing that its issue is at new rates set by the CRB decision. While "it's natural for everyone to want a bigger piece of [the revenue] pie," says Spotify, rates that the CRB has decided to make it very difficult to offer discounted bundles, which are important for getting new customers on music-streaming services.
Why is Apple Music involved ?
Apple is the only major music-streaming service not involved in the appeal. It says Spotify is covering music creators while Apple Music is a pro-artist because it accepts the current CRB plan for higher rates. "It's not just wrong, it represents a real, meaningful and damaging step back for the music industry," Apple said in his blog post. "Under rhetoric, Spotify's goal is to make more money from the work of others." Apple has another motive for publicly pointing fingers at Spotify: It is currently launching a completely separate court battle with the Swedish streaming service with the 30 percent commission needed for in-app purchases made through iOS App Store.
And what now?
The four streaming services standing against the new CRB rate will now bring their appeal to the US Court of Appeals for the DC Circuit, the case may take years to resolve. Some industry analysts offer all win solutions, such as getting listeners to pay more for monthly streaming subscriptions, delivering more money to songwriters and streaming companies alike. But nothing implies that – or anything else – will happen anytime soon. Nowadays, the biggest thing being released by the entire tussle in the streaming industry is a group of shouting matches.