The Music Industry is Broken

Summary by Krater

An analysis of the modern music industry exploring how streaming services, record labels, and ticketing monopolies squeeze independent artists financially.

From the video

Answers: Why is it so hard for independent musicians to make money in the modern music industry?

• Spotify streaming royalties and payout models
• AI-generated music on streaming platforms
• Major record label contracting practices and royalty accounting
• Live music tour economics and ticketing monopolies like Live Nation and Ticketmaster

What it concludes

• Spotify has never cared about artists and routinely tries to undermine and replace them.
• Spotify's payout model acts as a zero-sum game where more successful artists spread the revenue pool thin for smaller acts.
• Hundreds of thousands of AI-generated tracks are being uploaded daily, making up over 40% of new music uploads on platforms like Deezer.
• Discovery Mode takes 30% of an artist's streaming revenue in exchange for a temporary boost in algorithmic visibility.
• Record label accounting practices routinely put artists into deep debt through recoupable advances and production charges.
• Live Nation and Ticketmaster hold a monopoly on ticketing and venues, driving up fees and squeezing artist profits.