With music artists crying fowl of streaming services like Spotify for the meagre payouts they're receiving, Billy Bragg thinks that the focus should be on labels instead.
"The problem with the business model for streaming is that most artists still have contracts from the analog age, when record companies did all the heavy lifting of physical production and distribution, so only paid artists 8%-15% royalties on average," wrote Bragg in a post on his Facebook page.
"Those rates, carried over to the digital age, explain why artists are getting such paltry sums from Spotify. If the rates were really so bad, the rights holders - the major record companies - would be complaining. The fact that they're continuing to sign up means they must be making good money."
Spotify pays out 70% of its revenues to music rightsholders, and has said that it expects those payments to exceed $500m (£310m) in 2013. How much of that money gets passed on to musicians depends on the terms of their contracts with labels.
|Bank crisis lessons 'not learned'|
|How Much it Costs to Be Batman|
|A Tale of Two Cows: Explaining Various Types of Socio-Economic Systems, Using Cows|
|Loving Couple Divorces To Stay Afloat Financially|
|America Has Worse Inequality Than That Portrayed in 'Downton Abbey'|
|“Astronomers have sent a radio message to a neighbouring star system.”|
|“The homemade airplane does indeed fly!”|
|“A fraudster poses as an attractive woman and encourages a man to masturbate in front of a webcam.”|
|“Semis, not personal cars, are the smartest use of autonomous technology.”|
|CaptchaTweet: Write Tweets in Captcha Form|
|Japanese Robot Serves Ice Cream From Inside a Vending Machine|
|How to Avoid Jury Duty|
|Google Map Shows You the Most Photographed Areas of the World|
|“Facebook has contributed to, and profited from, the erosion of democratic norms in the United States.”|
|“The education industry as a whole is a con.”|
|Short Story of Similar Objects|
|“The way we produce energy today is deadly.”|