Spotify (not available in the US) has shown media outlets how they have built a sustainable revenue model, paying record labels royalties in two of its international markets, and a share of ad-based revenues in another four. The socially enabled, P2P-based music service lets users stream music through a custom application on user’s computers for a monthly fee, or free with advertising support. In the service’s home country of Sweden, Spotify revenues already top iTunes.
So the gist of it is: a new music industry revenue model is rising, and it’s good for consumers and labels alike.
Read more at the Telegraph UK
