YouTube tells the world that the service pays more in the U.S for Ad-Supported Streaming than other services like Spotify and Pandora. YouTube points out that they pay about $3 per 1000 ad-supported streams in the U.S.
The record labels via their lobby group RIAA disagree with YouTube’s math.
Cary Sherman, the RIAA head honcho had this to say on the matter;
“About 400 digital services have been licensed around the world, many with ad-supported features. Comparatively, YouTube pays music creators far less than those services on both a per-stream and per-user basis, and nowhere near the $3 per thousand streams in the U.S. that Lyor (YouTube) claims.”
Okay so if the RIAA is going to dispute the math put out by YouTube, then what is their math.
How much do they get from YouTube per 1000 streams?
The record labels and the publishing/licensing companies are the first to get paid. And nowhere in this debate have these organisations mentioned what they get. I know I have seen thousands of news articles showing what the artists or the song writers get from YouTube streams in their bank account, but the artists are the last to be paid, once the labels and publishing companies take their cuts.
If the record labels via the RIAA want to be taken serious they need to be transparent.
Instead they counter the math from streaming services with fluff. Yes, that same thing found in people’s belly buttons.
They fluff the conversation about a value gap, talking on and on about how YouTube has billions of users and the amount of traffic they generate should equate to higher payments and because it doesn’t, there is a value gap.
They fluff the conversation about DMCA Safe Harbor provisions being a rigged system and how politicians need to create laws to protect the business model of the record labels and in the process destroy innovation on the internet.
Basically, these organisations are doing the same thing they have always done. Lying and scheming to keep their creative accounting in-house and away from the actual people that made these organisations rich. The creators.
Think about it for a second. The streaming services via their own blog mention how much they pay the copyright holder. The very next day, the RIAA or the Record Labels quickly counter it, but they never mention how much they do get?
So the headline of the next article should be “How the labels and the RIAA rob creators?”