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Music Royalties

Page history last edited by PBworks 11 years, 11 months ago

 

The Economics of the music industry:

The artist wioll typically get 1-15%, while overheads ate up the rest.

 

There is a great blog about this here:http://www.wetware.blogspot.com/

  •  From the blog:    "It also became obvious why the recording industry preferred one-hit wonders, because they could squeeze the one-hit wonders on royalties much more than they could do to Elton John, Pink Floyd etc. Anyways, having been a Grateful Dead fan and knowing how much money could be made the Grateful Dead way (touring, merchandise etc), I wrote a paper saying that recording artists should use new technologies like the Internet to bypass intermediaries and reach out directly to fans. Since then, Napster happened, RIAA lawsuits happened, Napster shut down, Itunes happened. Etc. Etc."  from Zoo Station, Reuben Abraham

 

 

 

Artist:

$0.99 download single song price to the consumer

less $0.34 to Apple

left $0.65 x 130% ( wholesale markup) x 12% (net artist net rate) = $0.10

 

Producer:

$0.99 download single song price to the consumer

less $0.34 to Apple

left $0.65 x 130% (wholesale markup) x 3% (producer rate) = $0.025

 

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