Google Now Has 16 Million Paid Music Subscribers — Here's Why That Doesn't Matter

According to a new report, Google now has over 15 million subscribers on its streaming music platforms – Google Play Music (GPM) and YouTube Music.

Despite the great news for the Alphabet-owned company, here’s the kicker – subscriptions have abruptly stalled.

Growth in Google’s most critical division – YouTube – has all-but-flatlined.  In fact, when pressed about coming $1 billion short of Wall Street’s revenue expectations last week, top executives blamed the video platform.  Investors quickly punished the search giant over the weak earnings report, with Google’s shares plummeting 8.6%, its worst drop since 2012.

In a note summarizing the search giant’s poor quarterly results last week, Brian Nowak, an analyst at Morgan Stanley, wrote,

What Happened[?]  [Google’s] deceleration and uncertain forward trajectory highlight the need for better transparency.

Underscoring the video platform’s inability to turn its massive 2 billion user base into paying subscribers, YouTube Music has only added 6 million subscriptions since its official launch last May.  Google now has 16 million subscribers around the world.

Though Lucas Shaw wrote the search giant is now “chasing Spotify,” the truth behind the search giant’s numbers is actually much less optimistic than the Bloomberg writer would have you believe.

Shaw wrote (with my own added emphasis),

Google, part of Alphabet Inc., is still a long way from the market leaders: Spotify Technology SA has more than 100 million subscribers, while Apple Inc. has more than 50 million.  But the progress is a good sign for an ad-supported company that has rarely gotten customers to pay for its services.

But, it’s really not.  Just take a look at the facts.

Between May 2018 and March 2019, Apple Music and Spotify added over 10 million and 20 million subscribers, respectively.  Around the world, Amazon now has 30 million.

As the Wall Street Journal wrote,

Muted Growth.

“Google has struggled to convert users into paying customers, placing the company fourth in music subscriptions globally.

Responding to the report, and refusing to elaborate, a Google spokeswoman merely dismissed the dismal subscription turnover rate as “inaccurate.”  She added paid music subscriptions have grown 60% year-over-year.

But, when you start off with a ridiculously low number of subscriptions, and your video platform has over 2 billion monthly active users, 60% isn’t something to gloat about.

Plus, YouTube Music Premium and Premium remain available in 43 countries.  So, even without doing the math, you can see the terrible position Google remains in.  Excluding Spotify and Apple Music’s sizeable market lead, the search giant’s subscription total tally trails Amazon by nearly 50%.

Even worse for the company, between December 2018 and March 2019, sources told WSJ Google’s music-subscription offerings “stalled over the four-month period.”  Meanwhile, the top 3 streaming music players showed “significant subscriber growth.”

Spinning YouTube Music’s recent launch in India, Google CEO Sundar Pichai claimed local users had downloaded the app over 15 million times.  Like Spotify, however, he remained quiet about the actual subscription numbers in the country.

 


Featured image by YouTube Music.

2018 Streaming Music Price Bible Published Based on a Single Source

Despite the contradicting variations in analysis, one factor stays clear for indie artists – don’t anticipate to earn sufficient from streaming music.

Late final month, up to date its listing of what streaming music companies pay.

Thanks to info from third-party web sites, in keeping with their per-stream price.

Napster, the king of streaming music payouts, now pays out $zero.019 per stream.  To meet the month-to-month minimal wage quantity within the US ($1,472), an artist would wish 77,474 whole performs.

Jay-Z’s beleaguered TIDAL stays a high participant.  The service pays artists $zero.zero125 per stream.  Artists on TIDAL now want 117,760 whole performs to earn $1,472.

Taking third place, Apple Music now pays $zero.00735.  Artists on Apple Music want round 200,272 performs to earn the US month-to-month minimal wage quantity.

Beating out Deezer for the primary time, Google Play Music (GPM) per-stream price stands at $zero.00676.  Artists will want round 217,752 whole streams to earn $1,472.

Falling to fifth place, and with out a longtime presence within the US, Deezer’s per-stream price rose to $zero.0064, inserting it proper behind GPM.  Artists want 230,000 whole performs to earn the US month-to-month minimal wage quantity.

Previously ranked because the service with one of many worst payouts, Spotify reportedly pays $zero.00437 per play.  That quantity varies per artist, with award-winning cellist and composer Zoe Keating receiving on common $zero.00543 per play.  Typically, artists will want round 336,842 whole performs to earn $1,472.

Right behind Spotify, Amazon now pays $zero.00402.  Artists will now want round 366,169 whole streams to earn the month-to-month minimal wage quantity within the US.  Previously, Amazon paid indie artists $zero.0074 per play.

Pandora has traditionally paid indie artists dismal quantities by way of royalties.  The firm now pays artists $zero.00133 on Pandora Premium.  Artists will want 1,106,767 whole performs on Pandora Premium simply to earn $1,472.

Historically, YouTube hasn’t ever been an artist-friendly platform, due to its horrendous payouts.

Executives pay artists $zero.00069.  To earn the month-to-month minimal wage quantity within the US, artists will want round 2,133,333 whole performs on YouTube.

Now, The Trichordist has launched its listing of streaming music payouts.

Say hey to the ‘Streaming Music Bible.’

Gathering its knowledge from a single supply – a mid-sized indie label with an roughly 250 album catalog which generates virtually 1 billion streams – The Trichodist has revealed its up to date listing of streaming music service payouts.

According to the information, Amazon Music Unlimited has the very best per-stream payout price at $zero.01175.  An artist would wish round 125,277 performs to earn the US month-to-month minimal wage quantity.  Amazon’s platform solely had a zero.68% share of all of the label’s streams, producing four.04% of all income earned.

Napster got here subsequent, paying $zero.01110 per play.  Artists on Rhapsody’s streaming music service would wish round 133,818 performs to earn $1,472.  The service had a zero.14% share, producing zero.80% of all income earned.

TIDAL fell to 3rd place, paying $zero.00927 per play.  Artists on Jay-Z’s beleaguered streaming music service would wish round 158,792 performs to earn the month-to-month minimal wage quantity.  The service had a zero.21% share within the label’s streams, producing zero.98% of all income earned.

In fourth place, Deezer reportedly paid $zero.00567 per stream.  Artists on the platform would wish round 259,612 performs to earn $1,472.  The French-based service had a zero.91% share in streams, producing 2.6% of all income earned.

Google Play Music got here behind Deezer, paying $zero.00543 per play.  Artists would wish round 271,087 streams to earn the month-to-month minimal wage quantity.  The service had a 1.12% share within the label’s streams, producing three.08% of all income earned.

Apple Music paid indie artists round $zero.00495 per stream.  Indie artists would wish round 297,374 streams to earn $1,472.  The service had a 9.95% share in general streams, producing a big 24.97% of all income earned.

Amazon Prime Music – labeled Amazon Digital Services – got here in seventh place, paying $zero.00395 per play.  Artists would wish round 372,658 performs on the platform to earn the US month-to-month minimal wage quantity.  The service had a zero.95% share in streams, producing a low 1.90% of all income earned.

Spotify got here shut behind Amazon Prime Music, reportedly paying $zero.00311 per stream.  At that price, indie artists would wish 472,312 streams to earn $1,472.  The service had a whopping 29.22% share of all of the label’s streams, and generated 48.93% of all income.

Among the worst paying companies, Pandora ranked in ninth place, paying $zero.00155 per play.  Artists would wish 949,677 performs to earn the month-to-month minimal wage quantity.  The service had a three.86% share within the label’s streams, and generated a dismal three.03% of all income.

YouTube ranked because the worst offender, paying artists a dismal $zero.00028 per play.  An artist would wish 5,257,143 performs to earn $1,472.  In phrases of all streams for the label, the service had a whopping 48.58% share, producing solely 6.99% of all income.

Speaking in regards to the knowledge, The Trichordist defined,

The largest takeaway by far is that YouTube’s Content ID, (in our first actually complete knowledge set) exhibits a whopping 48% of all streams generate solely 7% of income.  Read that once more.  This is your worth hole.  Nearly 50% of all recorded music streams solely generate 7% of income.

The Trichordist’s knowledge clearly contradicts knowledge discovered from precise artists and different third-party sources.

You can view the infograph beneath.

 


 

What Streaming Music Services Pay (Updated for 2019)

Find out how a lot you’ll earn from the preferred streaming music providers – Pandora, Napster, Spotify, Apple Music, Deezer, and extra.

Early final yr, Digital Music News printed its streaming royalty payouts listing.

Thanks to data from third-party web sites, we ranked streaming music providers in keeping with their per-stream price.

YouTube Music Subscription Service Re-Launches & Will Replace Google Play Music

YouTube may be the streaming originator. Before anyone would use Spotify or Apple Music, YouTube was the go-to spot for streaming music. The video service has already found ways to capitalize f its enormous user base through advertisements, but YouTube struggled in retaining subscribers that would pay for their services. YouTube Music is aiming to change that. 

According to Variety, the new subscription service features three tiers. The first tier is ad-supported, meaning that subscribers can listen to music for free. The second tier the music service costs $9.99. The third tier is called YouTube Premium, which is just a replacement for YouTube Red, which costs $12. YouTube Music will replace Google Play Music as the primary player on Android devices. The new music app is set to include the ficial versions millions songs, thousands playlists, studio albums, music videos, and artist radio. The first five countries to receive the new subscription service are U.S., Mexico, Australia, New Zealand, and South Korea. Canada and 13 European countries will receive the service at an undisclosed date. YouTube Music will have one large advantage over its competitors, it already has a massive catalog non-musical content. Offical episodes television shows, music videos, vlog series, lyric videos, interviews and more are already available on the site. 

YouTube Music launches on Tuesday and will feature time-based recommendations and predictive behavior to customize every users’ experience.