

The variable (and some say unsustainable) nature of this compensation, has led to criticism. Spotify distributes approximately 70% of its total revenue to rights-holders, who will then pay artists based on their individual agreements. Unlike physical sales or legal downloads, which pay artists a fixed price per song or album sold, Spotify pays royalties based on their "market share"-the number of streams for their songs as a proportion of total songs streamed on the service.
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Spotify, together with the music streaming industry in general, faces criticism from some artists and producers, claiming they are being unfairly compensated for their work as music sales decline and music streaming increases.

Spotify faces particular scrutiny due to its free service tier, which allows users to listen free with advertisements between tracks. Multiple artists have criticised the policy, most notably Thom Yorke and Taylor Swift, who temporarily withdrew their music from the service. Spotify distributes approximately 70% of its total revenue to rights holders, who then pay artists based on their individual agreements. Unlike physical sales or downloads, which pay artists a fixed price per song or album sold, Spotify pays royalties based on the artist's "market share"-the number of streams for their songs as a proportion of total songs streamed on the service. Spotify, a music streaming company, has attracted significant criticism since its 2006 launch, mainly over artist compensation. ( February 2018) ( Learn how and when to remove this template message) Please do not remove this message until conditions to do so are met. Relevant discussion may be found on the talk page. The neutrality of this article is disputed.
