There has been a ton of chatter over the last several days since Taylor Swift et al decided to pull her catalog from Spotify. Some are pointing a finger at Spotify for paying out at too low a rate, others saying that Swift & Co. are simply trying to force fans to purchase more profitable downloads or CDs.
But what if Taylor Swift pulling her catalog (and withholding her latest record) was somehow beneficial to those who prefer to keep their music on Spotify? In theory, it should be. Since monthly artist payouts are calculated based on each artist’s total number of streams divided by the total number of streams on Spotify as a whole (equaling each artist’s “market share”), reduced total streaming volume due to the lack of a new Swift album (and her catalog) should have artists seeing more favorable payouts than they would if her music remained. See, it’s not all bad!