Carter is interviewed by Lane at TechCrunch Disrupt. He says that artists’ complaints about streaming revenues are flawed, because the only alternative to streaming services is piracy or having someone listen to the song on YouTube for free. He says artists to be patient, and said that streaming is a numbers game.
Once everyone is converted to services like Spotify, the economics will make a lot more sense.
However, he says that labels are not paying artists Spotify royalties.
Spotify came in and did a presentation for us, maybe about a couple of months ago, and our clients made a significant amount of income from Spotify. Well, let’s rephrase that: the labels made a significant amount of money off of Spotify that didn’t match up to the artist royalty statements that the artists received. So, Spotify is paying out a lot of money, it’s just not finding its way into the hands of the artists.
He also says that while Silicon Valley’s ecosystem eventually needs to open up:
If you don’t open up the opportunities to the people who understand the industry, and understand the space, Silicon Valley is going to miss out.