Spotify paid over 1,500 artists at least $1 million in streaming royalties in 2024, with their total recorded music revenue likely exceeding $4 million, according to the company’s annual Loud and Clear report.
Streaming Success Beyond Chart Hits
More than 80% of these artists never had a track in the Spotify Global Daily Top 50. Most began their careers after 2010, and over 80% actively toured, performing at least one concert in 2024. Spotify highlights that success in the streaming era no longer relies on chart rankings or a long-standing discography. Instead, building a loyal audience that listens regularly is key.
The company estimates that artists can approach $1 million in yearly revenue with 4-5 million monthly listeners or 20-25 million monthly streams, adds NIX Solutions.
Record Royalties and Spotify’s Profitability
In total, Spotify paid a record $10 billion in royalties to the music industry in 2024—more than any single retailer has ever paid in a year and 10 times the peak contribution of the largest CD-era music store. It’s important to note that Spotify does not pay per stream; royalties are calculated based on an artist’s share of total listenings in a given market.
Spotify also reported its first full-year profitability, with a net profit of €1.14 billion (about $1.18 billion) in 2024, a sharp turnaround from a €532 million loss in 2023.
The streaming landscape continues to evolve, and we’ll keep you updated as more trends emerge.