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LESSON 1 · How the Music Business Works

Money reaches an artist through four main channels:

  • Streaming — platforms pay rights holders from revenue pools and stream share; a traditional label may keep most of the recording royalty before the artist sees money
  • Publishing — songwriters earn separately whenever a song is played or used
  • Live shows — usually the biggest earner, and the cash goes more directly to the performer
  • Sync licensing — getting a track into films, TV, ads, and games

The surprise for most newcomers: the recording is often the smallest piece.