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LESSON 2 · How the Music Business Works

The Future of Streaming Economics

Several changes could reshape how streaming works:

  • User-centric payment would distribute each subscriber's fee to the artists they actually listen to, not the global pool. Deezer has begun implementing this
  • Higher subscription prices — Spotify raised prices in 2023-2024, and further increases are likely as ad-supported tiers become less viable
  • Artist-fan direct models — platforms like Bandcamp, Patreon, and Substack let fans pay artists directly, bypassing the streaming middleman
  • AI-generated content flooding creates a need for verification of human-created music, potentially through blockchain or authentication systems.