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Apple Confirms It Will Pay 71.5% of Apple Music Revenue to Rights Owners

Apple Confirms It Will Pay 71.5% of Apple Music Revenue to Rights Owners

Apple revealed on Monday that it will pay out 71.5% of revenue from its new Apple Music streaming service to content rights holders. That is slightly more than is paid by competing services, such as Spotify.

Apple Confirms It will Pay 71.5% of Apple Music Revenue to Rights Owners

AppleInsider:

In the U.S., 71.5 percent of Apple Music subscription revenue will go to labels, songwriters, artists, and other rights holders, iTunes content chief Robert Kondrk told Re/code. That number will rise as high as 73 percent outside of the country.

Apple will not pay out royalties to the parties involved during the free three-month trial period. That had been a sticking point during negotiations with record labels, however Apple’s promise to pay higher royalties overall finally convinced the record labels to sign with Apple.

The company will pay lower royalties for content on their new Beats 1 radio stations, as well as on the revamped iTunes Radio streaming service. The exact percentages to be paid were not revealed for those services.

Apple Music will launch on June 30, and will be available for $9.99 per month for a single user, or $14.99 per month for a family of up to 6 people. Initially available for the iPhone, iPad, iPod touch, Mac and PC. The service will be available to Apple TV and Android users in the fall.

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