The New Music Business with Ari Herstand
Spotify Commissioned Cheap "Fake Artists" And She's Got the Proof
Feb 12, 2025
Liz Pelly, a prominent music journalist and author of "Mood Machine," dives deep into Spotify's controversial strategies. She reveals how Spotify's Perfect Fit Content program utilizes ghost artists, undermining real musicians and affecting the integrity of the music industry. Liz discusses the financial implications for artists and the discrepancies in royalty distribution, especially between independent creators and major labels. Their conversation highlights the urgent need for transparency and a revaluation of music's worth in the streaming era.
01:22:51
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Quick takeaways
- Liz Pelly exposes how Spotify's Perfect Fit Content program uses ghost artists to undermine the visibility of independent musicians.
- The podcast highlights the disparity in streaming royalties between major labels and independent artists, emphasizing an inequitable industry landscape.
Deep dives
Spotify's Perfect Fit Content Program
Spotify's Perfect Fit Content (PFC) program relies on various production companies to provide background and mood-based music at reduced rates. These playlists often consist of tracks attributed to so-called 'ghost artists'—musicians whose names are not widely recognized and may not even exist as individual projects. This internal effort allows Spotify to offer playlists with high streaming volumes while keeping costs low, significantly impacting the availability and visibility of actual independent artists. The licensing agreements with companies like Epidemic Sound and Firefly enable Spotify to prioritize this lower-cost music, raising questions about the fairness and transparency of streaming royalties.
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