How Apple Can Afford to Pay Twice as Much as Spotify for Music Streaming

Adam Levy, The Motley Fool
·4-min read
How Apple Can Afford to Pay Twice as Much as Spotify for Music Streaming

Apple (NASDAQ: AAPL) recently gave itself a pat on the back when it wrote a letter to recording artists noting it pays a penny per stream on its Apple Music service. There are a number of factors that enable Apple to pay more per stream to artists while keeping more of its revenue for itself. Spotify offers a free ad-supported tier for listeners, but Apple Music is subscription only.