Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.

smorrissey

macrumors 68000
Mar 12, 2015
1,557
772
Because they are using it to get people onto their service. Musicians don't need Apple right now - they have Spotify and all the other streaming services to go to. Apple, on the other hand, needs musicians to get its service off the ground. Therefore, Apple should pay them royalties, even though the company is making no money (but building a valuable user base) for 3 months. Plain and simple.

Apple had all those artists much time before Spotify: iTunes.
 

Bawstun

Suspended
Jun 25, 2009
2,374
2,999
Spotify has a larger listening audience, and even a less expensive subscription price if you want one. And they only have a few million paying subscribers.

Spotify has more labels, more song selection. I don't see how Apple can compete with this, they've chopped themselves off at the knees before they even began.
 

lazard

macrumors 68000
Jul 23, 2012
1,608
818
Artist then you should say NO to Apple. i know its not easy though...

A lot of artists have said no. Adele is not on board, Swift will not have her latest album available, a majority of the indie labels have still not agreed to terms with Apple.
 

smorrissey

macrumors 68000
Mar 12, 2015
1,557
772
A lot of artists have said no. Adele is not on board, Swift will not have her latest album available, a majority of the indie labels have still not agreed to terms with Apple.

Nop Adele is ON iTunes and Taylor too. Personally i don't differentiate between iTunes and Apple Music for me both artists are with Apple.
 

smorrissey

macrumors 68000
Mar 12, 2015
1,557
772
Her label has not agreed to terms with Apple's streaming music service

Sure but shes with Apple, just a question of time...$$ same for Taylor.

I want to see both artist removing all their music from both services...that would be brave.
 

AlecZ

macrumors 65816
Sep 11, 2014
1,173
123
Berkeley, CA
And that is exactly the point: they don't agree! Apple seems to "force" them by threatening with iTunes bans, which alone is far below the belt and leaves some bad taste. Imagine, if majority of indie artists would quit (or would be quit) from iTunes. What purpose would it be good for?

It wouldn't be good. There's a risk for everyone. Yes, music artists will probably dislike the iTunes Store for having such harsh terms. I think Apple, for their own good, should pay the artists full or at least half price during the trial period so they don't scare 'em away. There are plenty of music streaming services they can go to instead that are more popular than Apple's. But it's not illegal as some want to claim.
 
Last edited:

MagnusVonMagnum

macrumors 603
Jun 18, 2007
5,193
1,442
So is this about the Apple Music free trial, or is it about how much of a cut record labels take before their artists?

It's about artists wanting to avoid getting screwed by large corporations that take their performances and don't want to pay them anything for it while they sit back and collect it instead. A lot of big artists would like to be independent too (who wants to give the record companies your money, particularly after you are already well known?). I think to some artists it's simply more of the same. Any way a big company can make money off their music or name without paying them is just more fuel to the fire. It's not just music either. It's the top 1% making 300x the average person's income and then using that clout to rig the game (laws) so they make even more and you make even less. Free enterprise? It starts off that way, but evil begets more evil and the more you get the more you think you should make and the less you should have to work for it. France reached a tipping point in the past that corporations and the rich should take more heed of before history repeats itself yet again in ways they won't like. FAIR and FREE aren't the same word.

Ultimately, Apple should not be making decisions with other people's property. You may think it's fine for them to volunteer free trials and that it would benefit the artist in the end. Others may disagree. The point is who owns the music they're handing out for free? I guarantee you it's NOT APPLE so why is Apple making the ownership decisions? They want to do free to attract more people to their business? Fine. Let Apple pay for it. Surely it's chump change for the richest tech corporation in the world but not so for others.
 
  • Like
Reactions: Benjamin Frost

genshi

macrumors 6502a
Anyway, to everyone else, since I am both a fairly unknown indie artist as well as an indie record label with music on the iTunes Music store, I have some actual insight into all of this. The offer I received was simply, Apple has a new streaming service "Apple Music" and I have the option to add all of my current iTunes Music Store music to this new streaming service with the condition that I won't get paid for the first 3 months of streaming due to the free trial. Me opting in or out has no affect on my music releases that are currently in the iTunes Music Store. Simple as that. I opted in since it's worth it for me to get my music on Apple's streaming service in case it does take off; though I generally don't like streaming services because I don't make as much money...

Also, I've made more money selling through Apple's iTunes Music Store than any other service (e.g. Amazon MP3 Store, Google Play, Xbox Music, etc.) And don't even get me started on Spotify! As I mentioned in another thread here, for every song of mine that sold on the iTunes Music Store (of which I received 70 cents per song) that same song streamed 50 to 100 times on Spotify... and I have yet to see a single penny in over 2 years from Spotify! Yes, I'll be pulling all of my music from Spotify very shortly here.

EDIT: One other thing I want to clarify is this, I don't think people get how the 3 month trial works, especially with relation to an indie artist. It's not a 3 month free trial starting in June and nobody gets paid no matter what! It's a 3 month free trial whenever a particular user signs up for the Apple Music streaming service and it depends on what he/she actually listens to.

So, for example, lets say Joe Schmoe decides to finally sign up to Apple Music on September 1st. He now has a 3 month free trial until the end of November. During that time all his "streams" are nothing but U2, AC/DC and Neil Diamond. So those 3 artists (or rather, their Record Labels) won't get paid for Joe's streaming during the months of September through November. Do you really think I am worried about that as an indie artist? Really?

On the flip side, say one of my fans (yes, I do have some) signs up to Apple's Music stream and the first thing they do is look for my songs. If I had opted out, my fan can't stream my stuff and I don't make any money anyway (and then my fan may forget about me and move on.) But if I opted in, which, again, I have, then my fan, who has already most likely bought my music in the past, is happy to see I am also part of the streaming service and now looks forward to what I do in the future. It's definitely a win/win for any indie artist to opt in and not to worry about the 3 month trial. It's really not that big of a deal.

Interesting topic! People have made some good points on both sides of the argument. I have mixed feelings on it all...

Thanks for sharing your perspective on this as an indie artist. I found it enjoyable and informative. I hope you're right!! :)

I hope I am too. To be honest I do have some mixed feelings about this. In reality, if you are already a big artist like Taylor Swift, this isn't going to affect you one bit (they've made a great amount of money on sales previously, and they will again once any trials are over) and if you are complete unknown indie artist that makes very small sales like my Seven Summer Eyes project, then I doubt millions of people, or even hundreds of thousands, will be specifically seeking you out during the trial just to stream your stuff. Most likely, it won't affect them either.

Who it will affect is those indie artists that are on the verge of becoming successful, that may get tens of thousands of sales, just enough to live off on, and once Apple Music goes live, if a bunch of people subscribe and get the free trial and seek out that particular, on-the-verge-of-success, indie artist, that means those fans are no longer buying that artist's music and are instead, streaming it for free, for 3 months. That could bankrupt that artist! That's where I am at with one of my new projects Science Patrol, which is quite surprising how this project of mine has taken off. I've been enjoying steady album sales, so if other people discover me during the trial of Apple Music, it could really hurt me.
 

Bawstun

Suspended
Jun 25, 2009
2,374
2,999
Let's just say what everyone knows - advertisement from streaming services, sales from physical purchases, and digital purchases, live tours, as well as all other forms of merchandise and advertisement revenue generate far more than enough dollars that no one has to be depriving the artists of anything here. It's all BS - and quite confusing greed on Apple's part, IMO. Seriously, offer the free trial, and pay the damn artists. The new 6S will pay for that 1000000000 billion times over. It's nothing short of ridiculous.
 
  • Like
Reactions: Benjamin Frost

lazard

macrumors 68000
Jul 23, 2012
1,608
818
How is Apple MAKING money by offering a 3 month free trial?

They whole point of Apple music as well as their other services is to keep people buying their hardware. They make almost all their profits from hardware, not itunes, match, etc.
 

Marshall73

macrumors 68030
Apr 20, 2015
2,676
2,773
Are you sure? I was pretty sure that it was a 3 Month Free Trial. And the service starts June 30th. Not a 3 month trial only from June.

Just read the terms from the Apple Music site and it looks like it's 3 months from when you sign up. This is a dumb move, they should do a one time trial then they would have no moaning.
 

Luis Mazza

macrumors regular
Jun 2, 2015
195
212
Most people who think artists should work for free have no idea how business works.

Except they're not working anymore. That music was recorded and we're talking about licensing, not actual work. Dont't pretend that is same thing.
 

vladi

macrumors 6502a
Jan 30, 2010
961
576
All these indie crybabies are sickening me. Without Apple, they would be nothing.

Absolutely! Just by landing your music alone on iTunes will make you living and famous. Such prosperity hasn't been seen since the dot com bubble.
 

Arndroid

macrumors 6502a
Oct 3, 2013
903
461
That are leveraging other people's talent for free so that they can gain an edge on the competition. An artist would likely see little to no benefit if their music is already on Spotify or Rdio. Apple is using its corporate muscle to force artists to comply here, and it's rather unethical.

Like many others have said, I would choose to opt out as a musician. However, it's still up in the air as to what kind of coercive tactics Apple is using here (if at all).

Wrong. Apple is paying a higher royalty in perpetuity over any other service so it does benefit them.

An artist being against getting higher royalties in exchange for a shortbread trial offer is an idiot.
 

Flight Plan

macrumors 6502a
May 26, 2014
846
788
Southeastern US
So is Apple paying according to upthumbs and downthumbs, or some sort of ranking "star system"?

If users downthumb, then song is played less or not at all and pay to artist is less. If they upthumb, song gets more rotation and pay is more.

If we're gonna be all entrepreneurial about this, then let's take the training wheels off!
 

Arndroid

macrumors 6502a
Oct 3, 2013
903
461
Without taking any side, it means, Apple wants to use and distribute someone's content for free for certain period of time? Isn't that considered illegal elsewhere?

I mean, go try using some unlicensed music even in your non-commercial YouTube video and you're going to face a legal claim in no time, or your video gets banned "because of using copyrighted material"...

So why doesn't Apple want to pay copyright owners for three whole months?
Well, because they wont get paid by customers for the same period of time. But this is called a commercial risk, which only Apple has to bear and nobody else.

But maybe Apple will send those "ungrateful hipsters" another U2 album, at least. Because that's punk and because Apple has already paid Bono for it. ;)

No it's not illegal. Apple has a negotiated contract to do this with the record labels. In fact in exchange for the longer trial period they guarantee higher royalty payments.
 

Arndroid

macrumors 6502a
Oct 3, 2013
903
461
Let's say Spotify are paying 70% royalties with 1 month free and Apple 72% with 3 months free.

If someone signs up with Apple rather than Spotify, it will take 5 years before the Apple royalties have caught up with the Spotify royalties (due to the extended free period).


Except spotify pays lower royalties for student plans and for their ad supported tier. So the real percentage between what apple pays and what Spotify pays is much greater than 2%
 

Arndroid

macrumors 6502a
Oct 3, 2013
903
461
Here's my beef.

Firstly: Yes, Apple has every right to offer their music streaming service for 3 months for free. thats business. thats their "loss leader" to get people in the door.

What I have problems with is Apple trying to dictate to the suppliers (musicians / artists) that they wont get paid for the first 3 months.

Listen, in this case, Apple is a vendor for someone elses product. Just because Apple chooses that their service will be free for a period of time, doesn't mean that their suppliers should be forced to bear the brunt of that financial hardship.

Appple is giving us a discounted/free item, not at their expense, but the expenses of those who are producing the goods we wish to consume.

That to me is wrong. When your local burger place is doing a "2 for 1" special. They don't turn around and tell the beef producers to also give them 2 for 1 on their chuck, they still pay full price.

What Apple has done with this 3 months is unethical, and they're using their sheer size and momentum to force suppliers to eat apple costs.

Actually retailers and manufacturers do all kinds of promotions together to offer discounts where both parties absorb the expense.

This is not unusual at all. And again, in exchange for the free trial condition apple is paying higher royalties. This was a negotiated contract between apple and those who control the music licenses.

Independent artists are free not to participate.
 

LXC101

macrumors member
Feb 12, 2014
47
134
Apple had all those artists much time before Spotify: iTunes.

Yes, and cars had engines before planes.
iTunes isn't a streaming service, and for some reason (I honestly don't know why because I prefer downloads) people seem to be moving towards streaming.
 
  • Like
Reactions: Benjamin Frost

smorrissey

macrumors 68000
Mar 12, 2015
1,557
772
Yes, and cars had engines before planes.
iTunes isn't a streaming service, and for some reason (I honestly don't know why because I prefer downloads) people seem to be moving towards streaming.

Pretty much because they will get more for their money.

10 bucks = 1 month = hundreds of songs
10 bucks = 1 iTunes album.

Me, i prefer physical stuff (CD) if i cant get that then files of course however it is very practical to have a streaming service you have all the music in one place.
 

Michael CM1

macrumors 603
Feb 4, 2008
5,681
276
Most people who think artists should work for free have no idea how business works.

I work for a newspaper. I totally know the pitfalls of "free" work, especially with as many times as I have fixed technical stuff for other people. I mean I don't really mind that for friends and family, but it is nice when they appreciate the effort you put in and throw you a bone.

And I wasn't saying indie artists shouldn't be paid. In fact I thought Apple should've made the recent decision to foot the bill from the beginning. But now it's fixed, all a moot point.

Our society needs to learn that work doesn't come without a price. So many industries have been hit hard by this. Journalism, music, software, etc. If you haven't seen some of the complaints on here when a very useful app is 99 cents but also has ads, it's amazing. It's like they've never used cable/satellite TV before. It has a subscription fee PLUS ads!
 

iopcritter

macrumors newbie
Oct 1, 2014
26
0
Charleston, SC
Certainly an artist should be paid for any use of their product, and even though Apple is not making any money during the free trial period that's their choice and should not apply to the artists. That said.... I find the cries of impending doom and labels going under quite laughable. How can anything bad come from no royalties coming from a revenue stream that didn't even exist before?
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.