ah, you got to the main issue of the question. the problem is not different from before, and Spotify has just been used as a tool from the majors. if you read a comment below, I wrote that it’s true that Spotify pays their 70% to the artists… but they don’t tell how that money is redistributed. what we earn as independent is absolutely not the same of what a Warner or Sony artist earn. Spotify made under-the-table agreements with the majors in order to grab their catalogue and avoid getting shut off.
the majors saw spotify as a great tool to get themselves out of the hole they dug themselves into during the post 2000s, and kept doing their same shady kind of business.
so well spotted, you’re absolutely right.
of course it’s a better deal, Youtube Music barely pays anything. it’s even worse than Spotify, and most of their streamings come for free, which is enraging to say the least.
anyways they have two paths: they either suck the costs in and increase the subscriptions (and lose customers in the meanwhile, so they’ll earn less in order to give more money to the small artists) or they cut the share they’re giving to the majors, which is the biggest percentage of the pie. but majors will simply boycott spotify and create their own platform, just as it happened with netflix.