Amazon Music May Follow Spotify's 1,000-Stream Minimum Amid New UMG Artist-Centric Deal

Amazon Music May Follow Spotify's 1,000-Stream Minimum Amid New UMG Artist-Centric Deal

By Marcus Hartley

December 27, 2024 at 12:22 AM

Amazon Music's expanded partnership with Universal Music Group (UMG) raises questions about potential implementation of a 1,000-stream minimum threshold for royalty payments, similar to Spotify's recent policy.

The newly announced "artist-centric" deal between Amazon Music and UMG includes several key components:

  • Joint advancement of artist-centric principles
  • Enhanced fraud protection measures
  • Exclusive content with UMG artists

Amazon Music app showing artist interface

Amazon Music app showing artist interface

While specific details remain undisclosed, this development follows Spotify's controversial April 2024 implementation of a 1,000-stream minimum requirement for recording royalties. That change significantly impacted independent and unsigned artists while benefiting major labels with high-streaming catalogs.

Universal Music CEO Lucian Grainge praised Amazon Music's "deep commitment to the interests of our artists," suggesting potential alignment with industry-wide shifts toward artist-centric payment models.

Additional context worth noting:

  • Amazon Music recently added monthly audiobook access to existing streaming plans
  • Questions persist about potential reclassification as bundles under Phono IV determination
  • Major labels have remained notably quiet about Spotify's similar bundling initiatives

Chief Keef under FBI surveillance, bounty

Chief Keef under FBI surveillance, bounty

Beyoncé performing in white cowboy outfit

Beyoncé performing in white cowboy outfit

The impact of these changes on artists, songwriters, and publishers will likely become apparent as the agreement's implementation unfolds through 2025.

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