Money isn't taken directly out of your Premium monthly fee (or revenue paid from ads you listen to, if you're on the Free tier) and paid to the artists you personally listen to. But most sources agree that Spotify pays between $0.003 and $0.005 per stream, and that’s before the money is divvied up according to whatever terms are set out in distribution contracts. The actual amount of money that makes it back to the artists varies, depending on how much of a cut labels and distributors take. Spotify infamously pays artists fractions of a cent per stream. Now that streaming has largely replaced purchasing as the dominant model for music consumption, the vast majority of artists need you to actually buy things from them in order to make a living.
The ugly truth, of course, is that all those numbers - streams and minutes listened and different fake-sounding sub-sub-genres of pop - conceal the only one that really matters.
(Petition to have all playlists just named “Sleep” excluded from 2022 on.) It’s wildly shareable, inevitably memed, and usually a reliable mix of accurate and hilariously off-base. Every year, Spotify presents its hundreds of millions of users with a cute little gift: their own listening data, neatly packaged up with bright graphics and increasingly cringe all-purpose text pretending to be personalised.
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