Its an increasingly fragmented market.

The major music labels had a 33% growth in Q2 2020 to reach $3.1 billion. In the same period, had Spotify just 23%. Why isn’t Spotify’s dominant market role following the music labels growth? Even though Spotify is still the most significant market share with 31%, it’s significantly down from 2016 heyday of 38%.
The answer is that the global streaming market is diversifying.
Streaming is becoming much more than just subscriptions. WMG’s Steve Cooper recently reported that such ‘emerging platforms’ “were running at roughly $235 million on an annualized basis” (total emerging platforms in 2020 was $1.5 billion).
In its self will the revenue growth of Spotify be a significant sign that its glory days are ending as dilution and churn take their toll. Spotify’s share of streaming revenue growth fell from 34% in Q4 2017 to just 26% in Q2 2021. Unlike total streaming revenue, the revenue growth figure is relatively volatile, with Spotify’s share ranging from a low of 11% to a high of 60% over the period.

We are looking at an increasingly fragmented market, where no single commercial partner has enough market share to wield undue power and influence.
However, I see no problem in a “not-for-profit” organization like Internet Media Foundation (IMF) governs a fragmented market with New Internet Media (NIM) handling the royalties transaction more efficient.

In the following article, I will look closer at IMF and NIM’s role in such diversified markets with emerging platforms.