Digital Drive

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RE: It's a matter of $$$ with QOBUZ...

Posted by PAR on February 28, 2017 at 06:58:03:
Yes , hi-rez really can just mean lossless in streaming terminology, but CD quality up to 24/192 is what I am addressing.

The difficulty with pricing is that the streaming services and download providers don't have carte blanche. There almost certainly will be different levels of royalty payable for different qualities of the delivery. Not only do I expect that these differentials may be in place for the rcord companies' payments but also for the music publishers and artists (if the artists' payments are separate to those payable to the record company, which I don't expect).
That brings me to another economic difficulty that streaming services may face. The music publishers have a right to charge for every copy of their work made . This is called the mechanical right. It may be that each copy held by a streaming service results in a royalty payment for the exploitation of this right. However the vast majority of tracks that they have are never accessed by users and thus produce no income. I once saw a figure that indicated that for a service with, say, 30 million available tracks only a few thousand or tens of thousand are ever requested for play. So the streaming service may well simply just have to bear the cost of, say, 29 million of those tracks with little financial return beyond the fact that their mere existence attracts subscribers.