How is streaming revenue split?

How is streaming revenue split?

• A. DSPs keep 70%; rights holders receive 30%.
• B. DSPs keep 50%; rights holders receive 50%.
• C. DSPs keep 0%; rights holders keep 100%.
• D. DSPs keep 30%; rights holders receive 70%.

Answer: (D)

Streaming revenue is split between the platform and the people who own the content. Money from subscriptions and ads comes into the DSP, which then keeps a portion for its own costs and profit. The remaining revenue is paid out to rights holders. The commonly taught split is that the platform retains 30% while rights holders receive 70%. This 70% is distributed to those who own the master recording (labels, distributors, or the artist, depending on contracts) and, separately, to songwriters and publishers through their own arrangements. The exact amounts per stream can vary with contracts, geography, and subscription type, but the 30/70 division is the standard reference.

Streaming revenue is split between the platform and the people who own the content. Money from subscriptions and ads comes into the DSP, which then keeps a portion for its own costs and profit. The remaining revenue is paid out to rights holders. The commonly taught split is that the platform retains 30% while rights holders receive 70%. This 70% is distributed to those who own the master recording (labels, distributors, or the artist, depending on contracts) and, separately, to songwriters and publishers through their own arrangements. The exact amounts per stream can vary with contracts, geography, and subscription type, but the 30/70 division is the standard reference.