SoundExchange Represents 16% Of Music Business Revenue As Streaming Overtakes Downloads
April 14, 2016 at 4:15 AM (PT)
Streaming has surpassed music downloads as the biggest source of revenue in the music industry, according to data distributed by the RECORDING INDUSTRY ASSOCIATION OF AMERICA (RIAA). That has fueled growth at SOUNDEXCHANGE by increasing the performance royalties they collect and distribute to music creators.
In 2015, SOUNDEXCHANGE distributions of $803 million represented 16% of the recorded music industry’s wholesale revenue -- revenue to record labels and artists -- which reached $4.95 billion last year, according to the RIAA’s data.
Streaming accounted for 34.3% of the recorded music industry market in 2015, while downloads accounted for 34% of the retail market. The growth of streaming has been dramatic in recent years, increasing from 7% of retail revenue in 2010 to more than 30% last year. Streaming generated $2.4 billion in revenue in 2015, a 28.5% increase over 2014 revenue, when streaming revenue reached $1.86 billion. Music downloads generated $2.3 billion in revenue in 2015, a 10% decline compared to 2014 revenue.