The National Music Publishers' Association (NMPA) has highlighted a striking disparity between Spotify CEO Daniel Ek's personal earnings and songwriter compensation. According to the NMPA, Ek's stock sales in 2024 totaled $376 million, while U.S. songwriters collectively received an estimated $320 million in Spotify royalties during the same period.

NMPA CEO David Israelite emphasized this disparity, stating "The system is broken. Songwriters and publishers need the freedom to negotiate rates in a free market."

Ek's stock sales have continued into 2025, with regulatory filings showing total sales of nearly $560 million since February 2024, including approximately $127 million in transactions during February and March 2025 alone.

This criticism emerges amid ongoing disputes between Spotify and the music publishing industry, including:

• Concerns over Spotify's audiobook bundling practices affecting music royalties
• Major publishers opting for direct deals
• Licensing challenges for Spotify's planned remix and mashup features
• The Mechanical Licensing Collective's (MLC) legal challenge regarding subscription reclassifications

A federal judge recently revived parts of the MLC's dismissed lawsuit, focusing on claims about improper royalty payments for audiobook plans and pricing strategies. The MLC has until April 1st to submit an amended complaint addressing these specific issues.

Related Articles

Previous Articles