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The numbers from 2016 are in, and Universal Music Group’s overall earnings are up 4.4% from last year to reach a $5.57 billion revenue. Streaming, in particular, played a large role in this revenue boost, growing by 58% in 2016.
The article from Digital Music News had a fun little paragraph that broke down the facts about streaming income:
“Per the company’s numbers, 2016 streaming figures equated to $137 million a month. By week, the company makes $32 million, and per day it earns $4.5 million.”
$4.5 million dollars a day from streaming. That’s a bit more than just pocket change.
The increase in streaming revenue helped to offset the inevitable fall of sales in albums (-15%) and downloads (-29%). Many individuals have been worried about the condition of the music industry (due to declining numbers in the areas listed above). However, with the surge in streaming, companies like UMG have been able to have continued revenue growth.
These numbers are just another confirmation that the future of the music business lies in streaming, and it is more essential than ever to make sure artists and producers are receiving proper compensation (royalties) from these services. If this means an update in the Copyright Law, then may it happen sooner rather than later. It’s time for the law to catch up with the technology changes that have followed.