French President Emmanuel Macron has reignited the debate on music streaming payments, expressing concerns about the fairness of the current model for artists.
In a recent interview with Variety, Macron highlighted the disparity in how streaming platforms compensate musicians, suggesting that the system may be “skewed” against artists with average followings.
“Today, with music streaming services, singers do not receive fair remuneration,” Emmanuel Macron said. “In the case of streaming, they decide to pay people who are streamed a lot very well. But in the music field, for instance, they undervalue a variety of artists who have average followings, whereas an artist who is suddenly downloaded by a few young people over a period of a few months will be fairly remunerated.
The French leader’s comments reflect a growing concern within the music industry about the fairness of streaming models. Recent changes by major platforms like Spotify, which no longer pays royalties for tracks with fewer than 1,000 annual plays, have intensified these discussions.
Luminate’s 2023 Year-End Music Report revealed that 158.6 million tracks received 1,000 or fewer plays on audio streaming services last year, underlining the scale of the issue.
In response to such concerns, some services are moving towards ‘artist-centric’ payment models. In partnership with Universal Music Group, Deezer, a Paris-based streaming service, introduced a new system in France last October, offering increased royalties for artists meeting certain listener and stream thresholds.
Meanwhile, Macron specifically mentioned French singers Étienne Daho and Barbara Pravi as examples of artists he believes should earn more from streaming platforms. “For me, maybe I’d like to see singers like Étienne Daho or Barbara Pravi earn a bit of money at the same time as Taylor Swift, so that it’s not all one-sided. The model of streamers is skewed today,” he said.
“In the case of streaming, they decide to pay people who are streamed a lot very well. But in the music field, for instance, they undervalue a variety of artists who have average followings.”
Emmanuel Macron, French President
The President’s comments come nine months after France implemented a 1.2% levy on music streaming services operating in the country. This tax, which took effect at the start of 2024, applies to major platforms such as Spotify, Deezer, Apple Music, and YouTube Music, targeting both subscription and advertising revenues.
The tax aims to fund the Centre national de la musique (CNM), a quasi-governmental organization supporting various French music initiatives. These include programs like the Fonds pour la création musicale (FCM), Centre National de la Chanson, des Variétés et du Jazz (CNV), CALIF, and the French Music Export Office.
Senator Julien Bargeton, who proposed the tax in 2023, described it as a measure to protect French culture in an increasingly digitized and globally influenced music landscape.
Music streaming companies have slammed the tax, with Deezer’s former CEO, Jeronimo Folgueira, describing it as “the worst possible outcome that will backfire and have negative consequences for the entire music industry in France.”
Following the implementation of the tax, Spotify raised its subscription prices in France, and began “disinvesting” in the French music sector, specifically by withdrawing its financial support for two festivals, the Francofolies de la Rochelle and the Printemps de Bourges.
While the French president did not propose specific solutions in the interview, his comments signal that the issue of fair compensation in the streaming era remains a priority for his administration.
The president’s latest remarks also come at a time when France has been taking a lead in drafting the EU’s AI Act, the first law regulating artificial intelligence. Macron told Variety that “artificial intelligence is going to revolutionize many sectors, from health care to energy, for better or for worse. There’s a race to innovate, so we have to be part of it.”
Macron emphasized France’s role in shaping AI regulation, highlighting the upcoming AI Action Summit in February.
“The idea is to endorse the technology and invest, but we’re also going to need rules and regulations. We need them, but they have to be global if they are to be effective. It has to be thought out at the right pace,” the president said.
Music Business Worldwide