How do digital service providers make money?

Digital Service Providers (Retailers, Partners, Streaming Providers) generally have deals that net them about 40%-50% with the other half going towards the partner they are engaging with. From a retail standpoint, if a sale is made at say, .99c, then they keep 40%-50% of that, then pay us. From that cut, we then pay you, the artist or record label based on the deal that you have with us.

From a streaming provider perspective, Digital Service Providers earn revenue by charging consumers a subscription rate to access the music hosted on their service and/or by charging advertisers agreed upon dollars for the placement of ad-based content.

Every partner has different percentages, rules, and guidelines and unfortunately, the deal terms that we have with them must remain confidential.

 

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