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Apple decides on royalty rate of 0.2 cents per play during 90-day Apple Music free trial period

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Apple’s decided on a royalty amount to pay the artists on Apple Music during its 90-day free trial.

And that number is 0.2 cents per play.

The New York Times is reporting that music executives close to the story have stated that Apple has negotiated 0.2 cents per play with the record labels. The amount is comparable to free tier rates paid by competing streaming services.


In addition to the per-play fee, Apple is also paying a smaller sum to publishers for songwriting rights. Publishing companies confirmed that negotiations are still in flux less than one week from Apple Music’s launch.

On Tuesday, Apple inked eleventh-hour deals with Merlin and Beggars Group, which represent a large swath of indie labels and distributors.

The company came under fire this week when Taylor Swift made much ado over the loss of income artists would face as a result of Apple’s previous terms. After modifying Music’s royalty structure, Apple SVP of Internet Software and Services Eddy Cue spoke to Swift, reporting back that she was “thrilled” with the changes.

Apple and its Apple Music service came under fire in an open letter published by Swift to her blog. Apple quickly reversed its position, stating that Apple would pay royalties as needed.

Stay tuned for additional details as they become available.

Via AppleInsider and The New York Times

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