A music streaming service is a type of online streaming media service that focuses primarily on music, and sometimes other forms of digital audio content such as podcasts. These services are usually subscription-based services allowing users to stream digital copyright restricted songs on-demand from a centralized library provided by the service. Some services may offer free tiers with limitations, such as advertising and limits on use. They typically incorporate a recommender system to help users discover other songs they may enjoy based on their listening history and other factors, as well as the ability to create and share public playlists with other users. It may also include customized radio or social media platforms.[1]
Streaming services saw a significant pace of growth during the 2010s, overtaking digital downloading as the largest source of revenue in the United States music industry in 2015,[2] and accounting for a majority since 2016.[3] As a result of its ascendance, streaming services (along with streams of music-related content on video sharing platforms), were incorporated into the methodologies of major record charts; the "album-equivalent unit" was also developed as an alternative metric for the consumption of albums, to account for digital music and streaming.[4] It has also caused a cultural shift for consumers renting rather than buying music outright.[5]
Consumers moving away from traditional physical media towards streaming platforms attributed convenience, variety, and affordability as advantages.[6] On the contrary, streaming has also been criticized by some artists for making them earn less from their music and artistry compared to physical formats, especially with pay-per-stream systems. Some critique that this system makes it so artists get paid as low as one-tenth of a cent per steam, while streaming services like Spotify tripled in value with no increase in payouts to artists.[7] This is one of the main limitations that comes with music streaming services.[8][9]