Category: Tech

DistroKid’s Pricing Structure and How It Doesn’t Align with Independent Artists

DistroKid is a popular music distribution service that allows independent artists to release their music on various online platforms like Spotify, Apple Music, and more. However, many artists have expressed frustration with DistroKid’s pricing structure and how it doesn’t align with the needs of independent artists.

DistroKid’s pricing structure is based on a yearly subscription fee, which ranges from $19.99 to $79.99 per year, depending on the plan chosen. While this may seem reasonable at first glance, it becomes problematic for artists who release a lot of music. For instance, an artist who releases a single every month would have to pay $239.88 per year just to distribute their music. This cost doesn’t include additional fees for services like YouTube monetization or Shazam verification.

Moreover, DistroKid charges an additional fee for each release an artist makes. While the first release is included in the subscription fee, subsequent releases cost $4.95 each. For artists who release multiple singles or albums per year, this can quickly add up and become a significant financial burden.

Another issue with DistroKid’s pricing structure is that it doesn’t offer any flexibility for artists. For instance, an artist who releases only one or two songs per year still has to pay the same subscription fee as an artist who releases multiple albums. This lack of flexibility makes the service less accessible to independent artists who are just starting their careers and may not have a lot of income.

Furthermore, DistroKid’s pricing structure doesn’t align with the revenue streams that independent artists rely on. For instance, streaming services like Spotify pay artists based on the number of streams their music receives. However, DistroKid’s pricing structure is based on a fixed subscription fee, which means that independent artists may not be able to recoup their costs if their music doesn’t receive a lot of streams.

In conclusion, DistroKid’s pricing structure doesn’t align with the needs and realities of independent artists. While the service may be useful for some artists, it can quickly become a financial burden for those who release a lot of music or who are just starting their careers. Independent artists should explore other distribution services that offer more flexibility and better align with their revenue streams.

The Top 10 Generative AI Projects at the Moment

Generative Artificial Intelligence (AI) is a field of machine learning that involves creating machines and algorithms that can produce new and original content. From art and music to literature and video games, generative AI is changing the way we think about creativity. Here are the top 10 generative AI projects that are pushing the boundaries of what’s possible:

  1. GANs for Art: Generative Adversarial Networks (GANs) are one of the most popular types of generative AI algorithms. They work by pitting two neural networks against each other. One network generates new content, while the other network tries to determine if the content is real or fake. Artists are using GANs to create realistic portraits, landscapes, and other types of art.
  2. OpenAI’s GPT-3: GPT-3 is the latest natural language processing model developed by OpenAI. It can generate human-like text, translate languages, and even answer complicated questions. With over 175 billion parameters, GPT-3 is one of the most advanced AI models in existence.
  3. Magenta: Magenta is a Google project that uses machine learning to create music and art. It includes a variety of tools for musicians and artists, including a neural network that can generate new melodies and harmonies.
  4. AI Dungeon: AI Dungeon is a text-based adventure game that uses GPT-3 to generate new storylines and characters. Players can input their own prompts and watch as the AI generates an entirely new adventure.
  5. GANs for Fashion: GANs are also being used in the fashion industry to create new designs and styles. Designers can input different parameters, such as fabric and color, and watch as the GAN generates new clothing items.
  6. GANs for Video Games: GANs are being used to generate new video game levels and characters. By inputting different parameters, game designers can create entirely new worlds and experiences.
  7. DeepDream: DeepDream is a Google project that uses neural networks to generate psychedelic and surreal images. Users can input their own images, and the AI will generate new, dream-like versions of them.
  8. Generative.fm: Generative.fm is a website that uses AI to generate ambient music in real-time. Users can customize the music by adjusting different parameters, such as tempo and mood.
  9. GANs for Medical Imaging: GANs are being used to generate realistic medical images, which can be used for training medical professionals and developing new treatments.
  10. GANs for Architecture: GANs are also being used in the architecture industry to generate new building designs and layouts. By inputting different parameters, architects can create entirely new buildings and structures.

As generative AI continues to advance, we can expect to see even more exciting projects and applications in the coming years. From art and music to medicine and architecture, the possibilities are endless.

Apple’s Cash Reserves: How Much Do They Really Have?

Apple Inc. is one of the largest and most successful technology companies in the world. The company is known for its innovative products, including the iPhone, iPad, and Mac, which have revolutionized the way we communicate and work. However, one of the most interesting aspects of Apple’s success is its cash reserves.

As of the end of the second quarter of 2021, Apple had a staggering $193.8 billion in cash reserves. This is a mind-boggling amount of money, and it’s hard to imagine just how much it really is. To put this in perspective, this is enough money to buy roughly 3,876,000 Tesla Model S Plaid cars, or to pay the yearly tuition fees of over 2.6 million Harvard students.

So, why does Apple have so much cash? Well, there are a number of reasons. First, Apple is an incredibly profitable company. In the second quarter of 2021 alone, the company generated $89.6 billion in revenue, with a net income of $23.6 billion. This level of profitability allows Apple to generate significant amounts of cash each quarter.

Second, Apple has a history of being very conservative with its spending. The company is known for being very disciplined when it comes to investing and spending money. This means that Apple has historically been able to generate significant amounts of free cash flow, which it can then use to build up its cash reserves.

Finally, Apple has also historically used its cash to invest in research and development, as well as to acquire other companies. This strategy has allowed Apple to stay at the cutting edge of technology and to continue to produce innovative products that consumers love.

In conclusion, Apple’s cash reserves are truly staggering, and they are a testament to the company’s incredible success and profitability. While some may argue that Apple should do more with its cash, there is no doubt that the company’s conservative approach to spending has helped it to build up a truly impressive war chest.

How do I Add or Remove Songs from RouteNote?

Adding Songs to RouteNote

To add your songs to RouteNote, you first need to create an account on their website. Once you have an account, you can log in and go to the dashboard. From there, you will see an option to “Create New Release.” Click on that and fill in the necessary details like the album or single name, artist name, and release date. Then, you can upload your music files and artwork. After that, you will need to select the streaming services you want your music to be distributed to. RouteNote offers both free and paid options, so choose the one that suits your needs. Once you have completed all the steps, RouteNote will review your release, and if everything is in order, they will distribute your music to the selected services.

Removing Songs from RouteNote

If you want to remove your songs from RouteNote, you can do so by going to your dashboard and selecting the option to contact the support team. The support team will do all the heavy lifting and you simply need to email them and ask them to remove the releases in question.

Spotify / Findaway – Dropping Its Cut on Audiobook Fees

Findaway, an audiobook seller owned by Spotify, has announced that it will no longer take a 20 percent cut of royalties for titles sold on its DIY Voices platform if the sales are made on Spotify. In a blog post published on Monday, Findaway stated that it would “pass on cost-saving efficiencies” from its integration with the streaming service. Last summer, Spotify finalized its $123 million acquisition of Findaway in a move to solidify its position in the audiobooks business.

While authors can upload their audiobooks onto Findaway’s Voices platform for free, the company normally uses an 80/20 pricing structure where Findaway takes a 20 percent fee on all royalties earned. However, that fee is applied after sales platforms take their own 50 percent cut on the list price. Under the old revenue split, an author who sold a $10 audiobook would have to give $5 to Spotify and $1 to Findaway. But moving forward, that same author will no longer have to pay the $1 distribution fee to Findaway when a sale is made through Spotify.

Financials and Multiples on the Believe Digital and Sentric Music Publishing Deal

This morning we posted about Believe Digital acquiring Sentric Music Publishing.

I wanted to provide a little more context about the acquisition.

Sentric – Companies House accounts – https://find-and-update.company-information.service.gov.uk/company/05721428/filing-history

2021 Year End Numbers:

  • £29.5m Revenue (up 57% YOY)
  • £24.2m COGS
  • £4.8m GP (8.5x multiple to value)
  • £1.2m NP (34x multiple to value)

Acquisition price was $51 million.

It feels like this was a good price on both counts. Utopia obviously sold Sentric at a discount, but they really need to get rid of the asset (they only purchased a year ago). Believe got a good asset in a new market – at a reasonable multiple.

Believe Digital Acquires Sentric Music Publishing from Utopia Music for $51 million

Believe Digital has acquired music publishing company Sentric for $51 million from Utopia Music.

This is a great move from Believe – and as Utopia have been in a lot of issues with debt recently – it feels like a bit of a fire sale.

“The acquisition of SENTRIC is the first step for BELIEVE in the roll-out of a global and comprehensive publishing offer. The growth and digital transformation of the songwriters’ market is opening-up many opportunities. We are excited to be able to immediately expand the services we provide to our existing TUNECORE clients with SENTRIC’s best-in-class royalty collection service, while starting to work on future innovative products and services for all of Believe’s songwriters and publishers.”

BELIEVE CEO DENIS LADEGAILLERIE said,

Believe is currently looking for more acquisitions – they normally focus around record labels, but this put Believe into a completely new market with a strong TAM.

Duolingo Working on a Music App – Music Industry Watch This Space!

Duolingo is currently working on a music app.

It turns out that Duolingo (which has over 500 million users – not sure how many are active) – have been working on a music app with a small team for some time.

There is currently a job for a learning scientist who is an “expert in music education who combines both theoretical knowledge of relevant learning science research and hands-on teaching experience”.

The job listing suggests that the app will teach basic concepts in music theory using popular songs and teachers.

This sounds very interest – as it would be a great stepping stone for Duolingo to move into a lot of new and interesting areas of education, with their already massive audience.

via – Techcrunch

Deel 2022 ARR (Annual Recurring Revenue) Reaches $295 million

Deel is an amazing HR tool that focuses on global payroll and compliance systems.

In 2021 Deel had $50 million in ARR

In 2022 Deel has just announced they had $295 million in ARR (annual recurring revenue).

This also coincides with Deel announcing that they are now at a $12 billion valuation.

In this past 12 months Deel has announced the launch of Deel HR, US Payroll, and Deel Engage, applications for hiring, managing and paying global workers compliantly.

Deel is going to be a company to watch in the HR space for many years to come and if they are going to be acquired they really need be acquired within the next 24 months – otherwise they are going to be too big!

Zoho Has a Strong Product Portfolio – but No Plans to Go Public Just Yet

Zoho is a privately held software development company that offers a wide range of products for businesses of all sizes. The company was founded in 1996 in India, and it has since grown to become a major player in the software industry.

One of the most notable aspects of Zoho is its extensive product portfolio, which includes solutions for various business functions such as customer relationship management, accounting, human resources, and more. Some of their popular products are CRM, Mail, Office Suite, Creator, and Books.

Zoho CRM, for example, is a comprehensive CRM solution that helps businesses manage their sales, marketing, and customer support activities. Zoho Mail, on the other hand, is a web-based email service that offers a range of features such as calendar, contacts, and tasks.

In addition to its diverse product offering, Zoho is also known for its commitment to customer service and support. The company offers a wide range of resources, including documentation, tutorials, and webinars, to help customers make the most of its products.

Despite its success, Zoho has no plans to go public. According to the CEO, Sridhar Vembu, the company is focused on building a sustainable business model, rather than chasing short-term gains. He believes that going public would pressure the company to focus on meeting quarterly earnings targets, rather than long-term growth.

However, it’s worth noting that this doesn’t mean that Zoho will never go public. The company could change its mind in the future if it feels that going public would be in the best interest of its shareholders.

YouTube is Looking to Offer Free cable-style TV Channels

YouTube is reportedly in the process of negotiating with media companies to provide their TV shows and films as part of an ad-supported hub of channels. The platform is already in the process of testing viewer interest in this idea and could potentially roll out the hub to more users before the end of the year, according to The Wall Street Journal. This could be a significant opportunity for YouTube to expand its platform, as well as to increase its revenue from advertising. Furthermore, it would give media companies the chance to reach larger audiences and potentially create more engagement with their content. This hub of ad-supported channels could be a mutually beneficial venture, with YouTube and media companies reaping the rewards.

How Much Money Does SoundCloud Pay Artists Per Stream?

Streaming services like SoundCloud have opened up new opportunities for musicians to be heard around the world. But many people are curious about the financial side of streaming, specifically how much money do artists make per stream on SoundCloud? In this blog post, we’ll explore the answer to this question.

SoundCloud’s Payment Model

SoundCloud’s payment model is based on revenue sharing. Each time a user listens to a song on the platform, the artist earns a portion of the revenue generated by ads or subscriptions. The exact amount varies depending on the terms of the artist’s contract with SoundCloud, as well as the country where the song is being streamed.

How Much Does SoundCloud Pay Per Stream?

The amount of money paid per stream on SoundCloud can range from $0.0017 to $0.0084, with the average being around $0.0031 per stream. However, the exact amount varies depending on the artist’s contract and the country where the song is being streamed.

Factors That Impact SoundCloud Revenue

The amount of money earned per stream on SoundCloud is affected by several factors, such as the artist’s contract with the platform and the country where the song is being streamed. Additionally, the type of user who is streaming the song can also affect the amount of money earned. For example, if a premium user is streaming the song, the artist may earn more money than if a free user was streaming the same song.

Streaming services like SoundCloud have opened up new opportunities for musicians to be heard around the world. But it’s important to understand the financial side of streaming, specifically how much money do artists make per stream on SoundCloud? The amount of money paid per stream on SoundCloud can range from $0.0017 to $0.0084, with the average being around $0.0031 per stream. However, the exact amount varies depending on the artist’s contract and the country where the song is being streamed, as well as other factors such as the type of user who is streaming the song.

Uncovering the Hidden Fees of Distrokid

Many musicians are signing up for DistroKid’s music distribution service, but they may not be aware of all the hidden fees that can be charged. This post will explore DistroKid’s hidden fees, explaining what they charge and how to avoid paying too much.

What hidden fees does DistroKid charge?

DistroKid charges an annual fee for the use of their service. This fee specified on their website is $19.99. However, many users don’t realize there is an additional fee for each album or song they upload. This fee is $9.99 per album and $0.99 per song. If an artist is uploading many albums or songs, these fees can add up quickly.

What other hidden charges are there?

In addition to the annual fee and per album/song fee, DistroKid also charges a processing fee of $1 per album/song. This fee is charged each time an album or song is uploaded, so costs can add up quickly if musicians are uploading a lot.

There is also a $2.99 fee for sharing an album or song with a friend. This fee is charged each time a user shares a song or album with someone, so costs can add up quickly.

DistroKid offers a useful music distribution service for musicians, but it’s important to be aware of the hidden fees they charge. Understanding these fees can help musicians avoid paying too much for the use of DistroKid.

AI Generated Image Copyrights – Is It Really OpenAI?

The world of AI generated images and copyright ownership over the images created – is a very interesting world indeed. 

OpenAI Dall-E 2 images as the example: 

“To use DALL-E 2, you have to agree to OpenAI’s Terms of Use. According to these terms, OpenAI actually owns the images you create (which the Terms of Use call “generations”). OpenAI graciously grants you the right to sell your DALL-E 2 images (assuming you can somehow persuade someone to pay you for an image they can copy for free).

If that feels like the maker of the paintbrush telling Monet what he gets to do with his painting, that’s understandable.

To add insult to injury, OpenAI’s terms go further. Just to make it perfectly clear, you expressly assign any rights you might have in your image (whatever those might be) to OpenAI by contract. As the owner of the image, OpenAI can grant other people the right to reproduce, publish, or sell images that you create with DALL-E 2. You could find yourself in the position of walking into a store and seeing it selling your DALL-E 2 masterpiece on cheap T-shirts, and there would be nothing you could do to stop it.”

Brave Browser and Moving Brave Rewards into a Brave Wallet (or not)

I have just started to do some testing on the Brave Browser. I thought it would be fun to see if it was possible to actually use it consistently and make a little extra income on the side. After using it for a few weeks it didn’t really seem to be paying off. However, the worst part was the inability to move Brave Rewards straight to a Brave Wallet and collect earnings.

Brave Rewards were created first and see to be silo’d outside of other Brave services, such as the Wallet (which is a recent addition).

Currently, if you want to move your Brave Rewards you need to move them either via Uphold or via Gemini (both of which aren’t great choices and yet another account required for little to no reason).

Im hoping in future versions of Brave Rewards and the Brave Wallet they can just simply work together. I would love a world in which I could use my browser (which automatically stops annoying ads and replaces them with a better advertising option in browser that pays me in a cryptocurrency for viewing those ads – then allows me to seamlessly move them into a wallet to either transfer into another currency or put it straight into my bank.

Maybe one day that day will come!

Tencent Music Entertainment Set to List on Hong Kong Stock Exchange in Coming Days

It has been reported that Tencent Music Entertainment will be performing a secondary listing in Hong Kong in the coming days.

China’s TME, home to three of the country’s leading music streaming services; QQ Music, Kugou and Kuwo.

The secondary listing plan was announced by TME Executive Chairman Cussion Pang alongside the firm’s Q4 2021 and FY 2021 results.

This will be a very big listing for the Hong Kong Stock Exchange.

“We are pursuing a secondary listing on the Main Board of the Hong Kong Stock Exchange through a listing by way of introduction (which is a direct listing without any offering of new shares), subject to regulatory approvals,” said Pang.

It will be interesting to see in the coming year if TME also decides to keep their NYSE listing or whether they decide to pull out of the US market.

Private Investing vs Public Investing = Tale of Failed IPOs

I posted this on Twitter, but thought I would also share on here as it really showed the difference between private investing and public investing.

Some companies that have market caps less than the total money they have raised:

• Bird ($120M mkt cap vs $1.2B raised)

• Wish ($810M mkt cap vs $2.9B raised)

• WeWork ($2.8B mkt cap vs $16.2B raised)

• Lyft ($5.1B mkt cap vs $7.3B raised)

Cash App Marketing Strategy – Bring in the Hip Hop Culture

I came across this post by – Dan Runcie (Trapital). Great read and started to make a lot of sense in combination with Square (Cash App owners) also buying Tidal.

Research also via – Ark Invest – https://ark-invest.com/articles/analyst-research/squares-cash-app-twitter/

For years, Cash App lagged behind Venmo. But that was before it teamed up with rappers as influencers. Here’s how hip-hop helped Cash App become a $73B+ business.

When Cash App launched in 2013, it was very buttoned-up.

Users needed phone numbers or emails to transfer money. There was no social element. It lost money with every new sign-up.

But in 2015, Cash App introduced $cashtags. In 2017, it followed up with Bitcoin trading just before it hit its first $20k high. The timing was perfect.

With its crypto users generating 3x more revenue than non-crypto users, Cash App wanted to double down on its influence.

At the time, Cash App started getting more shoutouts in rap songs. The company wasn’t sure why, but Block, Cash App’s parent company, locked in on one of the more successful influencer campaigns in recent years.

In May 2018, Cash App teamed up with Lil’ B. That August, Travis Scott came on board. And in December of that year, Snoop Dogg was its newest partner.

With Cash App as a sponsor, these artists gave away $100-$500 to fans who posted their $cashtag under their posts.

Cash App’s hip-hop influencer giveaways worked for four reasons:

1. Low customer acquisition cost (CAC)

2. Free money is always an easy sell

3. This was the first time hip-hop fans were the target audience for a financial service

4. It built on its existing popularity

Let’s break those down.

1. Low CACs

ARK Invest had a great breakdown on how Cash App’s hip-hop influencer tactics drop its CAC to be as low as $20 per user.

As a comparison, traditional banks spend $925 per user.

2. Free money is an easy sell

In 2019, the company spent an estimated $60k on Cash App Fridays, an investment that paid for itself many times over. Cash App Fridays became an awareness-building tactic in itself.

3. Reaching different customers

Cash App’s user base is strongest in the South and the Midwest of the US, which aligns with the regions where many hip-hop fans live.

Historically, these regions also get ignored by traditional banks.

By targeting these areas, Cash App took an approach opposite to most startups who instead focus on their “early adopter” coastal elite networks in NY, SF, LA, and DC.

Unlike Venmo, which relied on Ivy League students and alumni for initial growth.

4. Built on existing popularity

Cash App has now been name-dropped by 200+ hip-hop artists.

Sponsoring artists to give away hundreds of thousands led to more peer-to-peer transactions, which attracted more of its most profitable demographic, Bitcoin investors.

Cash App leaned into its popularity even more when it launched Cash App Studios in 2021 to bankroll artists and other creatives.

Cash App has achieved every modern brand’s dream: To become part of the ‘culture’ without appropriating it.