Music Industry’s Go-To Promotional Tool Went From ‘Payola’ Accusations to Widespread Use

Spotify’s Discovery Mode allows rightsholders to boost their songs in exchange for a lower royalty rate. Most everyone is using it.

Photographer: Tiffany Hagler-Geard/Bloomberg
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Hey, everyone. Welcome back to another week and another Soundbite. Five years ago, Spotify Technology SA debuted a feature that gives labels and artists preferential treatment when recommending their songs in exchange for a lower royalty rate. Despite a huge uproar at the time, the tool has taken over the business. We’ll dig in.

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