Spotify to Pay $112 Million After Not Compensating Artists

It’s been 18 years since the infamous Metallica-Napster lawsuit, but the debate concerning music streaming services that that case started hasn’t quite resolved itself. Recently, Spotify agreed to pay $112 million in settlements after a class action suit was filed against the streaming giant for failing to properly compensate two artists.

Melissa Ferric and David Lowery from Camper Van Beethoven both filed against Spotify and then joined forces to accept a hefty settlement that will include an immediate cash payout of $43.5 million. Furthermore, Spotify will also start paying ongoing royalties to other artists.

However, some artists are still not happy about the results of the trial. Wixen Publishing Group, which represents artists like Tom Morello, Neil Young, and River Cuomo, called the settlement a “practical free pass on willful infringement.”

Wixen Publishing Group also filed a lawsuit earlier this year demanding damages worth $1.6 billion for repeated copyright infringements or lack of royalties. If the lawsuit is ruled against Spotify, not only will the company have to pay out that enormous sum, but it might spell demise for the music streaming landscape. It could also mean that Spotify will have to put their rumored smart speaker on hold.