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As of June 2017, it had more than 140 million monthly active users and more than 70 million paying subscribers as of 4 January 2018.
Spotify has faced criticism from artists and producers including Taylor Swift and Thom Yorke of Radiohead, who argued that it does not fairly compensate musicians.For example, in Norway, the figure of 1.2 billion unauthorized song downloads in 2008 is compared to a figure of 210 million from 2012.BBC Music Week editor Tim Ingham wrote: "Unlike buying a CD or download, streaming is not a one-off payment.Spotify makes its revenues by selling premium streaming subscriptions to users and advertising placements to third parties.In December 2013, the company launched a new website, "Spotify for Artists", that explained its business model and revenue data.In February 2010, Spotify received a small investment from Founders Fund, where board member Sean Parker was recruited to assist Spotify in "winning the labels over in the world's largest music market".
The company was, according to Tech Crunch, planning to launch on the stock market in 2017, but is instead planning on doing the IPO in 2018 in order to "build up a better balance sheet and work on shifting its business model to improve its margins".
Spotify gets its content from major record labels as well as independent artists, and pays copyright holders royalties for streamed music.
The company pays 70% of its total revenue to rights holders.
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Spotify is a music, podcast, and video streaming service that was officially launched on 7 October 2008.
Spotify is a freemium service; basic features are free with advertisements or limitations, while additional features, such as improved streaming quality and music downloads, are offered via paid subscriptions.