Independent labels in the US are being given “inferior” contract terms for iTunes Radio inclusion with little room for negotiation, according to a report.
Digital Music News sources from several indie labels and distributors, have said that Apple is sending “pre-filled, inferior contract terms” to indies.
The labels are being handed “significantly less favourable terms than what the majors are reportedly receiving,” according to one source, with another saying “[Apple] will not make much in the agreement negotiable, if anything.”
DMN says that “the basic payout for indies seems to be $0.0013 per ‘royalty-bearing stream’ with marginally higher rates for premium, iMatch subscriber streams. That rate increases to $0.0014 in year two.”