A recent study from NPD Group and the National Music Business Association seems to have at least some record labels spooked. The report claims that streaming services like Spotify and Rdio are damaging actual music sales. In response, one distributor has pulled its 200+ music labels off of streaming service Spotify.�
STHoldings sought comment from the 238 labels it represented, and found that only 4 wanted to stay on Spotify. The remainder were removed. The distributor said in a statement that it was only doing what it felt was best for the artists. Spotify stands by its model, pointing out that many users were previously pirates, who generated no money for rights holders. There is also something to be said for the promotional angle of Spotify.�...
Source:
http://techtime.posterous.com/spotify-loses-over-200-labels-following-npd-r
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