What Every Artist Should Know About Royalties and Streaming Reality - Soundmac CEO
What Every Artist Should Know About Royalties and Streaming Reality - Soundmac CEO
Lagos, Nigeria - As Africa’s music industry continues to expand globally, conversations around royalties, streaming revenue, and artist education are becoming increasingly urgent.
Gideon Akhigbe, CEO of Soundmac, says one of the biggest challenges facing independent artists today is a lack of understanding about how streaming income actually works.
According to Gideon, high streaming numbers do not automatically translate into substantial earnings. Digital streaming platforms such as Spotify, Apple Music, and Deezer operate on payout systems that vary based on listener location, subscription type, and platform-specific revenue models.
“Streams are important, but understanding royalties is more important,” Gideon has emphasized in discussions around artist growth and sustainability.
Beyond Uploading Music:
Soundmac was founded to support independent African artists, Soundmac provides digital distribution services that deliver music to global streaming platforms while also offering analytics tools, royalty tracking, and playlist pitching support.
Industry observers note that many emerging artists focus primarily on releasing music without fully understanding metadata accuracy, publishing rights registration, or revenue splits - all of which directly impact earnings.
Understanding Royalties:
Music revenue is typically divided into multiple royalty categories, including:
Master royalties - earned by the owner of the sound recording.
Publishing royalties - earned by songwriters and composers.
Mechanical royalties - generated from reproductions and streams.
Performance royalties - earned when music is played publicly, including on radio and at events.
Failure to properly register and manage these rights can result in lost income.
Financial Innovation for Artists:
Soundmac has also introduced financial tools such as Advance Royalties, designed to help artists access projected earnings before traditional payout cycles are completed. The initiative aims to address cash-flow challenges that many independent musicians face due to delayed streaming disbursements.
Education as the New Power
As African music continues gaining international recognition, industry leaders argue that knowledge of contracts, ownership structures, and royalty systems will determine long-term success more than viral moments alone.
For Gideon and Soundmac, the message remains clear: talent must be matched with education.
In an era driven by digital platforms, artists who understand their rights, revenue streams, and distribution structures stand a stronger chance of building sustainable careers.