Swedish Tech Pop duo Spotify have been offered a recording contract with one of the world’s largest record labels.
Spotify’s agreement with the record company Universal, whose hundreds of artists include Drake, U2, the Weeknd and Lady Gaga — is a global, multiyear deal.
Universal Music Group’s Head of A&R Mr. Sam Pling said, “The boys have been on our radar for quite some time now and we’re aware of their unquestionable potential for future success in the music industry. The only question that had to be answered was whether we’d be able to reach an agreement with the band’s management over streaming royalties. As you well know it’s a contentious issue for many artists and Spotify in particular have been very keen to make sure they end up with a deal that they as artists will be happy with going forward.”
DJ/Producer – DJ Freemium (real name: Martin Lorentzon) and lead vocalist Royal-Tee (real name: Daniel Ek) first formed Spotify over ten years ago in a bedroom recording studio based in Stockholm, Sweden. The band, then named Spotify AB, released their first single, ‘Paid Subscriptions,’ back in 2008 and in 2009 released the album, ‘public registration for the free service,’ which was a runaway success in the United Kingdom.
Spotify launched their first EP in the United States in July of 2011, the rather wordily titled, ‘six-month free ad-supported trial period,’ a release that broke new ground in terms of how music was consumed by fans.
The group’s meteoric rise has however not been without controversy as long time collaborator, ‘C.F.O.’ (real name: Jeff Levick) stopped working with the group in late 2016, citing musical differences as the main reason he won’t be working with the band going forward.
“Whilst I am not authorized to discuss the confidential terms of the agreement, I can say that Spotify will be receiving a significantly higher royalty rate than most artists dependent upon how many people subscribe to the vast number of tracks they have available for streaming. As long as the boys don’t start trashing their hotel rooms on tour, drive their Rolls Royce into a swimming pool or get married to a Japanese conceptual artist, they could go very far indeed,” Mr. Pling added.