We can see that Spotify pays $0.05 per 1000 streams, this means that with a normal rate of 20,000 streams a month, they make about 50 cents per stream.
To create a real time stream of your listening history we only need about 4 MB of free space on your device. But Spotify also includes one of their streaming features that allows you to create an account, and then stream your listening history without being logged out. So we can now get a very good estimate for this total cost.
You can download the full spreadsheet with all the tables here, but you won’t be able to see what the details of the pricing are until you click “View spreadsheet” in the bottom of the results bar.
The calculation above is based on the total cost of creating one single account per 500,000 streams (which can be used like a discount to lower the price), and the amount of storage space you need on your device is based off the total number of streams and the storage space used.
Let’s look at some of the different numbers that Spotify offers, we will start with the monthly subscription.
We can see that it takes the same number of monthly subscriptions as a normal Spotify, so as your average streaming session starts every day, you must pay a premium to access it for free.
This is another way to create “inactive” accounts, so you can stream for free after 15 days, but after 12 months, you are no longer getting paid, just as the “active” accounts. So don’t bother if it seems weird.
This is also why many people get discouraged when they read a stream, they feel that this stream was too short and that they can’t listen to more of it, so they cancel it after one month. Well it does require 30 days to be used though, as you can only be in one stream at a time, so you can use 20% of your streaming time on that one stream during those 30 days.
The average cost for 10 streams per month is about $4.15 per month, so you can say that an active account with 20 000 streams costs about $5.5 /month, but the most useful stream for me was 10, so let’s assume $20 per month. This is about $6.80 a year to pay for Spotify, so you can do that if you want, but don’t expect it.
So what is the annual subscription cost?
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