# Songwriter Streaming Royalties Battle Intensifies

> Streaming services and songwriters clash over U.S. mechanical royalty rates after Spotify and Amazon cut payments by half.
- Title: Songwriter Streaming Royalties Battle Intensifies · Billboard
- Summary: Streaming services and songwriters clash over U.S. mechanical royalty rates after Spotify and Amazon cut payments by half. Spotify and Amazon reduced…
- Keywords: songwriter, streaming, spotify, amazon, mechanical royalties, nmpa, nsai, phono v, copyright royalty board, Royalties, Battle, Intensifies
- Source: Billboard — https://billboard.com/pro/songwriter-streaming-royalties-streamers-publishers-propose
- Author: Kristin Robinson
- Published: 2026-10-15T21:02:30+00:00
- Read time: 2 min
- Topics: songwriter, streaming, spotify, amazon, mechanical royalties, nmpa, nsai, phono v, copyright royalty board
## U.S. Mechanical Royalty Rates Under Review
The Copyright Royalty Board sets mechanical royalty rates for streaming services in the U.S. for a five-year period starting 2028.
## Mechanical Royalties Make Up Half of Streaming Income
Mechanical royalties account for roughly half of the money songwriters earn from streaming services globally.
## Phono IV Settlement Ended in 2027
A peaceful settlement in Phono IV set mechanical royalty rates from 2023 to 2027 before the Copyright Royalty Board could begin a trial.
## Spotify and Amazon Cut Royalties Overnight
Spotify and Amazon reclassified their Premium and Unlimited plans as bundles to cut mechanical royalty payments to songwriters by about half.
## NMPA Reports $500 Million Loss Since 2024
The National Music Publishers Association estimated Spotify and Amazon’s moves cost songwriters and publishers $500 million in lost royalty value since Spring 2024.
## NMPA and NSAI Demand Market-Based Rates
The National Music Publishers Association and Nashville Songwriters Association International argue services should not receive rates below what a free market negotiation would provide.
## Songwriters Coalition Proposes $0.0030 Per Stream
A coalition of independent songwriters and musician rights groups wants a simple rate of $0.0030 per stream with annual cost-of-living adjustments.
## Spotify Wants Phono IV Rates to Continue
Spotify asks for the Phono IV settlement rate of 15.35% to continue and the bundling definition to remain unchanged.
## Apple Music Supports Phono IV Rates
Apple Music argues the Phono IV settlement should continue as the benchmark for Phono V with the headline rate at 15.35%.
## Amazon Music Proposes Lower Rates
Amazon Music wants the headline rate lowered from 15.35% to 13.4% of revenue and reduced rates for free and bundle services.
## Pandora Wants Late Fee Clarifications
Pandora supports continuing Phono IV rates but wants to stop the current system for public domain songs and add an overpayment late fee.
## Google Requests Allocation Clarity
Google wants clearer rules for allocation when a service involves both licensed and non-licensed activities like audio books and podcasts.
## Phono V Trial Begins in 2027
The Copyright Royalty Board will start a trial in spring 2027 to determine the fairest mechanical royalty rate for 2028-2032.
## Spotify and Amazon’s Move Costs $500 Million
Spotify and Amazon’s reclassification of Premium and Unlimited plans as bundles cut mechanical royalties by half, costing songwriters $500 million since 2024.
## Key takeaway

Spotify and Amazon reduced songwriter royalties by 50% using bundle pricing, costing $500 million in lost revenue since 2024.