As summer 2025 moves into its final weeks, the music industry continues to evolve at breakneck speed. Apple’s iTunes—once the undisputed leader in digital music sales—still holds a significant place in the global market, now integrated within the broader Apple Music ecosystem. While streaming platforms dominate in reach, iTunes’ legacy as a premium music storefront keeps it relevant, especially for dedicated listeners who still prefer owning their tracks outright.
But the bigger question for today’s music conversation is this: do young artists actually make money from online platforms?
From Downloads to Streams: The Shift in the Business Model
When iTunes surged to prominence in the mid-2000s, it offered artists a direct way to sell music digitally at a fixed price—an appealing alternative to the collapsing CD market. Today, however, streaming has overtaken downloads, and platforms like Spotify, Apple Music, Amazon Music, and YouTube Music are the primary gateways to listeners.
While this shift has made music more accessible than ever, it has also dramatically changed how artists get paid. Streaming payouts are calculated per play, often resulting in fractions of a cent per stream. For an emerging artist, millions of plays might be needed just to earn a modest living.
The Harsh Math of Streaming Royalties
For most young musicians, the reality is sobering:
- Spotify and similar services typically pay $3–$5 per 1,000 streams—and that’s before distributor cuts.
- Less than 5% of all artists on major streaming platforms earn enough to live on music alone.
- Even viral success doesn’t guarantee long-term income; streams surge quickly but fade just as fast unless backed by consistent releases and marketing.
Emerging Alternatives for Better Earnings
Not all platforms operate under the same royalty structure. Some newer or niche services offer more artist-friendly payouts:
- SoundOn (by TikTok) allows artists to keep 100% of royalties in the first year, then 90% thereafter.
- MyPremo, co-signed by hip-hop legend Ice Cube, offers an 80% payout rate with a pay-per-use model.
- Royal.io explores fan ownership via NFTs, giving supporters a stake in a song’s royalties.
These models put more money directly in artists’ hands, but they also require strong fan engagement to succeed.
The Power of Diversification
For most up-and-coming artists, the key to survival is diversification:
- Live shows and touring – still the most reliable income source.
- Merchandise sales – from T-shirts to vinyl to limited editions.
- Crowdfunding and patronage – platforms like Patreon and Kickstarter provide steady fan support.
- Licensing and sync deals – placing songs in films, commercials, and TV shows.
In short, online platforms are part of the puzzle, but not the whole picture.
Bottom Line
iTunes may still be a giant name, but the era when a young artist could upload music online and expect substantial income from downloads alone is long gone. In today’s market, streaming is a discovery tool, not a full paycheck. Success—and financial stability—depends on mixing digital presence with direct-to-fan strategies, live performance, and smart business moves.
For rising stars, the challenge is clear: stand out in a crowded online space, keep fans engaged, and make every play count—not just in streams, but in dollars.
