The Baffling (and Slightly Insane) World Of Streaming Payments, Explained

Generally speaking, radio simulcasts on the internet and services like Pandora and iTunes Radio pay lower rates than interactive services like YouTube and Spotify because those two services allow the listener to choose what they hear, while the former services are passive, and generally speaking, the listener has no control over what is played once they’ve made their initial choice on what kind of channel they want. In other words, the more functionality, the higher the per-stream payment; the less choice for the listener, the smaller per-stream payment. – Ed Christman, Billboard