Spotify declares withdrawal in countries that have passed ``legislation requiring fair distribution of compensation to artists''

Spotify, a music distribution service, has announced the termination of its service in Uruguay following the passing of a bill requiring distribution of compensation to music creators.

Spotify Threatens to Pull Out of Uruguay If Changes to Copyright Law Proceed
https://www.bloomberglinea.com/english/spotify-threatens-to-pull-out-of-uruguay-if-changes-to-copyright-law-proceed/

Spotify 'to phase out its service in Uruguay' from January 1, 2024 over music copyright law changes - Music Business Worldwide
https://www.musicbusinessworldwide.com/spotify-to-phase-out-its-service-in-uruguay-from-january-1-2024-over-music-copyright-law-changes/

In Uruguay, copyright laws include ``SNS'' and the ``Internet'' as platforms where performers can receive financial compensation when their songs are copied,'' and ``Lyricists, composers, performers, directors, and screenwriters.'' An amendment was passed in October 2023 that added the following clause: ``Has the right to fair and equitable remuneration in all contracts entered into for the provision of musical compositions and audio-videos.''

As of August 2023, when the bill was under consideration, Spotify claimed, ``If the bill passes, music distribution services will be obligated to make additional payments,'' and ``If the bill passes, we will terminate our service in Uruguay.'' He declared. After the bill was passed, Spotify once again announced that it would end its service in Uruguay on November 20, 2023.

A spokesperson for Spotify said, ``Spotify distributes 70% of the revenue earned from music distribution to artists.Music streaming services have helped Uruguayan's music industry grow by 20% in 2022 alone.'' ``The proposed changes to Uruguay's copyright-related laws are unclear, and the amount that Spotify needs to pay to artists could double. (If the amended law is enacted) Our business will become unsustainable,' he said, criticizing the passage of the amendment.

Please note that Spotify's service in Uruguay will be phased out from January 1, 2024, and will be completely terminated by February 2024.