For instance, Pandora negotiated a disadvantageous royalty agreement back in 2009 when it was a start-up. Now, it has 70 million active users and its royalty fees during recent quarters has devoured at about 55% of Pandora's revenue.
But step back, and there is good for the music industry as a whole. In 2012, global record music sales rose, albeit just 0.3%, for the first time in 13 years. From overall sales of $16.5 billion, digital music sales hit $5.6 billion and increased 10%. The industry may have finally turned a corner.
To get a sense of how digital technology has radically reshaped the contours of the U.S. music business, check out these charts down below, courtesy of Statista.
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