Not too long ago the music industry was on life support, but now thanks to streaming services album sales are seeing a renaissance.
Last week, rap artist Drake's "Scorpion" album became the first release to ever reach 1 billion global streams within a week of its debut on its way to earning 732,000 equivalent album sales.
In the big picture, Drake's success is a reflection of a moment of maturity that streaming services like Spotify Technology (SPOT) are currently experiencing, according to Anthony DeCurtis, contributing editor for Rolling Stone.
"People's attitudes are changing. We've had a few major impact releases recently. People get hyped for the release as the discussion of the albums excites more interest," DeCurtis told TheStreet.
The music industry has struggled for years due to falling album sales as the availability of free music on the internet seemingly sounded the death knell for traditional album sales.
However, the emergence of Spotify, Apple Music (AAPL) and Tidal streaming services has led to industry reforms that have codified streaming numbers, allowing record companies to monetize the online consumption of their products.
The Recording Industry Association of America now recognizes 1,500 streams of songs from a single as the equivalent of one album sale. All told, Scorpion sold 732,000 equivalent album units, with 160,000 of those sales being traditional album sales.
Drake's album had the best sales week since last December when Taylor Swift's "Reputation" album sold 1.24 million units in its first week.
The big three record labels -- Universal Music Group, Sony Music Entertainment and Warner Music Group, which account for about 80% of album sales -- were paid $14.2 million a day from the streaming services, according to an analysis by Music Ally.
The talent remains the last to be paid and the record industry is notorious for not paying content creators. So those artists may have to wait a little longer for their piece of the pie.
"Artists have options now. These kind of numbers are only going to increase pressure on record labels for proper compensation," DeCurtis said.