In a move that immediately generated headlines, SoundCloud recently announced that from 24 November 2025 artists will receive 100 % of the royalties their music generates on the platform.
On the face of it, this sounds like a big win for creators: no longer will SoundCloud take a share of their streaming revenue. However, behind this headline lies a sobering reality for many independent artists; that even with “keeping all the royalties,” the actual rate per stream remains extremely low. This means that the financial upside remains modest unless you achieve extremely high play‑counts.
Many artists may find the headline promise less impactful than it initially seems. Despite the “100% royalties” headline, SoundCloud is still paying what many in the industry regard as among the lowest per‑stream rates. Keeping all of a small pie doesn’t necessarily mean earning more. 
According to Viberate, multiple industry sources estimate SoundCloud’s payout rate at around US $0.0025 to US $0.0040 per stream for monetised plays. Translating that into more tangible numbers: for 1,000 plays you’re looking roughly at US $2.50 to US $4.00, assuming full monetisation, it also depends on the listener’s region as well as the type of listener (premium or free user). Additionally, the monetisation rate can also be impacted by the listener’s interaction with ads. So, even with 1 million streams, payouts often fall between US $2,000 and US $5,000, depending on listener’s geography and engagement.
A large portion of plays comes from free users (ad-supported) rather than premium subscribers, which also deflates the per-stream revenue significantly. Region and listener type significantly affect payouts; a “play” does not always equal a monetised play. Even with 100% royalties, the underlying payout pool remains low.
While SoundCloud’s move to offer artists 100% royalties appears to champion creator empowerment, the underlying economics tell a more complex story. The persistently low per-stream payout rates mean that most independent musicians will see little financial improvement, despite the headline-grabbing announcement. Ultimately, true progress for artists will depend not just on ownership of royalties, but on platforms finding ways to make each stream genuinely more valuable.
