According to consequence.net when the controversy surrounding podcaster Joe Rogan began last year, Spotify‘s CEO Daniel Ek did promise that the company would be investing $100 million in music and other audio content from an initiative called the Creator Equity Fund. But just over a later, Spotify executives have only spent 10% of that budget.
According to Bloomberg, the Creator Equity Fund did have a tough time getting started because it took several months to hire staff and getting the priorities right.
According to a memo obtained by Bloomberg. at the beginning of the year, the company was still finalizing the fund’s budget and was still sorting out their priority projects.
In the following statement a spokesperson from Spotify briefly discussed the positivity surrounding the fund.
“The Spotify Creator Equity Fund is dedicated to a variety of initiatives that help elevate and support an inclusive and diverse portfolio of artists and creators on the platform. We are able to empower and uplift underrepresented voices around the world.”
$100 million dollars is a lot of money and many outlets have reported that Rogan’s contract did have the same price tag. Although Spotify did hire a project manager and organized teams to pitch ideas, create new shows and help with marketing, the idea did not have sufficient structure in terms of fielding projects and allocating money.
In February of last year Ek’s letter to Spotify employees announced that the initiative did not mention how long the Spotify Creator Equity Fund was supposed to last and describing it only as an “incremental investment.”
Spotify‘s spokesperson insisted that the system was working but the fund was created to last for an “multiple years” rather than a set time frame.
Spotify’s true crime podcast network Parcast expressed their feelings in statement they shared with Bloomberg.
We are seriously questioning this company’s commitment to funding this committee, and by extension, the values it represents.”
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