The lack of income from not having their catalog on streaming service Spotify could have devastating consequences for Victory Records. The label’s catalog was pulled from the service last month amid a dispute over unaccounted royalties, which reportedly equal to about $23,000 USD. Ibtimes.com got their hands on an email to undisclosed recipients written by Victory Records founder Tony Brummel lamenting the situation this past Friday. A few quotes were from published from it, including:
“They [Spotify] are over 70 percent of our monthly digital sales. Sorry to curse but in a few months — I am fucked.”
Brummel also mentioned:
“They are going to force me to drop artists and lay off staff.”
Brummel has stated that Spotify are currently months behind on regular royalty payments as well, not including the sum mentioned above. As for the dispute itself, Spotify are said to have pulled the catalog themselves as they looks into the situation and try to resolve the matter.
