Record companies tend to complain about downloads, particularly since most songs are still downloaded illegally. But when it comes to legal downloads, it seems they’re getting most of the cash.
According to Dave Jaworski, CEO of PassAlong Networks, at the AlwaysOn Stanford Summit, record companies keep about 72.5 cents on average for a 99 cent song.
The credit card company then gets a small slice. The rest goes to the people who sold the song. In PassAlong’s case, the company divides the remainder with the retailer.