Australian Music Consumption Drops: Government Eyes Streaming Quotas Amid Spotify Concerns

Consumption of Australian music on streaming services has decreased significantly over the past five years, prompting government discussions regarding potential local content quotas for music platforms. This development coincides with a visit to Australia by Spotify co-founder Daniel Ek, as the company addresses concerns about algorithmic visibility and its impact on local artists.

Australian music now accounts for just 9.5 percent of all streams within the country, a stark decline from previous years.

Declining Consumption Trends

Data compiled by the Australasian Performing Right Association Limited and Australasian Mechanical Copyright Owners Society (APRA AMCOS) indicates that Australian music consumption on streaming platforms has declined by 31 percent over the past five years. This trend extends beyond streaming, with a reduced presence of Australian artists in ARIA charts and on radio playlists.

The 2024 triple j Hottest 100 countdown featured the lowest Australian representation since 1996, with 29 songs by 18 Australian artists. However, the 2025 countdown observed an increase to 54 percent Australian musicians, partly attributed to a new voter filter option.

APRA AMCOS CEO Dean Ormston attributes the decline to streaming algorithms, suggesting they favor content from dominant English-speaking territories, particularly the United States, which can overshadow Australian content in mood-based playlists. Artist manager Sebastian James noted that while streaming platforms offer artists greater control over distribution, the sheer volume of content—over 12 million artists on Spotify—makes breakthrough challenging. A 2025 Creative Australia report identifies streaming as the primary music discovery tool for Australians.

For Australian artists receiving royalties through streaming in 2024, 80 percent originated from international listeners. Separately, Spotify's global policy boss, Dustee Jenkins, stated that Australian artists derive 85 percent of their revenue from music exports.

Government Consideration and Industry Advocacy

The federal government has initiated discussions about implementing local content quotas for the music industry, following the introduction of similar policies for video streaming services. Arts Minister Tony Burke has indicated that regulating algorithms to increase the visibility of local music could become part of the government’s arts policy, known as Revive.

The Department of the Arts has affirmed its commitment to ensuring local music visibility and accessibility across platforms, with further consultations planned for the National Cultural Policy. Artists, including Thelma Plum, Keli Holiday, and Ben Lee, have advocated for initiatives to enhance Australian content visibility on platforms such as Spotify.

Spotify's Position and Initiatives

Spotify co-founder Daniel Ek visited Australia to engage with partners and music industry leaders amid the policy debate. Spotify's global policy boss, Dustee Jenkins, expressed reservations about mandated content policies, describing such a proposal as a "defeatist strategy."

Jenkins cautioned that regulating Spotify's recommendation algorithms in Australia could establish a global precedent, potentially hindering Australian musical exports and artists' ability to achieve international recognition.

"Regulating Spotify's recommendation algorithms in Australia could establish a global precedent, potentially hindering Australian musical exports and artists' ability to achieve international recognition." – Dustee Jenkins, Spotify Global Policy Boss

Spotify reported paying over $330 million to Australian artists and rights holders last year. The platform also stated that 370 artists currently earn more than $100,000 annually from the platform, which marks a doubling of numbers since 2017.

Spotify highlights its existing efforts to promote Australian music, which include an editorial team that curates over 120 local playlists and the "Turn Up Aus" initiative launched last year. The company plans to introduce a new "prompted playlist" feature for premium subscribers in Australia, enabling customized recommendations based on mood or vibe. Jenkins suggested that the Australian music industry could contribute more by strengthening its "talent pipeline" and ensuring a consistent flow of high-quality content.

Critics, including music manager John Watson, argue that algorithmic recommendations often prioritize foreign music, making it challenging for Australian artists to gain visibility. Watson suggested that population weighting in algorithms contributes to a predominance of US songs, irrespective of the volume of Australian music played. Australia has previously implemented regulatory frameworks, such as the news media bargaining code and the under-16 social media ban, which have influenced policies in other countries.