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  • 8 comments
Joined 3 years ago
Cake day: July 7th, 2023
  • How can something be profitable, but also have negative cash flow?

    It’s been about thirty years since I took an accounting class, but I think capital expenditures like this AI spending are amortized (deferred?) over several years and don’t fully count towards present expenses. So the chunk that counts for this quarter/year can still be small enough to make the company profitable (income > expenses). Free cash flow I would guess is money that came in minus money actually spent, so something like a $1m capital expenditure might count as $100k for this year’s expenses but the full $1m for calculating cash flow.

  • And with Artist Profile Protection (currently in beta), artists now have greater control over what appears on their profile, which helps to ensure the music you see is coming from them.

    From the Artist Profile Protection link:

    Music has been landing on the wrong artist pages across streaming services, and the rise of easy-to-produce AI tracks has made the problem worse. That’s not the experience we want artists to have on Spotify, and that’s why we’ve made protecting artist identity a top priority for 2026. Today, we’re announcing a first-of-its-kind solution to a problem that’s affected streaming for years.

    How the hell is that something that is only in beta in 2026 and not a standard feature? It’s currently optional, but they better automatically opt in verified “No AI” artists if the label is going to be worth anything. There should not be AI-generated songs from randos getting attached to a “No AI” artist.