Spotify has locked Joe Rogan into one other “multiyear” contract price as a lot as $250 million, per The Wall Road Journal, although the audio large will now not be the only real distributor of his common podcast.
A spokesperson for Spotify informed The Publish that The Journal’s estimates have been “incorrect,” however declined to elaborate on the monetary phrases of the deal.
Nevertheless, the brand new licensing settlement does permit Spotify to promote advertisements for and distribute “The Joe Rogan Expertise” (JRE) throughout a number of podcast platforms, together with Apple and Amazon, in addition to in a video format on YouTube, the spokesperson confirmed to The Publish.
It additionally reportedly includes an upfront minimal assure, plus a revenue-sharing settlement based mostly on advert gross sales, The Journal reported — a transfer designed to maximise Spotify’s viewers and podcasting income mannequin because the company looks to bolster its profits.
By distributing JRE extra broadly, Spotify stands to make more cash from advertisements, which can attain a bigger viewers.
Spotify introduced the deal Friday alongside an interview with Rogan, who hosts the most-listened-to podcast globally that’s topped the corporate’s rating, generally known as Spotify Wrapped, yearly since 2020 — a powerful feat contemplating the common JRE runs for 2 hours and 37 minutes.
Representatives for Rogan didn’t instantly reply to The Publish’s request for remark.
The Stockholm, Sweden-based audio large inked its first deal with Rogan — who began his career in comedy — in 2020.
The unique licensing settlement the 2 events signed on the time minted Rogan as a lot as $220 million, in line with The Journal, because the 57-year-old’s earnings have been tied to audience-number targets.
On the time, Spotify wasn’t shy in forking out on its podcasting sector, although it proved to be a expensive endeavor.
By June 2023, the corporate stated it needed to slash 200 jobs — roughly 2% of its workforce on the time — as a result of it was spending too much money.
Shortly beforehand, Spotify reportedly minimize an $18 million verify for Meghan Markle to headline a podcast known as “Archetypes,” although it struggled to nab a prime spot on the Spotify charts, which was blamed on staffers’ error in judgment.
Markle’s multimillion-dollar payday was half of a bigger, $1 billion wager on podcasting that has seen prime podcasters — together with Rogan, “Name Her Daddy” host Alex Cooper and “Something Goes with Emma Chamberlain” star, Emma Chamberlain — bringing in important windfalls as Spotify has needed to scale back its headcount behind the scenes in an effort to accommodate its funding.
Before news of a new deal with Spotify was announced, there was speculation that Rogan — whose podcast had skyrocketed in popularity, drawing an estimated 11 million listeners per episode — would strike out on his personal by making a media firm that might distribute the podcast in addition to produce different content material that might enchantment to his fan base, analysts stated.