Joe Rogan has repeatedly come under fire for his controversial views around Covid and the vaccines. Photo / Getty Images
Joe Rogan has repeatedly come under fire for his controversial views around Covid and the vaccines. Photo / Getty Images
As the Joe Rogan/Neil Young/Spotify saga continues, many have questioned why the streaming giant was so quick to side with the controversial podcaster over a beloved music legend.
Well, the answer is likely a lot more simple than you might think: Money.
In 2020, Spotify acquired Rogan's podcast The Joe Rogan Experience in a deal reported to be worth more than $152 million (US$100m).
The Joe Rogan Experience is now Spotify's most popular podcast and one of the biggest in the world, with an estimated 11 million listeners per episode.
Despite Rogan repeatedly facing criticisms for his views on Covid-19 and vaccines, the controversy hasn't stopped it raking in profits for the streaming giant.
Spotify's focus on expanding its podcast library has been increasingly evident in the past few years, with the service rapidly acquiring companies "in the emerging podcast marketplace".
In 2019 the company purchased Gimlet Media, home of podcasts such as Reply All, Homecoming and Where Should We Begin? With Esther Perel, for an estimated $349m (US$230m).
The company also spent almost $303m (US$200m) to buy the Ringer, which came along with a number of popular podcasts such as Binge Mode, The Press Box and The Bill Simmons Podcast.
It also spent more than $152m (US$100m) on Anchor, a platform which makes podcast creation software.
Spotify's 2021 Wrapped for Podcasters revealed 1.2 million new podcast were published on the app throughout the year, with 80 per cent of those published through Anchor.
Around 75 per cent of all podcasts on Spotify are now powered by Anchor.
The Joe Rogan Experience is Spotify's top podcast. Photo / Getty Images
Looking at how much money the company has thrown at growing its podcast library and the importance it continues to place on the sector, it really isn't hard to understand why Spotify wouldn't want to let go of its most-listened-to creator – even if it meant losing a classic artist like Neil Young.
John Simson, the programme director for the business and entertainment programme at American University, told The Washington Post he believes it all comes down to business.
"In the music side of things, [Spotify is] paying out roughly 70 per cent of all the revenue that comes in. It goes right back out as royalties. They're looking for other places where the revenue split isn't that dramatic … Podcasts were certainly their go-to," he said.
Spotify has also had increasingly strained relationships with musicians in recent years, with the platform being criticised for how artists are compensated.
In December 2021, rapper T-Pain tweeted a breakdown of how many times a song needs to be streamed for the artist to make $1.
On Spotify, a song needs to be played 315 times before the artist makes $1, compared to 249 times for Amazon Music and 128 times for Apple Music.
On March 15, 2021, the Union of Musicians and Allied Workers organised for protests to be held outside Spotify offices around the world.
Rallies were held in 15 cities across the US, along with protests in Sydney, Melbourne, London, Madrid and Paris, among others.
The protesters were calling for higher payouts for artists and for the streaming giant to show more transparency by making all closed-door contracts public.
Rogan has faced ongoing criticisms of his podcast after repeatedly using the platform to cast doubt on the safety and effectiveness of the Covid vaccines and air misinformation about the virus.
