Spotify Set to Exit Uruguay Over Copyright Modifications

It is goodbye for Spotify in Uruguay! The streaming giant has recently revealed its plans to exit the country. An associated law which led to the resulting decision is supposed to go into effect on January 1st. Negotiations involving the stakeholders and the internet platforms that were affected were kicked off. This was to arrive at a mutual understanding regarding implementation specifics.

Signs were already visible from early last month. Spotify had warned of exiting the country over a planned copyright law overhaul and had demanded the same be modified to oversee continuation in Uruguay. The lack of these changes proved to be the final nail in the coffin. Gradual departure in the 3.5 million strong country has now been announced.


As per local media, the copyright alterations have affected Spotify as one of the impacted internet platforms. The affected platforms are now listed as one of the mediums from which producers and stakeholders alike can seek compensation. This is for the utilization of their subsequent creations. The minds behind this initiative have publicized the intent behind the measure. Billed as a simple transfer of global revenue to domestic professionals.

“Spotify already pays nearly 70% of every dollar it generates from music to the record labels and publishers that own the rights for music, and represent and pay artists and songwriters. Any additional payments would make our business untenable.”

-Spotify Formal Statement

Spotify has its own take on this. They had stated that these changes would rattle licensing deals in place. Modifications would also restore payments that overlap. This would be part of the standard practice. The defiant stand and criticism did not help. A statement about starting to wind up operations from January is now doing the rounds. A complete exit is on the cards by February.

Only time will tell if any random developments in the coming six weeks will hold Spotify back in Uruguay!