Spotify's U-turn on closing its live audio app creator fund for Greenroom raised eyebrows as the company left many questions unanswered over the fund that was barely in June 2021. The Verge reports, citing an email from the company, that those who had registered to the fund would not get any paychecks:
We plan to shift toward other initiatives for live creators.
The report claims Spotify made no explanation for the move. The Verge also points out it remains unclear if the fund was even officially launched at all. Podnews, a service for daily email news about the podcast, noted that the fund's webpage was initially saying that payments would begin in June 2021.
However, earlier in April, the same page was updated and was stating that payments would begin in 2022, according to data from the Wayback Machine. Nonetheless, no explanation was given about why the timetable was shifted. As of press time, Spotify hasn't officially made any statements regarding the matter.
Initially, there was no official explanation about how exactly and what the fund was planning to pay for. According to The Verge's sources close to the matter, the company wanted to pay creators depending on how popular their rooms are. Yet, it's still a mystery if anyone was paid through it at all.
The move comes shortly after Spotify rebranded its app called Greenroom into Spotify Live, which is now a part of Spotify's main app. The company said that the change reflects its belief in the future of live-audio creators and live experiences.