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This is an interesting idea, but I would assume that over time, the number of "owned" streams would dominate the number of "new" streams, and thus eventually their operating costs would reach a point where they don't have the revenue to cover it...
At that point their governance structure would show it's strengths by enabling a democratic decision taking that could solve the issue
Workers, for example, could suggest a small subscription fee that would cover the infrastructure cost, while listeners will most likely object, their view would be valued and impact the approval of any proposed solution
That's fair, just...for this to scale, it needs to be competitive with existing streaming services. And if the experience for a listener is the same whether a democratic panel raises prices, or greedy enshittification raises prices, there's not going to be an upside.
To me, the potential upside is identifying the problems with their revenue stream now out in the open, and addressing it now, rather than trying to build a captive audience now and pivot to something more sustainable later (as is the strategy for capitalist startups).
I guess it depends on how much new music is released, added to the library, and then streamed by the users. It's a valid concern to be sure, but I wonder if it could be offset by user growth and new music to be a non issue
Even if we assume there's an achievable rate of growth that can consistently outpace owned plays at any given time, as with every business, there will come a day when growth slows. And at that point, they'll be forced to solve the problem.
And then there's all the questions of, can I download my tracks to play offline? What if they go out of business? How many artists/labels are even going to agree to this? What about tracks I buy outside of their platform? And what does "own" actually mean given that you never "own" music you buy physical media for, you don't have any copyright, you can't play that media for profit, you just have a license to listen to that copy personally. By default the artist "owns" their art. But do they have to give that ownership up to the co-op?
It's going to be tough to convince people who don't care to switch away from spotify, and there's no reason for someone who can self-host to use it unless it's somehow more effective at funding musicians than just buying their tracks directly.
I wish them luck making the idea work, but I think they have their work cut out for them.
I think that's all fair.
I was really interested in the idea of using it as a way of growing my offline and/or self hosted collection. Fair compensation for artists while still being able to have good new music discovery and grow my library at the same time would be really cool.
Still to be seen if they can manage, to your point, but I'll hold out a little hope until they lose their goodwill