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"All of the money I make at the bar goes to the record company," Mr. Ersahin said.
The remaining 54p goes to the record company, which assigns a share to the recording artist, typically 6p-12p.
Apple charges consumers $25 a year cash – the service is only available in beta in the US – which in turn largely goes to the record companies as royalty payments, as a partial indemnity for years of piracy.
The remainer of the 99c sale goes to the record companies; the service is legal and Grooveshark has agreements with the record companies to provide the service and to cover copyright obligations.
For those unfamiliar with the company, Grooveshark allows users to upload and share their music collection with friends, but with a twist: every song uploaded can be purchased DRM-free with the uploader getting a cut of each sale (the rest goes to the record companies, and the service is 100% legal).
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So you went to the record store.
"Sure beats going to the record store," the advertisement concluded.
Otherwise, the proceeds go to the record label, or to the production company, or to Royalty Flow, as the case may be.
"When I was younger and I went to the record store, my parents would push me to get the CD, but I wanted the cassette.
"Then I'll go to the record store and hang out and clear my mind or pop into a matinee movie and then come back to the streets".
"Bob Last and I went to the record companies with a somewhat rapacious attitude, and there's been enough money to keep me aloft".
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