My point is that Apple Music payouts are an identical percentage of their revenues to Spotify's; that means that any campaign to make people switch to AM will just mechanically make AM payouts decrease, and Spotify payouts increase until they converge.
Right now, Apple pays more per stream either because they may have more users in richer countries (Indian users don't pay $10/month), users who listen to less music, maybe older users (fewer students on student plans) and because they have no free tier.
So: the "AM has higher royalty payouts" is objectively a false Apple marketing point, because it's zero-sum. It's a pure accounting gimmick. Royalty payouts are pro-rata; there's no such thing as "Spotify's chosen royalty payout". For Spotify to get as high as Apple's, they'd need to make discoverability terrible (fewer hours listened per month = fewer streams = higher payouts per stream), get rid of their free tier, etc. They can't just "decide to increase payouts" because that's 52% of revenues, same as Apple Music, by contract.
