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Interesting idea, and not that it doesn't happen now, but I can just see streaming services making deals with major record labels to do stuff like autoplay, and pushing major label songs very very hard.

I use music streaming services mostly for their shuffle features, not for playing music I select. I'm not a fan of this idea, because then those services would be able to pick winners and losers (the artists) based on a shuffling algorithm I don't have control over. This creates a perverse incentive where labels could try to influence the frequency of their artists in those shuffled playlists over smaller labels and independent artists.

I think Youtube Red does something like this.

YouTube red distributes money according to watch time per month.