"marginal cost of streaming OR downloading a song is effectively zero" - only if you don't consider royalties to be part of the marginal cost? What's weird to me is the seemingly pervasive idea that the cost of everything should be 100% directly related to its marginal cost + some small fixed percent. Things are priced based on what consumers will pay, which is related to how much value they derive from it.

Personally I'd be happy to pay $2 a month when I don't listen to much music and up to $30-40/month when I'm obsessed with album(s) and listening to them every day - how much that costs Spotify is somewhat irrelevant to me