Artists make nothing from Spotify, so why is it so much worse to use a service that is completely free?

Spotify has paid artists more than $1B to date, $500 million in 2013 alone.

source: http://www.spotifyartists.com/spotify-explained/

Totals don't speak to individual income, what is the mean, median, and range per artist?

True that, they make pennies, but they do get exposure. But then if your going down the 'Every pirate play is a lost sale' route they should be giving the artists more. Has there been profit data released about spotify? What does there CEO make?