Labels don’t want to develop talent anymore.
For them, that takes too much time and money. They want to push someone out who already has a following, so that they can do less work and reap more of the benefits. It's like a hustle for the record companies now. The goal is to invest less, and pull out more bread.
I hear that.
To piggyback off another's work is bad.
However artists can develop themselves first. Alot of 80s and 90s artists did.
Even with my record label I'd expect value from an artist before I work with them. In terms of them having developed a following and having sales on Spotify etc