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By Ek, Spotify set to go mobile, social, American
16 May 2009 | 13.37 Europe/London
Spotify's announced plans for streaming over mobile phone networks, social networking integration and finally reach out to our friends across the pond. The Swedish music service, which currently has over a million UK users, is seen in some quarters as the music industry's potential saviour - and that's despite Spotify having its own revenue hit by the advertising downturn.
Spotify has more than three million tracks available for its users to listen to, legally and for free. It's funded mainly through adverts - roughly one minute of commercials for every half hour of music - though users have the option of paying £9.99 to turn the ads off. As well as in the UK and its native Sweden, the service is currently available in Norway, Finland, France and Spain.
Daniel Ek, the company's chief executive, has revealed his outfit's now in talks with mobile networks and handset providers about including the service in phone package deals. While Spotify is developing an iPhone application and these discussions are reportedly only in the early stages, it's clear the firm thinks it can make money by not making its service Apple-exclusive. "[It's] definitely something we think is a premium product that people are willing to pay for - being able to bring the music with you or being able to have it working on your stereo," Ek said.
Making Spotify compatible with your Facebook account is also something you'll have to pay for, as part of its £9.99 premium service. After that, users of the social networking platform will be able to share playlist with their friends. Ek says that move's intended to capture a teenage audience, with the majority of the current userbase aged between 25 and 35. And while the Spotify Facebook app is still work in progress, new features will be added over "coming weeks and months."
On the US front, Ek is hopeful we'll see an American Spotify at "the end of the year, maybe the beginning of next year" - and by all accounts there's a demand for it over there. In the meantime, the firm's expected to announce a deal with Last.fm to provide its current users with music recommendations. Also in the pipeline, Ek's taking about improving Spotify's sound quality, start a radio service and make money through promoting band merchandise sales. All this for a company that's reportedly had its expansionary plans slowed down by the recession.
[ Daily Telegraph | BBC ]
Spotify has more than three million tracks available for its users to listen to, legally and for free. It's funded mainly through adverts - roughly one minute of commercials for every half hour of music - though users have the option of paying £9.99 to turn the ads off. As well as in the UK and its native Sweden, the service is currently available in Norway, Finland, France and Spain.
Daniel Ek, the company's chief executive, has revealed his outfit's now in talks with mobile networks and handset providers about including the service in phone package deals. While Spotify is developing an iPhone application and these discussions are reportedly only in the early stages, it's clear the firm thinks it can make money by not making its service Apple-exclusive. "[It's] definitely something we think is a premium product that people are willing to pay for - being able to bring the music with you or being able to have it working on your stereo," Ek said.
Making Spotify compatible with your Facebook account is also something you'll have to pay for, as part of its £9.99 premium service. After that, users of the social networking platform will be able to share playlist with their friends. Ek says that move's intended to capture a teenage audience, with the majority of the current userbase aged between 25 and 35. And while the Spotify Facebook app is still work in progress, new features will be added over "coming weeks and months."
On the US front, Ek is hopeful we'll see an American Spotify at "the end of the year, maybe the beginning of next year" - and by all accounts there's a demand for it over there. In the meantime, the firm's expected to announce a deal with Last.fm to provide its current users with music recommendations. Also in the pipeline, Ek's taking about improving Spotify's sound quality, start a radio service and make money through promoting band merchandise sales. All this for a company that's reportedly had its expansionary plans slowed down by the recession.
[ Daily Telegraph | BBC ]