Source: The Rooster
Oh, well now, this could get interesting …
Multiple online sources are reporting Spotify may eventually get itself into the video streaming game — some even suggesting it will be as early as the end of this month.
In a recent invitation to outlets, Spotify claims it’s “got some news” to tell on May 20, and rumors abound of the video feature are being backed by sources tattling to the Wall St Journal.
“The closely-held streaming service, which has shaken up the recording industry over the past few years, has been reaching out to companies that specialize in making content for YouTube to discuss both acquiring their material and co-creating original video series,” sources tell the Wall St Journal. “Spotify has also reached out to some well-known traditional media companies.”
Spotify currently has 60 million active users. 15 million of those actually pay the $9.99 / month premium fee. Its largest stream of revenue is still from advertising directed towards the the users who don’t pay the monthly fee.
To make things even more intense, other sources have been leaking information claiming Apple is pressuring major labels to pull artist catalogs from Spotify’s freemium service, a likely push given that Apple plans to release its own streaming service sometime soon. The battle is brewing — fans, take to your corners!!
So could getting into the video realm save Spotify if Apple launches a cheaper service with specialized content? It remains to be seen, really, because at the end of it all it’s up to consumers and what they’re willing to pay for. As with any business, however, once a consumer is locked into habit (if they use Spotify religiously and are comfortable with it), it takes a lot to get them to switch to something else.
What we do know is if Spotify does get into video, and Apple does launch its streaming service soon: Tidal is fucked. Of course, it’s always been fucked from the get-go.
Source: the Rooster