Tuesday, August 11, 2015

Spotify look over the free model – Dagens Industri

Updated 2015-08-11 12:31. Published 2015-08-11 10:58

The new order is described as a “gated access,” where free users get limited access to the music library. Some new releases come under the online magazine’s sources only be available to paid subscribers, or only be available for free listening for a very limited time.

Another scenario is to free users only have access to one or two songs from the new popular albums.

According to sources, , the exact details are not yet clear, since Spotify right now is in negotiations with the major record companies on the renewal of the licenses. According to a source, Spotify’s agreements with the three disc giants Sony Music, Warner Music and Universal Music renewed by 1 October.

The changes will likely carried out in early 2016 and the underlying driving forces According to Digital Music News clear: to encourage conversion of free customers to pay customers, and increase revenue generation on the most popular artists.

“They want free users to feel that they miss no, not just that they have to listen to advertising, “says a source.

Spotify has so far fighting for its business model with both paid and free use. But the major record companies have become increasingly skeptical of the free model, and both Sony Music’s CEO Doug Morris and Universal Music CEO Lucian Grainge have criticized it hard.

Spotify CEO Daniel Ek is now supposed to be ready to give way – at least partially.

“Ek hate the idea, and I mean really hate it, but he may be forced to let go of this issue,” says a source of Digital Music News.

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