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ETCentricOctober 7, 2016
Amazon plans to compete with the likes of Spotify and Apple Music when the company launches its own on-demand music service early next year. Some reports suggest the service may be called Amazon Music Unlimited, and would not come with the annual $99 Amazon Prime subscription, but would likely run a separate $10 per month. “The company will also launch its Echo-based music service, which will cost $5 a month, within the next few weeks,” reports The Verge. “That service will allow Echo owners to access Amazon’s music library on-demand just like the more expensive offering, but playback will be restricted to the smart assistant.” Continue reading Amazon to Take On Spotify and Apple with New Music Service
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Debra KaufmanOctober 3, 2016
Amazon’s newly debuted $40 Fire TV Stick is the cheapest way to access Alexa, the company’s digital assistant which enables users to find TV programs, purchase products on Amazon’s online store, hear news updates, play a song on Spotify or check the weather. According to Amazon, Alexa is currently capable of understanding 3,000 different commands and can also offer shows from 90 apps and channels. Fire TV Stick’s more than 4,000 apps include Netflix, Hulu, HBO, ESPN and Major League Baseball. Continue reading Amazon’s New Fire TV Stick Includes Alexa Digital Assistant
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Debra KaufmanSeptember 29, 2016
Amazon’s soon-to-debut music streaming service will reportedly be priced at about $5 per month, say sources. That price point is less than that charged by competitors Spotify and Apple Music, but Amazon’s end game is to increase sales of its voice-controlled Echo. With a focus on its digital assistant, Amazon most recently debuted a less expensive version, the $50 Echo Dot and is promoting the devices, and its virtual helper Alexa, in its physical bookstores and pop-up stores. Continue reading Amazon Aims to Bring Echo to More Homes with Music Service
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Debra KaufmanSeptember 22, 2016
Pandora unveiled Pandora Plus, replacing the 16-year old company’s original ad-free service. What’s different is that the company now licenses music from the major record labels, rather than using compulsory licenses from the government, with rates determined by federal judges. With the new version, users can replay or skip songs and listen offline. The monthly price remains $4.99. Out of Pandora’s nearly 80 million users, only 4 million are paying subscribers. An on-demand tier for $10/month will also debut by end of 2016. Continue reading Pandora Plus Makes Debut, Record Labels Experience Uptick
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Debra KaufmanSeptember 19, 2016
In its efforts to move more free-tier users to its $10/month subscription service, Spotify has redoubled its efforts to ink long-term licenses with major record labels. One potential option is that the labels would limit new releases to Spotify’s subscription tier in exchange for a lower percentage of subscription revenue. Another possibility is that Spotify will provide artists data and promotion in exchange for reduced royalty payments. Spotify is trying to settle the deals by end of 2016, say sources. Continue reading Spotify Focuses on Major Record Label Deals to Boost Profits
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Debra KaufmanSeptember 15, 2016
Sony Music, Universal Music and Merlin Network, which represents 20,000 independents, have agreed to license songs to Pandora for its two new music services. Pandora plans to offer the advertising-free Pandora Plus and an on-demand service similar to Spotify. The company is also still in talks with Warner Music in an attempt to ink a deal with this third-largest music rights holder. Pandora hopes to launch both of its new services by the end of 2016. As of June 30, Pandora says it has 78.1 million active listeners. Continue reading Sony, Universal Ink Deals with Pandora for Streaming Services
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Debra KaufmanSeptember 14, 2016
The recording industry is concerned about a burgeoning trend: stream-ripping. Numerous mobile apps and sites now allow users to download MP3 files from songs on YouTube, thus circumventing both advertising and paid streaming services such as Spotify and Apple Music. The music industry has had reasonable success in fighting the kind of peer-to-peer file sharing that hurt CD sales, but this new kind of piracy is proving much harder to combat because it sources legitimate streaming services. Continue reading Stream-Ripping, the New Music Piracy, Becoming Problematic
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Debra KaufmanSeptember 9, 2016
Starbucks launched “Upstanders,” an original multi-platform 10-episode series that tells “stories of compassion, citizenship and civility” through video, podcasts, and text. The content will be distributed in the company’s in-store digital network, online and via its mobile app. Starbucks chairman/chief executive Howard Schultz wrote and produced the series with Starbucks executive producer Rajiv Chandrasekaran, who left his post as senior editor at The Washington Post to establish the production company in Seattle. Continue reading Starbucks Unveils ‘Upstanders’ Original Video, Podcast Series
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Debra KaufmanSeptember 1, 2016
Since Amazon debuted Echo in 2014, digital tinkerers have been creating hacks to connect Amazon’s speakers to Sonos’ better speakers. Now, Sonos has introduced a system, developed with Amazon, to let users do just that. With a limited beta test version available this year, the system will be released widely in 2017. This partnership highlights a larger problem in audio technology: digital assistants from Apple, Amazon, Google and Microsoft are being held back by limitations in microphone technology. Continue reading Sonos-Amazon Partnership Highlights Need for Improved Mics
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Debra KaufmanAugust 31, 2016
This year, for the first time, streaming music topped digital downloads as the largest source of music revenue in the U.S. The two biggest sources are Spotify and Apple Music, but SoundCloud, Deezer, Tidal and Google Play are also active. Now, both Amazon and Pandora are readying their entries into this crowded market. Both companies have almost locked-up licensing deals with the largest record labels. Amazon plans to launch its on-demand service as early as September, and Pandora will unveil its service later this year. Continue reading Amazon, Pandora Ready Launch of Music Streaming Services
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Debra KaufmanAugust 26, 2016
Pandora took a major step as its service expands to directly compete with Spotify, Apple Music and Tidal: bringing on musician Questlove as its first artist ambassador. Questlove, whose Roots is the house band for NBC’s “The Tonight Show,” originally visited Pandora for non-specific discussions but, when its co-founder Tim Westergren showed him its Music Genome Project for categorizing songs by minute attributes, he was immediately hooked and accepted Westergren’s offer to join as a strategic adviser and ambassador. Continue reading Pandora Expands, Adds Questlove as First Artist Ambassador
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Debra KaufmanAugust 26, 2016
Spotify is readying an initial public offer next year, pressured by its most recent financing. Private-equity firm TPG, hedge fund Dragoneer Investment Group and Goldman Sachs are part of a group that issued $1 billion in convertible debt, which carries an interest rate that increases until Spotify’s IPO. Investors also get a discount on shares if they convert debt into equity — 20 percent now, but increasing if Spotify delays the IPO. One problem prevents Spotify from doing so: long-term rights for the music it plays. Continue reading Spotify Prepares to Go Public, Seeks Long-Term Music Rights
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Debra KaufmanAugust 23, 2016
Pandora is expanding beyond its flagship free Internet radio, with two new monthly subscription options. According to sources, the company is near to inking deals with major record companies. Up until now, Pandora hasn’t needed to secure rights because listeners can’t get specific songs on demand, and the company has limited service in the U.S., Australia and New Zealand, where music licensing is automatic in exchange for payments. The new tiers will debut first in the U.S. and then other English-speaking countries. Continue reading Pandora Readies Subscription-Based On-Demand Streaming
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Debra KaufmanAugust 17, 2016
Spotify is relaunching its “Kids and Family” category, to focus on young children with vocabulary and language-development activities. An emphasis is on music, which improves language development in children ages 0 to 3. Spotify Kids provides playlists around daily activities such as bedtime, bath time and traveling in a car. As an aid to parents, the playlists come with breaks between songs when a prompt, voiced by a celebrity, offers parents ways to interact with their child. Continue reading Spotify Revives ‘Kids’ Category with Early Childhood Learning
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Debra KaufmanAugust 9, 2016
Videogame app creators are turning out to be a boon to the music industry, for their willingness to pay real money for the rights to well-known songs. Startup music-licensing platform SongLily has inked deals with major record companies and publishers for licensing songs for videogames and mobile apps, for an annual flat fee of about $1,440 per song for up to 100,000 app downloads or individual registered players. For videogame developers — especially smaller ones — eager for recognizable music, that’s a bargain. Continue reading Videogame Developers Tap Music Industry for Song Licensing