
Well first of all what is Spotify? Well don't feel ignorant if you don't know, after all it is a new product and I didn’t know about it either. Spotify is a freemium and a premium music download service. The question that comes to people’s minds is how can a legal company be a freemium music download service. Well this is possible for two reasons, the first one is due to the sponsors who are present in the freemium software, and the second and most important is that they pay for the songs rights. The money made by the premium server, (which logically has a lot more applications and downloads available) and the money made through sponsors allow them to pay for these rights.
The main idea behind Spotfy, which was reveal by the CEO is that in a short time they will achieve a number over a trillion users the music industries will gain a lot of money. This is in many ways, the first is that directly some of the Spotify's clients will be paying to download songs and this money will go to the artists. The indirect way is that people will go to concerts, and even be motivated to buy the CD of an artist which they enjoyed a song or two so that they can get to know the other songs better.
As quoted from the original speech; "If we can go to trillions, just think about the easy math," he told the crowd. "What about 1% of those converting in to paid subscription, or becomes a paid download, or decides to buy a concert ticket? That's how we grow the music industry to a $40bn or $50bn industry, by getting it to work on people's favorite devices.
My point of view was always the same as Spotify's CEO, by allowing people to download music people will be instigated to seek for CDs, and also attend events which will generate the songs author benefit.
1 comment:
I was getting excited about this and just went to the website only to find out that it's not yet available in Brazil. Boo. Hopefully they get that fixed soon.
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