Amazon are looking at launching an ad-supported music streaming service as their first free on-demand music offering, according to reports.
Amazon have had a big influence in developing the digital music industry we have now, pioneering the smart speaker generation and launching multiple music services in digital downloads and on-demand streaming. Now reports suggest they’re launching a new service to offer free music streaming.
The reports come from “sources familiar with the plan” speaking to Billboard. From what they have revealed it seems like Amazon want a free music streaming service they can use to promote on Amazon Echo speakers, so users can jump straight into music streaming without signing up to a subscription.
Amazon have apparently offers to pay record labels per streams initially to obtain the licenses for music to be streamed free regardless of the revenues recuperated from advertising. With a company the size of Amazon behind the service they probably aren’t too worried about a profit but instead making their flagship Echo products more appealing.
Amazon currently offers two music services currently. Amazon Prime Music comes bundled with Prime memberships and offers limited music streaming. Amazon Music Unlimited is their flagship service which rivals Spotify and Apple Music with full on-demand access to a massive library of music.
Spotify are the only other major western streaming service offering a free tier with access to all of their library with similar playback abilities. However on Amazon Echo and most streaming speakers, you need a subscription to listen to Spotify.
Amazon could corner the market with free streaming on smart speakers with their supposed new service. Amazon have refused to comment or validate the claims.