Even though Limewire is being sued by pretty much every major music corporation, they are planning a subscription based music service. Thats right, Limewire is going legit.
Limewire in essences is planning a direct Spotify competitor.
“Users will have complete and instant access to their entire library and catalog across their desktop, devices, and in the cloud,” a company executive relayed. “By syncing iTunes playlists and content to the cloud, users’ existing libraries are available to access and stream to a wide range of connected devices.”
Of course, major labels (and publishers) are suing this company with a passion. But according to LimeWire, label executives are also supporting the post-gavel initiative. ”We can confirm that in our ongoing dialogues with numerous industry executives, this service has been very well received,” another LimeWire source relayed.
The Limewire service is scheduled to launch late in 2010, but we will see if it works out.
It has been reported that streaming music service Spotify can now be accessed via TV. The service has launched its app for 120,000 of TeliaSonera’s digital TV customers in Sweden and Finland.
“Introducing Spotify into the living room is a major step forward in our continued efforts to make Spotify available wherever you are,” says CEO Daniel Ek.
The service can only be accessed by Spotify Premium subscribers, but now with access via PC, mobile and TV, the Premium service looks very attractive!
“Everybody loves music and even though many of us carry our favourite music with us, a lot of music consumption remains in the home. We believe that giving music fans the ability access Spotify directly through the TV and into the living room will attract even more users to the world’s hottest music service.” Stefan Trampus the TeliaSonera’s manager of broadband.
It is also rumoured that Spotify is planning their own range of mobile phones, but I would much rather see them get a deal with a few car manufacturers so I can access my music pretty much anywhere!
Music subscription services are still yet to prove themselves in the market, but I really think they are the future of music online. Rdio is a very new player to this market, but they have already been making quite a huge stir. Rdio was co-founded by serial entrepreneurs Niklas Zennstrom and Janus Friis, who previously started Skype, Kazaa and Joost.
Rdio is set to launch into an invitation only beta later this week, but only in the USA. Rdio is a streaming based cloud music service by which users will be able to access a library of millions of songs for a flat monthly fee. Desktop and mobile access via iPhones and BlackBerrys costs $10 monthly, while desktop-only customers pay $5.
There are already a lot of players in this space, such as MOG (in the USA) and Spotify (in Europe), Thumbplay (USA) and Rhapsody (USA). A lot of people are betting that this will be the type of music service that will win out in the end, but I think there are already to many players in this market and I think it is going to be a winners market (only a couple will survive).
Disclosure: Spotify, Thumbplay and MOG are all RouteNote partners. We hope Rdio will also be a partner very soon!
Spotifylaunches two new options to use their service: Spotify Unlimited and Spotify Open.
Spotify Unlimited: costs £4.99 a month, and offers unlimited ad-free music – but ONLY on the computer. If users want mobile access, better sound quality, offline access and other premium features, they’ll still have to sign up to the £9.99-a-month Spotify Premium service.
Spotify Open: Spotify Open is a different flavour of the ad-supported free version of Spotify which caps people’s monthly usage. They’ll be able to listen to the service – with ads – for 20 hours a month. People can sign up to Spotify Open without needing an invite. The Spotify Free service isn’t being scrapped – yet – but it will still be invite-only.
“Up until today, new Spotify users have had two options – either subscribe to the full Spotify Premium experience or receive a Spotify Free invite from a friend,” says Spotify CEO Daniel Ek. “Following Spotify’s major upgrade, we wanted to give music fans new ways to enjoy the service. Now everyone who wants a great introduction to Spotify without an invite, or who wants to enjoy unlimited, ad-free music just on their computers, can do so.”
Additionally: Spotify has just launched in the Netherlands today, so make sure you head to the site and get in!
Only days after Spotify had a major upgrade which included a lot of social and sharing features, We7 has now announced some new sharing features of their own.
We7 is still yet to make an official announcement, but it seems that users can now connect to their Facebook account to post details while also scrobbling tracks to Last.fm.
Spotify released a major update to their service today, integrating a massive set of social and functional features, including the ability to linkn your Facebook and Spotify accounts, and the option of using to play all the music on your computer’s hard drive.
The new features will be available to free and premium subscribers alike; full list after their little introductory video. All of this new functionality makes Spotify an even stronger contender in the battle for dominance in the online music market, which will be put to the test if and when they launch in the US later this year, going up against already established services like MOG, Sirius and Pandora.
Social
Connect to Facebook: you can connect to Facebook inside of Spotify, instantly adding all your Facebook friends who’ve selected the same feature. Your friends’ profiles will appear in a new ‘People’ sidebar at the right of the screen, with your personal profile at the top.
Add usernames: you can also add people by typing their Spotify username, should you know it, into the Spotify search field. For example searching ‘spotify:user:username’ will bring up their profile (if their profile is published).
Publish your Spotify profile to the web: easily publish the link to your Spotify profile on your blog, Facebook page, website or anywhere else on the web and allow others to follow your musical journey. For example here’s a link to the official Spotify profile.
Inbox: a new ‘inbox’ folder on Spotify’s left sidebar lets you send tracks to friends directly within the platform, simply by dragging and dropping a track to their name in the People sidebar. Alternatively, just right click on the track and select the new ‘send to’ option.
Facebook feed: music your friends have posted on Facebook will be visible on the Spotify ‘What’s new’ page and via a new ‘Feed’ tab.
Popularity count for playlists: all playlists will show how many other Spotify users are currently subscribed to that playlist. By clicking on the number, you can even see the usernames of those who added the playlist.
Track playlist changes: see who and when a track was added to a playlist with the new ‘Added’ and ‘User’ columns in playlists.
Library
Local files: missing any music in Spotify? Now you can import a link to all the music files stored on your computer with a simple click of a button.
Gracenote: As with any good music media player, if you have missing or incorrect track information you need software to check those files and automatically correct them so that you can better organise and link them to our catalogue. Gracenote does just this.
Local file linking: we will check your local files and see if we have that track/artist/album in Spotify. If we do, we’ll make the file linkable so you can easily go from that file into an artist or album page. This allows for better sharing of playlists that contain a mix of your own music and Spotify’s.
Starred: every track and album on Spotify can now be ‘starred’ – allowing you to tag all your favourites into a special sub-folder.
Wireless sync: you can copy your music files to your mobile without connecting a USB cable with our new wireless sync feature.
Filter bar: the library has a permanent filter-bar at the top so you can easily type in what you’re searching for. In all other lists the filter bar is visible when pressing cmd-f (mac) or ctrl-f (windows).
Additional features
Mosaic images for playlists: the artwork from the first nine tracks in a playlist will create a cool mosaic image for your playlist
New toolbar in headers: Sharing music to Facebook/Twitter and your friends is much simpler. Easy to subscribe or unsubscribe to a playlist as well as view information about how popular a playlist is.
A share icon in ‘Now playing’ artwork: makes sharing what you’re currently listening to much easier.
Automatic track replacement: Spotify will now automatically try to find a replacement for any track you can’t play. So if a friend in another country sends you a playlist with tracks you can’t play or a local file, we’ll search our catalogue and link to a playable track when possible. A ‘link’ icon next to the track name represents replaced tracks.
Social
* Connect to Facebook: you can connect to Facebook inside of Spotify, instantly adding all your Facebook friends who’ve selected the same feature. Your friends’ profiles will appear in a new ‘People’ sidebar at the right of the screen, with your personal profile at the top.
* Add usernames: you can also add people by typing their Spotify username, should you know it, into the Spotify search field. For example searching ‘spotify:user:username’ will bring up their profile (if their profile is published).
* Publish your Spotify profile to the web: easily publish the link to your Spotify profile on your blog, Facebook page, website or anywhere else on the web and allow others to follow your musical journey. For example here’s a link to the official Spotify profile.
* Inbox: a new ‘inbox’ folder on Spotify’s left sidebar lets you send tracks to friends directly within the platform, simply by dragging and dropping a track to their name in the People sidebar. Alternatively, just right click on the track and select the new ‘send to’ option.
* Facebook feed: music your friends have posted on Facebook will be visible on the Spotify ‘What’s new’ page and via a new ‘Feed’ tab.
* Popularity count for playlists: all playlists will show how many other Spotify users are currently subscribed to that playlist. By clicking on the number, you can even see the usernames of those who added the playlist.
* Track playlist changes: see who and when a track was added to a playlist with the new ‘Added’ and ‘User’ columns in playlists.
Library
* Local files: missing any music in Spotify? Now you can import a link to all the music files stored on your computer with a simple click of a button.
o Gracenote: As with any good music media player, if you have missing or incorrect track information you need software to check those files and automatically correct them so that you can better organise and link them to our catalogue. Gracenote does just this.
o Local file linking: we will check your local files and see if we have that track/artist/album in Spotify. If we do, we’ll make the file linkable so you can easily go from that file into an artist or album page. This allows for better sharing of playlists that contain a mix of your own music and Spotify’s.
* Starred: every track and album on Spotify can now be ‘starred’ – allowing you to tag all your favourites into a special sub-folder.
* Wireless sync: you can copy your music files to your mobile without connecting a USB cable with our new wireless sync feature.
* Filter bar: the library has a permanent filter-bar at the top so you can easily type in what you’re searching for. In all other lists the filter bar is visible when pressing cmd-f (mac) or ctrl-f (windows).
Additional features
* Mosaic images for playlists: the artwork from the first nine tracks in a playlist will create a cool mosaic image for your playlist
* New toolbar in headers: Sharing music to Facebook/Twitter and your friends is much simpler. Easy to subscribe or unsubscribe to a playlist as well as view information about how popular a playlist is.
* A share icon in ‘Now playing’ artwork: makes sharing what you’re currently listening to much easier.
* Automatic track replacement: Spotify will now automatically try to find a replacement for any track you can’t play. So if a friend in another country sends you a playlist with tracks you can’t play or a local file, we’ll search our catalogue and link to a playable track when possible. A ‘link’ icon next to the track name represents replaced tracks.
They’ve not announced a specific date, but Business Week are carrying this story, in which Senior Vice President Paul Brown claims they’re in talks with various ISP’s, web hosting companies and mobile providers to co-ordinate service provision in the States before the year is out:
“We’re buying server space in random parts of the states and there are licensing discussions too,” Brown said “But they are going fine because we’re in a long-term partnership with the labels and publishers.”
They are also in discussions to port their smartphone app, that’s currently on Android and the iPhone onto the BlackBerry and Palm Inc. smartphones – a small but significant expansion of their customer appeal. Expansion into the USA will see a big jump in Spotify’s user numbers, which will necessitate improvement in their per-user revenue figures unless they are to start losing huge amounts of money. It’s for this reason that they have been restricting signups in Europe, so perhaps there’s a new model or a magic bullet, or perhaps they’re just bullish about the steady increase in their ad revenues being able to fully fund a free user by the time they’re ready to launch in the new territory.
Either way, if you’re an indie musician, sign up with RouteNote and we’ll get your music on Spotify for you ahead of their expansion.
Spotify currently boasts 7 million users, all of them in Europe. Not bad for a product that was only released in October 2008 – this figure does only relate to the number of people on their free service, but their £10 a month premium service is also gaining traffic at a remarkable rate; they had “more than 250,000″ premium users on 23rd Jan ’10, and are now boasting 320,000 paid subscribers, (as of the 17th March ’10), and increase of 28% in under 3 months, and an extra £8,400,000 a year into the coffers. Spotify still needs to up their percentages though, according to UMG’s [Universal Music Group's] SVP [Senior Vice President] Rob Wells [and they would know, because they've taken shares in the business], they need to have around 10%-12% of their users as premium subscribers [they're currently at about 5%] to have a viable business in the long term. This might change as more and more advertising dollars go online though – as both Spotify’s CEO Daniel Ek and industry analysts Kantar Media are saying:
[Table via TechCrunch's article on the same]. Other interesting facts are that 15% to 18% of the Swedish population use Spotify – and the Swedish music industry’s revenues are up, and that Spotify’s p2p based system is actually using more interwebs than the whole nation of Sweden. There are rumours of a Spotify set-top box and/or home stereo system, a bit like that Sonos thing, but running off your Spotify premium account.
Other signs of Spotify’s ambition came from comments about Apple – Ek described them as having a freemium model like Spotify’s, as everyone (in his opinion) downloads a lot of free stuff and then buys the stuff they really like on iTunes:
“The vast majority of people’s libraries are free from Limewire or trading through friends. And then there’s a small portion of tracks that they’ve bought… I really believe that if music could be legally available on any device that you wanted… I think the music industry would be radically bigger than what it is today”.
He also thinks that Apple will change the way that iTunes works, to allow remote access from anywhere to your iTunes music account on a cloud: “People want to share, to access independently. I think it makes a lot of sense for them to do something in that area.”
The RIAA have loosed another volley against the filesharing contingent that they believe are bleeding the profitability out of the music industry. The arguments are pretty solid: those who choose to download music illegally instead of paying for it through legal physical and digital channels are not enjoying the fruits of the people working in the industry without contributing to their livelihood. Bad people, right? Not proper music fans, right? Theft is insupportable, but there are questions of degree to be considered… From the RIAA’s press release:
According to SoundScan, the top 10 albums in 2009 sold a total of 21 million copies, and the top 10 tracks totaled 36 million paid downloads. But the top 10 albums in 1999 totaled 55 million in sales. Even with digital track sales factored in, those top sellers fell by more than 50%. In the last 10 years, the major record labels’ direct employment in the United States fell from about 25,000 people in 1999 to less than 10,000 today – a drastic reduction of over 60% in people who enable the creation and development of new music.
In the music industry, it takes the investment of many peoples’ money, effort, and time to create the songs and albums we all get to choose from and enjoy. Since most acts never even reach the breakeven point in sales, music labels need to operate like venture capitalists and count on the successes to subsidize the continued development of many artists and releases that may never break out of the red. And it’s easy to ignore the harm being done when you’re only stealing one copy.
Stealing music is wrong. This is undeniable, but there is something about what the RIAA say – it’s easy for a punter to ignore the criminality of nicking one album at a time ‘just to hear it’, and so the solution to the problem has to be slightly more nuanced than cutting off the consumer’s internet connection, or suing individuals for vast damages in high profile cases. Legal, profitable channels of consumption have got to compete directly with the illegal, risky, but free-to-consume-unless-you-get-caught methods like filesharing and illegal streaming.
Picking on individuals makes the recording industry look like the aggressor rather than the victim, which they are not; they’re just trying to safeguard their sources of income, and their jobs. It’s hard to think of Edgar Bronfman’s kids going hungry, or Puff Daddy having to sell his jet to make the mortgage payments, but there are real people doing good work whose livelihoods are on the line. That said, progress is inevitable (see the video at the tail of the post), and the music industry has got to roll with the punches and capitalise on the massive innovation that’s happening in the digital sector if it is to thrive as it has in the past.
Another thing to consider is how much this piracy actually costs the industry. If the pirates couldn’t get hold of the music easily and for free, would they bother getting hold of it at all? Does the money not spent on records all get spent on eyepatches, stuffed parrots and WOW subscriptions, or does some of it come back to the music industry in other ways? Concert revenues are certainly up over the last few years, and some artists are making money against the trend of decline by using clever andnon-traditionalmarketing methods, selling coolphysicalproducts, and using new outlets like Spotify and eMusic (to whom RouteNote will happily distribute your music, by the way) to boost waning physical revenues. Is it better then, for the industry to put a death-grip on sometime pirates who may also be gig-goers and box-set-buyers, and look backwards at the fantastic success they had with physical formats, or to look forward to an era when everything is digital and try to maximise it’s readiness and thus it’s profitability? Perhaps we’ll see things go full circle, and recorded music sales will tail off completely as we all go back to being regular concert goers, just like in the 1800′s…
A report from business analysis firm Ovum says they think UK based Internet Service Providers (ISP’s) could bundle a silver bullet with their broadband contracts by adding a digital music service to their offerings. They argue that this would increase customer loyalty (Ovum call it reducing consumer churn), generate additional revenue per customer, reduce online music piracy and increase music industry revenue. They estimate (and they don’t say how they arrived at the figure) that direct revenues from selling music-inclusive deals could be around £103 million by 2013, representing 41% of 2009′s market.
Commenting on the report earlier this week the BPI’s Geoff Taylor said “It’s increasingly clear that it isn’t smart to be a ‘dumb pipe’. This report shows that the revenue potential of digital music services alone makes sound economic sense for ISPs.”
Fair enough. But take note that Universal Music Group sponsored the report, the same UMG that are desperately worried about the collapse of their revenues, and the same UMG that are invested in Spotify, a music service that could very easily sell premium subscriptions bundled with an ISP package. This is by all indications a great idea, and would go a long way to helping the ISP community appease big music – who are accusing it if not of complicity then at least negligence in the article of stopping access to copyright infringing sites and torrent trackers like the infamous Pirate Bay – but an awareness of possible bias might encourage conservatism when looking at Ovum’s estimated numbers. There are a lot of solutions vying for the fast growing digital music dollar, it’s a market in which we’re currently diversity and innovation, and a big move like the one the BPI are advocating could seal the future of music online.
Music subscription services are still 
A 