Spotify Acquires Mediachain Labs

Mediachain Labs, designed to explore how the next generation of blockchains and open, peer-to-peer protocols would empower creators to better reach their audiences and earn a living, has been acquired by Spotify.

Brooklyn-based Mediachain Labs has been the driving force behind the Mediachain project, a world-class blockchain research agenda and open source protocol to better manage data that is critical to the health of the music industry.

The Mediachain team will join Spotify’s New York City offices and help further Spotify’s journey towards a more fair, transparent and rewarding music industry for creators and rights owners. Continue reading Spotify Acquires Mediachain Labs

Spotify, Merlin Ink Global License Agreement for the World’s Leading Independent Record Labels

Spotify and Merlin, the global digital rights agency for the independent label sector, today announced a new multi-year license agreement – ensuring the world’s leading independent record labels and their artists will remain at the core of Spotify’s offering to music fans.

Continuing a successful nine-year partnership, the agreement is structured to reflect and promote the value of Merlin’s collective offering of its members’ repertoire, while offering improved marketing and advertising opportunities and enhanced access to data.

Merlin member labels can also participate in Spotify’s recently announced flexible release policy. Continue reading Spotify, Merlin Ink Global License Agreement for the World’s Leading Independent Record Labels

Spotify Premium for Students Launches in 33 New Countries

Spotify is debuting Spotify Premium for Students in 33 new countries around the world. Spotify Premium for Students allows all registered students to enjoy Spotify Premium – and all of the many benefits that come with being a Premium subscriber – for around half the standard price.

Today’s launch of Spotify Premium for Students means that university students in 33 new countries around the world are now able to to purchase Spotify Premium for half price. The offer is open to students for every year of their student life, and is available immediately from today. Continue reading Spotify Premium for Students Launches in 33 New Countries

How Spotify is Wooing Brands

The world’s largest music streaming service is ramping up its efforts to attract advertisers in the Philippines, where its recent TNS-commissioned study showed two in five Filipinos with Internet access listen to music on Spotify.

Joanna Wong, head of business marketing for Spotify in Asia Pacific, shared some insights on how the tech company is trying to woo brands in the Philippines.

“Moments-based marketing” is one key trend that Spotify believes will go mainstream this year.

“It really allows marketers to really send the right message to the right audience at the right time,” she said in a recent interview with BusinessWorld.

Read Article: BusinessWorld

Spotify: Preparing for a “Crowdfunding” IPO Unlike Snap?

In Snap’s massive IPO earlier this year, rookie investors had to wait for the big guys on the street to take their cut before buying their own, pricier shares of the disappearing photo company.

But when music-streaming service Spotify goes public, investors might not have to wait. The company is reportedly preparing to go public in a very different way, with shares offered directly to the public.

Spotify is seriously considering a direct public offering, according to people with knowledge of the matter, as reported by the Wall Street Journal. It’s a less costly process for the company going public as it cuts out the underwriters and the hefty fees that come with them.

Read Article: Fortune.com

Spotify and Universal Strike Right Chord

Cue the singing angels. After interminable wrangling, the world’s biggest music label and the world’s biggest streaming service have agreed on new contract.

That Vivendi’s Universal Music Group and Spotify Ltd. overcame the acrimony bodes well for both.

The deal includes key compromises on both sides: Universal Music has agreed to accept a lower royalty rate for each song than it received under the old contract, but only if Spotify hits certain targets on increasing its paying subscriber base.

Neither company disclosed exact figures, but suffice it to say that if Spotify lures more customers it will pay less than the current rate of roughly 55 percent.

Read Article: Bloomberg Gadfly

Lefsetz Letter: Spotify Premium Exclusives

It’s not gonna work. The music business is a race to the bottom. A scummy cesspool wherein rules are made to be broken and fealty is paid to money but the true currency is fans and attention. He or she who restricts access pays the price. And those who don’t scoop up the proceeds.We’ve seen this movie before. With independent promotion. Documented quite well in the all time tome “Hit Men.”

As soon as one major stopped paying, the others doubled down. Who’s gonna give up all that revenue?Come on, the stories the past few months have been about records being broken. Ed Sheeran and Drake releasing new music and getting stratospheric streams. Suddenly, they’re gonna take themselves out of the game? Forget Taylor Swift, that’s a sideshow.

From a previous era, a transition from files and physical to on demand streams. Everything moves, everything changes, but the truth remains you’ve got to strike when the iron is hot. When the buzz is in the air. When people care.

Read Article: Lefsetz Letter