Spotify is reportedly planning to launch a free mobile music service. According to a new report by The Wall Street Journal, the Sweden-based company has reached licensing deals with all three of the global music companies to use their recordings.
Spotify currently offers a free service for desktop and laptop computers, and offers a Pandora-like radio feature via its mobile app. But this new service would allow smartphone and tablet users to play a limited number of songs on-demand, with ads…
The Journal’s Hannah Karp has the scoop:
“Spotify AB is planning a free, ad-supported version of its streaming-music service on mobile devices, according to people familiar with the matter, after previously making mobile users pay a monthly fee. [...]
The new ad-supported offering will allow nonpaying mobile users to play a limited number of songs on demand, but will mostly serve up music based on the user’s input, much like custom radio services such as Pandora Media Inc., P -0.17% these people said.“
Until now, Spotify’s free users have been able to play music on demand, with ads, on their computers—but they can’t use the service through their mobile app, unless they enter their credit-card info to sign up for the 30-day premium-service trial.
The move is likely in response to growing competition from Apple’s iTunes Radio and Pandora, and we could see it launch as early as this month. Spotify invited journalists to a media event in New York next week, but hasn’t said what it’s about.
Spotify claims it has 20 million active users and a library of over 20 million songs. If you’d like to check out the mobile app, click here.