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Amazon to challenge Spotify with a music streaming service

Is in talks with music labels
Wed Mar 20 2013, 14:40
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ONLINE BOOKSELLER Amazon is planning to launch its own music streaming service similar to Spotify, according to reports.

Sources told The Verge that Amazon is in talks with recording labels to launch an on-demand music service, and is agreeing terms for a competitive subscription model.

We have contacted Amazon for confirmation but have yet to receive a response.

If the sources are correct and Amazon does decide to launch a subscription music service, it is already ideally placed to implement a wide reaching service as it has much of the infrastructure needed to do so, including cloud music storage via its Cloud Player.

Though Swedish music subscription service Spotify would be Amazon's major rival in this market, with over 24 million active users at present, other rivals here in the UK would include Deezer and Rdio.

However, both Apple and Google reportedly are also planning to launch their own music streaming services this year, which could complicate Amazon's plans to steal Spotify's limelight.

Whispers about Apple launching a competitor to Spotify came via Reuters earlier this month, which heard from three sources close to the project that Apple was in talks with Beats Electronics to get in on the company's planned music streaming service.

Google is reportedly planning to launch its service via Youtube. The upcoming service, which will be tightly integrated into Google Play and the Android ecosystem, will apparently offer both free and paid-for subscriptions.

Neither Apple nor Google have confirmed the rumours. µ


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