Swedish music streaming service Spotify has again postponed the launch of Russia, reports “Kommersant”, citing a source in a major Internet company. Information also confirmed the newspaper’s source familiar with the plans of the Swedish company. Both sources say that the launch is possible in November or December, although first planned in the late summer. Response from Spotify edition is not received.
AI for beginners: how Swedish startup Spotify Peltarion lured into the neural network
According to one of interlocutors of the newspaper, Spotify recently stepped up a meeting with Russian owners. Another source added that the company is searching for employees from the sphere of marketing.
According to another interlocutor of the newspaper, Spotify is watching the office a minimum of 30 people.
In March AdIndex reported that Spotify in Russia will be headed by top Manager Media Instinct Group Ilya Alekseyev. Sources of “Kommersant” have confirmed that these plans remain the same, but he Alexeyev declined to comment.
The launch of the Swedish service in Russia was planned in 2014, but for various reasons postponed. The new delay, according to sources, could be the result of a conflict of Spotify and one of the largest music publishers, Warner Music. The company are unable to agree on licensing terms with the release of Spotify on the Indian market in late February. “Go to Russia without Warner meaningless”, — said the interlocutor of the newspaper. The head of Warner Music Russia Alexander Blinov did not comment on the release of Spotify in Russia.
In July of this year in the social network got the screenshots of the tariff plans of the service for Russia. According to them, a premium subscription is estimated at 150 rubles, the newspaper writes. Spotify this information is not confirmed nor denied.
Sound $30 billion: why Spotify went to the stock exchange without an IPO
“Kommersant” cited data from J’son & Partners Consulting according to which the volume of the market of music streaming in Russia in 2018 amounted to 5.7 billion rubles, and by 2021-mu will reach 18.6 billion rubles. According to the chief analyst of the Russian Association of electronic communications Karen Ghazaryan, who is working in Russia Apple Music, “Yandex. Music” and Google Play Music subsidized by revenues from other products of the companies and serve to attract users and collect data. He added that Spotify will be harder, because almost all the income the company receives from the sale of subscriptions. Director of TV and content Department, J’son & Partners Dmitry Kolesov believes that the streaming service will become part of the ecosystem, running on loyalty.
Director of label Ionoff Music Alexander Ionov said that Russia will be a difficult market for Spotify, because the company will need to convince students interested in thematic playlists, go with Apple or Boom. “Apple is doing everything to not allow Spotify to its territory”, — he said.
Read more •••