Amazon Launches A New Music Streaming Service Named Prime Music.
Amazon has launched their very own music streaming service dubbed Prime Music, taking a change by including on-demand tunes onto its $99 a year prime service will be a very important matter in attracting new members, than matching the extensive catalog that offered by rivals such as Spotify and Apple’s upcoming acquired Beats Music.
Prime Music shall launched during Thursday with over more than one million tracks available from the catalogs of two of the top three record labels Warner Music Group and Sony Music as well as a from several large independent labels. Universal, the world’s biggest recorded music company, is not available.
Comparing these, Spotify, the current leader in subscription streaming music with over 10 million paying members, and Beats music, which Apple has agreed to purchasing for over $3 billion, have catalogs with over more than 20 million tracks.
“A lot of these services have more music than people will ever listen to,” Steve Boom, Amazon’s vice president of worldwide digital music, said in an interview. “People are paying for a lot of music they’re never going to listen to.”
The e-commerce company has become one of the latest tech giants to turn towards subscription based streaming music service. During the past couple of years, services offer the all you can consumer music for a monthly rate fee have become recorded music’s brightest spot of revenue growth. Revenue from subscription and streaming service soared up to 51 percent to top $1 billion for the first time during the previous year, according to information provided by the International Federation of Phonographic Industry.
Although this smidgen model has yet to proven to be lucrative, reports have stated that even Sportify’s revenue has grown, so have its losses.
Amazon tackles this in a unique fashion, bundling music as part of its Prime service, underscores how companies are still trying to figure out business model that work. The prime program, which contains over tens of million of members, already offering over two-day shipping on select Amazon purchases, a Netflix-like streaming video service, and lending library of e-books for Kindle devices, the Amazon flagship for tablets and e-readers.