“After allegedly attempting to stop Spotify from streaming free music, Apple Inc. is reportedly ready to announce its own on-demand streaming music service,” Louis Bedigian reports for Benzinga. “Unlike Spotify, Apple’s service isn’t expected to offer a free listening option. This might explain the firm’s concern with Spotify, but it also begs an important question: can the Mac maker persuade consumers to pay $10 a month for music Spotify provides for free?”
“‘Free Spotify isn’t gonna be free forever,’ Patrick Moorhead, president and principal analyst at Moor Insights & Strategy, told Benzinga. ‘And really the business model is all about getting enough people to pay,'” Bedigian reports. “Moorhead said that consumers always pay a price somewhere, whether it’s in the form of a monthly fee, advertisements or some other element. ‘There are no free lunches out there,’ he said.”
Read more in the full article here.
MacDailyNews Take: We don’t know about free Spotify users, but if Apple’s service offers exclusives and features that Spotify cannot to their paying customers, those people will switch to Apple Music.
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