Apple Music Gains Marketshare of Both Plays and Overall Revenue

Discussion in 'Streaming Services' started by uofmtiger, Jan 16, 2018.

  1. uofmtiger

    uofmtiger Super Member

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    Interesting article:

    https://thetrichordist.com/2018/01/...arketshare-of-both-plays-and-overall-revenue/

    "For the second year in a row Apple Music Streaming sits in the sweet spot generating the second largest amount of streaming revenue. The current per stream rate seems to have actually modestly increased from .00735 last year to .0783 this year. A nominal increase but worth noting. Apple’s current effective rate of .00783 is pretty close to double the Spotify effective rate of .00397.

    There’s more good news for Apple as their market share has risen from 7.18% last year to almost 11% this year. But the bigger story is that Apple Music is now accounting for over 22%+ of music streaming revenues up nearly 11% from last year. This is good news and shows the power of both Apple’s commitment to streaming, and the value of a paid only platform. Apple Music is actively taking marketshare away from Spotify."

    I wonder how Spotify pays out when someone signs up for a 99 cent 3 month trial? I seem to remember that Apple said they would pay their 3 month free trial fee when Taylor Swift and the Indie Artists threw a fit. If Spotify is just basing pay on 33 cents a month for their trial runs, that could be the difference. Anyway, I would be curious to hear other opinions.
     

     

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  2. kray

    kray HE>i Subscriber

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    They could put Tidal out of business and keep the gains coming if they added a lossless tier.
     
  3. uofmtiger

    uofmtiger Super Member

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    A new article along the same lines:

    Apple Music subscribers grow at a quicker rate, challenging Spotify ahead of IPO: Wall Street Journal

    The main point of the Wall Street Journal article is that Apple Music could pass Spotify in the USA for paid subscribers this summer. Unfortunately, the original article is behind a pay wall, so it is hard to know where WSJ is getting that info.

    In any case, it is good news for Apple as their HomePod gets prepped for release on Feb 9th.

    They also announced that Apple Music now has 36 million customers and is growing at 5 percent per month.
     

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