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Spotify To Launch Free Mobile Access On December 11th

Spotify wants to keep its status as the leading music streaming service, but that is becoming increasingly more challenging with the rising competition from giants like Apple (iRadio) and Google. This is not taking into account the smaller startups like Rdio and Deezer who have been offering their users free mobile streaming for sometime now. Of course these free tiers come with a bunch of restrictions, but that’s the price users will have to pay for free streaming.

Until now, Spotify has only allowed their premium members who are paying $10 USD a month to stream unlimited music on the go, while offering free but ad supported streaming on desktop and web. Now that the company has a stronger advertising platform it might be able to finally offer its free streaming service for the mobile users and still make it a profitable business.

Analysts predict the users will be able to listen to a limited number of songs on demand, once the limit is reached they’ll be restricted to listening to Spotify Radio, a service similar to Pandora. The free service is most probably going to come in with a lot of fine prints that might interfere with the user experience. Being in music streaming business is not the easiest thing in this world, not only the company has to make sure it has the technology and backbone structure to support millions of listeners but it must also ensure the record companies and partners are happy with how their content is distributed.

Spotify stepped into the music streaming scene back in 2008 when competition was scarce. The company has been following the same business model for the past 5 years, but it’s time they rethink their approach if they was to remain a relevant and profitable. Spotify has clearly been feeling the heat of competition and stepped up their game to keep their happy customers returning.