According to Reuters, Amazon is planning a to launch a brand new music streaming service.
This service would be in direct competition to the likes of Spotify, Apple Music and Tidal. As of now the service will cost $9.99 a month.
Amazon probably plans to roll out the service to complement the recent success of the Amazon Echo smart speaker. Expect the service to connect seamlessly through Echo and many other Amazon devices in the future.
In the past, the distribution giant had a streaming service provided through the company’s Amazon Prime membership program. This program includes discounts, free shipping and a Amazon prime video/music streaming service, all of this cost an annual fee of $99.
However, the prime music service only offered a limited catalogue. So it makes sense why Amazon is planning to re-launch the music service with the massive shift that is taking place in the music industry.
As of right now, Spotify holds the most subscribers with 30 million. Apple music comes in second with 12 million. These number speak for themselves for how competitive the streaming business is.
Even with all the exclusives Tidal has had this year (Lemonade and The Life of Pablo), their subscription base is only 1.2 Million.
Just this past week, Spotify hired Troy Carter to become a musician liaison. This role is similar to what Apple Music’s Jimmy Iovine does. All these moves being made means that as the music industry continues to evolve, competition rises.
Only time will tell if Amazon is up for that challenge.
For more information on the Amazon Echo speaker, check out the video below.