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One Year Ago, Spotify Launched In the United States...

Thursday, July 12, 2012
by  paul

Spotify first landed in the US on July 14th, 2011, which means this Saturday will mark its one year anniversary in the States.  So how's it doing?  Here's a look at a few metrics, based on information pulled from Spotify, leaks, and analyst estimates.

            

I. Paid Subscribers (US)

July 14, 2011: 0

July 14, 2012: ~800,000 (est.)*

 

II. Active Users (US)

July 14, 2011: 0

July 14, 2012: ~4 million (est.)*

(note: year one expectation set by Spotify: 50 million users)

 

III. Limitations on Free Plays (US)

July 14, 2011: unlimited (w/ ads)

July 14, 2012: unlimited (w/ ads)

 

IV. Funding Situation

July 14, 2011: ~$200 mm.

July 14, 2012: ~$300-$400 mm. expected.

 

V. Active Users (Worldwide)

July 14, 2011: 'more than 10 million'**

July 14, 2012: 'more than 10 million'** 

 

VI. Subscribers (Worldwide)

July 14, 2011: 1.6 million (per Spotify).

July 14, 2012: 3 million (latest per Spotify, early June)

 

VI. Other notable developments.

App suite launch.

Black Keys holdout.

Red Hot Chili Peppers, Arcade Fire licensing.

Heavy windowing by Coldplay, Adele, others.

Discovery of 'evil tracking cookie'

Launch of free, Pandora-like Radio tier.

Coca-Cola partnership.

Sector sell-offs: MOG, we7 sold at modest valuations.

iCloud growth continues.

 

*estimates based on April leaks, straight-lined into July.

**per Spotify figures in both cases, in July, 2011, and last updated in May.  Most feel this is intentionally low-balled.

  





  • Comments Closed
    Comments (17)

    VII. Amount paid to artists Thursday, July 12, 2012

    June 14, 2011: $0

    June 14, 2012: $0

     

    Some things never change.


    david@indigoboom Friday, July 13, 2012

    That is just not true.

    Just one of our artists made roughly 3000$ per month from spotify streams alone in Q1 2012


    HansH Friday, July 13, 2012

    Good to hear. Please disclose more details. Proof is what we need.


    David@indigoboom Monday, July 16, 2012

    What kind of details would you like?

     


    @mattadownes Thursday, July 12, 2012

    lmao


    FarePlay Friday, July 13, 2012

    Even with Spotify's perceived exploitative compensation model for artists, will Spotify ever be profitable? 

    Will Spotify continue to dilute the value of music even further by offering coporations Spotify Apps; enabling Fortune 500 companies access to music with a pass through to Spotify's artist compensation?

    Is the unlimited file sharing model an economically sustainable model for anyone?  If so at what price to the subscriber and at what cost to the artists?


    Paradox Friday, July 13, 2012

    Spotify reached 3,000,000 paid subscriber back on Jan 26, 2012.

    (not June 2012 as reported by Digital Music News)

    Google Spotify 3 million subscribers and you get a lot of report back in Jan 26-27, 2011.


    paul Friday, July 13, 2012

    The intent was to point to the latest, most up-to-date subscriber figure from Spotify, not when they first claimed to reach the threshold.

    /paul


    @alex_esser Friday, July 13, 2012

    That's 800.000 new paying subscribers in US

    only or $8M / month


    Visitor Friday, July 13, 2012

    Dylan also licensed-- pretty big deal for some of us fogeys.


    Visitor Friday, July 13, 2012

    so has zappa..the lure of the coin cannot be resisted forever


    FarePlay Friday, July 13, 2012

    Zappa's dead.  You think he's pissed?


    Central Scrutinizer Friday, July 13, 2012

    I think I hear a Pooh's attorney on the phone


    Casey Friday, July 13, 2012

    Another notable development was the buyout of Napster by Rhapsody. Not directly related to Spotify but it could be included under sector sell-offs.


    Another interesting statistic to know would be how much their catalog has grown over the period of 1 year. However I do not think there are accurate statistics availabe for what the size of the US catalog is.


    Super Saturday, July 14, 2012

    Another notable development is Spotify becoming tied up to Facebook and requiring a Facebook account from all new users since September 22nd 2011.

    After the tie-up, extreme spam on Facebook began, which exposed the service to lots of people.


    @magzape Saturday, July 14, 2012

    when will Spotify arrive in Italy?


    @pouchatron Saturday, July 14, 2012

    Why haven't they announced a million subscribers here?


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