Spotify Video Podcast Buildout Continues With Nebula Partnership — Total Video Episodes Now Top 2.5 Million

spotify nebula deal
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Spotify is adding video content from creators on Nebula, a self-described hub for ‘videos, podcasts, and classes.’ Photo Credit: Nebula

A number of creators are officially bringing video podcasts to Spotify under a new deal with Nebula, a self-described hub for “smart, thoughtful videos, podcasts, and classes.”

Spotify and five-year-old Nebula just recently unveiled their tie-up, which has arrived amid a continued effort to diversify for the streaming service. At the intersection of that point and Nebula’s offerings, Spotify is leaning into video podcasts, music videos, and, taking a page from TikTok’s book, short-form clips.

Furthermore, evidence suggests that Spotify may be plotting a wider UGC expansion, and during the company’s Q1 earnings call, CEO Daniel Ek touted educational content as “a huge potential opportunity.”

Back to the Nebula deal, the likes of CinemaWins, Charles Cornell, and Game Makers Toolkit are already uploading videos to Spotify in the podcast category – though some of the episodes, contrasting long-form alternatives, run about 10 minutes.

All told, Spotify is said to have north of 2.5 million overall video podcast episodes at present. Addressing the union in a statement, Nebula CEO Dave Wiskus emphasized the reach-related benefits of joining the platform.

“Nebula is home to so many talented and thoughtful creators,” relayed Wiskus. “It’s important for us to build partnerships that highlight the amazing work our creators are doing. Spotify gives us an opportunity to expand our reach, not just in numbers but with the exact kind of audience who would most enjoy what we do.”

Looking ahead to the future, one needn’t stretch the imagination to see how success with this pact could lay the groundwork for expansive agreements with other third-party content companies. More immediately, Spotify’s strategy of leveraging its reach (referring to 615 million monthly active users as of Q1) to unlock new opportunities for existing media appears to be a comparatively efficient approach.

Having now scaled back the teams of its podcast units (on which it reportedly dropped billions), nixed evidently unprofitable original programs, and put the kibosh on ultra-expensive deals that produced minimal content, Spotify is pursuing profitability in earnest.

Meanwhile, audiobooks, despite being available free of charge via digital-library apps such as Libby, could well drive additional revenue for Spotify moving forward. And adjacent to the main opportunity, the audiobook expansion set the stage for bundling reclassifications that could see the service pay somewhere in the ballpark of $150 million less in annual U.S. mechanical royalties.

Predictably, publishers are far from thrilled with the change, which the Mechanical Licensing Collective is challenging in court.