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Research and Markets: SoundCloud Enters Subscription Music Market with SoundCloud Go


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Research and Markets

30 Mar, 2016, 14:01 GMT

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Research and Markets Logo. (PRNewsFoto/PR NEWSWIRE EUROPE)

DUBLLIN, March 30, 2016 /PRNewswire/ --

SoundCloud has launched a new $9.99-a-month subscription service this week, as it looks to take advantage of the growing number of people subscribing to music streaming services. The company has signed licensing deals with Sony, Warner Music and Universal, which will give its customers access to those label's extensive catalogs.

     (Logo: http://photos.prnewswire.com/prnh/20130307/600769 )

According to reports, the new service will offer customers more music, less ads and the ability to save tracks offline. The music industry has undergone a digital revolution driven by cloud-based online music, with an increasing number of people subscribing to digital music and streaming services. The market for these cloud music services has been projected to grow 10.21% by 2019 , with the penetration of mobile devices, the cloud, and social media among consumers and service providers rising rapidly each year.

A surge in subscription-based services has led to massive growth in the mobile music market. Advances in connectivity were expected to drive growth a further 28.07% by 2019, and this should increase if SoundCloud's latest venture is a success. The global market is also benefiting from increased integration between streaming applications and social media platforms. For example, the collaboration between Spotify and Facebook resulted in increased subscriptions for the streaming service.

The music industry has recognized this trend, and is keen to promote paid-streaming services that offer more royalties than the free versions. SoundCloud Go is only available in the United States to begin with, but is expected to expand around the world by the end of 2016.

A recent report had forecast the global music streaming service market to grow 12.57% by 2019, but if SoundCloud is able to convert some of its free users over to the new subscription service, this growth will likely be greater than expected.

For further information on this topic, and a full list of all related documentation, please visit the Mobile Content section at http://www.researchandmarkets.com/rm/NKPR.                       

About Research and Markets 

Research and Markets is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Source: http://www.nytimes.com/2016/03/30/business/media/soundcloud-starts-subscription-plan-taking-on-spotify-and-apple.html?ref=technology&_r=0

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