Wednesday 22 November 2017

Spotify signs up 2.5m paying subscribers ahead of major announcement

Emma Barnett

SPOTIFY has signed up 2.5 million paying subscribers, ahead of a major new development by the company to be announced next week.

The Swedish streaming company released the data today, 24 hours after sending out invites to journalists for an event next week, at which Daniel Ek, Spotify’s co-founder and chief, is expected to outline some major changes and say what is next for the business.

Spotify has added 500,000 paying subscribers in the last two months.

The big surge in its growth can be partially attributed to its US roll out and a deep partnership with Facebook – whereby all new Spotify users must have an account with the social network first.

It has also launched in several new countries, including Denmark and Austria during the last few weeks; as well as beginning partnerships with telcos such as Virgin Media -as revealed first by The Telegraph.

Business Insider has also estimated that Spotify has added five million new users since the tie-up with Facebook was announced at f8, the social network’s annual developers conference.

However, a few days afterwards, the company rolled out a ‘private listening’ option on Spotify in an attempt to appease users who had been angered by the music service’s tie up with Facebook and being forced into over-sharing.

The close relationship with Facebook annoyed many of Spotify’s users because it prompted concerns about privacy and forced over-sharing via the social network.

The company duly responded, announcing the new ‘private listening’ option via its blog: “Many of our users have told us that they like to share what they're listening to, but also want an easy way to hide their occasional guilty pleasures. So we've now added a new `Private Listening' mode to our latest update".

However, Spotify users wanting privacy have to note that the feature is automatically switched off when they next log in.

Next Wednesday, November 30, Ek is holding the company’s first major solo US press conference in New York, 5pm UK time, at which he will explain Spotify’s ‘new direction.’

In March earlier this year, Spotify announced that it had signed up its one millionth paying subscriber just ahead of its highly anticipated US debut.

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