Spotify 'to take on Netflix with video streaming'
SPOTIFY, the on-demand music service, is planning to move into the video-streaming market pioneered by Netflix, it has been claimed.
Spotify is the world's largest on-demand music service, with 24 million active listeners.
Spotify is also said to be planning to produce original online-only programmes, as Netflix did with the critically and popularly acclaimed House of Cards starring Kevin Spacey, which debuted last month.
Earlier this month it was also reported that Amazon is producing its own original web-only content, signing up John Goodman to star in the pilot Alpha House.
Spotify is looking for partners to help it fund the move into video on demand and create exclusive content, according to Business Insider.
Following investment from Coca-Cola, Goldman Sach recently valued Spotify at $3bn.
However, as the music industry controls the price it pays when customers listen to songs, margins are very tight.
Spotify has not commented on the reported plans to expand into video on demand, but recently denied such a move was imminent, according to the website CNET.
It quoted Spotify CEO Daniel Ek commenting on a possible move into video during a “recent” – yet previously unpublished – interview.
"I won't rule it out because we're a company that looks at what we're doing incredibly long term," Mr Ek said. “But right now, we're all focused on music."
Spotify is the world’s largest on-demand music service, with 24 million active listeners.
The service is free if you listen to less than ten hours of music a month, with unlimited use for premium users who pay £9.99 a month.