Rumors are flying this week about the possibility YouTube may launch a subscription-based music streaming service to compete with Spotify before the end of the year.
According to the NYTimes (citing people who were not authorized to discuss the service publicly), the subscription could cost $10 a month and grant access to videos on demand without advertising interruptions. Users would have the option of watching the video or simply listening to the track.
No doubt this new service will be primed for the mobile user, as TechCrunch recently reported YouTube’s mobile traffic was at 40 percent, up significantly from 6 percent in 2011.
Billboard.com speculated the YouTube service might offer “offline cacheing of songs and videos so users can listen on their mobile devices even when they’re not connected or when they’re trying to save on bandwidth costs or battery consumption.”
This is a probable scenario, as YouTube recently announced it would provide offline viewing to its mobile app users starting in November.
Billboard also reported that YouTube would already have all the licenses it needs for a service like this, including from Warner Music Group, Sony Music Entertainment and Universal Music Group. According to Billboard, the licenses were obtained through Google as it prepared to launch the Google Play Music All Access service earlier this year.
It’s also believed there will be a free component to this potential music video service, which will likely be “unlimited, on-demand access to full tracks on all platforms, including mobile,” Billboard said.
The free version will also likely include ads, which might just be the boost YouTube needs, as comScore reported AOL was on top for ad impressions in September, not YouTube.
If YouTube offers a music streaming service, it wouldn’t be the only move by the video platform to further monetize through subscriptions. YouTube announced this week it will extend the subscription-based channel service it piloted back in May to all video creators in good standing (more than 10,000 of them).
YouTube declined to comment directly on its plans, but said in a statement: “We’re always working on new and better ways for people to enjoy YouTube content across all screens, and on giving partners more opportunities to reach their fans. However, we have nothing to announce at this time.”
This article was originally published on http://searchenginewatch.com/sew/news/2303193/youtube-may-launch-a-commercial-free-music-subscription-service-by-end-of-year.
Programmatic is taking over the digital advertising world, and at an even faster rate than expected, according to eMarketer, which raised its forecast for programmatic ad spending in the U.S. on the back of growth in mobile and video programmatic buys.
Despite the fact that it faces growing competition from Facebook, Instagram and Snapchat, Google-owned YouTube is still one of the most popular ... read more
Can Snapchat make tech-enabled glasses cool? It’s going to try. Last week, it was revealed that the company behind the ascendant social app ... read more
Video consumption keeps increasing and Facebook is serious about a video-first world, encouraging us all to explore its full potential. Ian Crocombe, ... read more