If you’re following Spotify’s plans to launch in the US, then it’s well worth reading this feature from Billboard’s Antony Bruno, taking a detailed look at how the service may need to change to succeed there. Rhapsody America biz dev VP Neil Smith explains why he thinks it will need to change. “The reason Spotify blew up so big and so fast was it was free. That model isn’t going to happen in the U.S. anytime soon, maybe ever. The U.S. is the market where the labels make all their money. They can’t afford to have a service that doesn’t generate substantial revenue suck up all the usage.” However, Pali Capital analyst Richard Greenfield suggests bundling partnerships with ISPs and mobile operators could be the key in the US – reflecting Spotify’s recent deals with 3 UK and Telia in Sweden.
Spotify’s prospects in the US
