
The benefits of Spotify’s new Spotify Artists website to provide musicians with context for new announcements was clear this week, as the company published a blog post to explain its new mobile developments. The aim was clearly to reassure fears that more free music will mean tilting the balance towards lower payouts for artists. “Just ask any teenager how they listen to music on their phone, and they’re likely to show you an app for ripping music videos from YouTube,” explained the post. “Spotify’s mobile free tier enables us to compete with mobile piracy and other services that are free on mobile.” It also stressed the features that people still won’t be getting for free on mobile devices, and dug into the payouts implications. “The mobile free tier will help us to grow quicker, which is good news, because the quicker we grow, the quicker we will generate even higher royalty payments… Every day, thousands of users try to use Spotify on their mobile devices, but many leave when they find our prior mobile experience limiting. These users go back to piracy or other poorly monetized services. By offering a free mobile service, Spotify will be able to rapidly increase the number of users who explore the service long enough to fall in love with it and then to join our Premium tier.”