Last week’s claim by Digital Music News that Spotify “may soon be limiting its free, ad-supported access to just three months” has been sharply slapped down by the streaming service. “It’s totally false. The model is working,” a spokesperson told Music Ally, among other outlets, after the DMN story started getting picked up by tech news sites.
Totally false? There may be some fire causing this smoke, although it’s not an agreement to limit the free tier of Spotify just yet. Billboard’s source claimed that the idea HAD been pressed by Universal or Sony Music as part of their licensing renewal negotiations, but that “the agreement was flatly rejected by Spotify”. The truth? More negotiating in public by both sides, understandably so given the current debate around freemium streaming. Expect a few more twists and turns before those new deals are signed.