News JVTech Spotify CEO announces: yes, you will finally have good quality Music in a short time
Published on 11/19/2024 at 10:30 p.m.
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Are you a Spotify subscriber and would you like to finally listen to music in good quality? The famous lossless is indeed coming according to the CEO of the Swedish company… but at what price?
Music streaming giant Spotify has a melodious twist coming
Audiophiles generally don't subscribe to Spotify. For these sound buffs, music is appreciated in all its details and it is impossible to fully enjoy it in a format that is too compressed. Because yes, on Spotify, the maximum quality is Ogg Vorbis, 320 kbps. On Amazon or Deezer for example, you can find many 24-bit 192 kHz FLAC quality songs. On Amazon, there is music in Dolby Atmos and ALAC 24-bit 192 kHz. Basically, understand that the competition offers music in HiFi (high fidelity), like a CD, while Spotify offers… mp3 versions.
However, it is Spotify which dominates the music streaming market, and not just a little. With more than 620 million active users, the Swedish giant crushes its competitors. Competitors who are starting to eat away at Spotify thanks to great features and literally better quality music. So it's done: CEO Daniel Ek announced that the market is now mature enough to offer something different, more refined. Yes, lossless is finally coming. But at what cost?
We spoke to you last October about a possible increase in the price of the Spotify subscription. What seems to be emerging could instead take the form of a new, more expensive subscription formula but with lossless music. At least that's what the company's CEO, Daniel Ek, announced half-heartedly, who declared that the market is now mature enough to offer something different, more refined. No date has been announced for this new premium special audiophile formula.
When Spotify takes a look in its rearview mirror
Spotify's promise to offer better listening quality is a response to its fierce competition, as we have said. It is also a way of justifying an increase in prices, in a context where the company aspires to profitability after years of massive investments to conquer the market.
How far will Spotify go in its price increases? This is a question that the company must answer quickly, because the risk is very real of seeing its subscribers leave for other music streaming platforms. The challenge for the Swedish giant is to find the right balance between the quality of the offer and the price of the subscription. Be careful not to pull too hard because, if the increase is at least 5 dollars per month as announced by Bloomberg last June, it risks being a little too expensive: we will arrive at at least 16€ per month for a subscription, it's monstrous (see how it works for the couple, student and family plans).
In this context, Spotify must also face economic questions. The company must find ways to diversify its revenue and establish a more sustainable business model. Very recently, audiobooks arrived on the platform for example. A very strong argument. The objective of these new developments for Spotify is to remain dominant in an increasingly competitive market.
