last100 » Audio

3 and Spotify point to the future of music purchasing

Steve O'Hear — Mon, 19 Oct 2009 17:45:58 +0000

UK carrier 3 has teamed up with Spotify to offer a mobile tariff that includes a premium subscription, no ads and mobile usage, for the popular European (US launch pending) music streaming service. While the offer in itself is news worthy – it’s quite an attractive deal (more below) – perhaps more interesting is that the model may well point to the future of paid-for music.

Prior to 3’s offering, those wanting to utilize Spotify’s service on their handset were required to take out a premium subscription costing £10 per month in the UK. That’s quite high when competing against “free”, such as ad-supported offerings (including Spotify’s own, which prohibits mobile access) or illegal file downloads and the like.

However, by burying the premium subscription within a user’s monthly mobile tariff the service begins to enter the needed “feels like free” territory that self-proclaimed media futurist Gerd Leonhard has been talking about for years.

For £35 a month over 24 months, alongside an upfront fee of £99 for the handset (the very nice Android-driven HTC Hero – see my review) here’s what 3 are offering:

Unlimited Spotify Premium for 24 months (worth £240 at the non-bundled price of £10 per-month)
750 minutes to other mobiles
Unlimited texts
Unlimited 3 to 3 calls
Unlimited email, internet browsing and Facebook
Free Skype to Skype calls

Aside from paying an upfront cost for the HTC Hero, I think that’s a pretty good deal. My only real reservation is that I don’t like the move towards 24 month contracts, not because I particularly like to switch carriers but, being the early adopter I am, I like to upgrade my handset as soon as possible. On the other hand, for many users, a 24 month contract maybe a little easier to swallow while the music keeps playing. 3 have also hinted that the Hero is only the first handset to be offered with a bundled subscription to Spotify, and with a Symbian/S60 mobile app for the service just around the corner, I expect a range of Nokia phones on 3 to soon to be included.

As for the whole ‘feels like free’ mobile music space, 3 and Spotify’s offering will inevitably be compared to Nokia’s Comes With Music, which hasn’t exactly set the world on fire. However, CWM doesn’t offer a free version to hook users in and utilizes DRM in a much less user-friendly way. While Spotify does employs DRM, because it’s cloud-based (either streamed or cached rather than traditional downloads), the service can much more easily be used across multiple devices, Windows PC/Mac and on supported handsets.

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7digital launches in the US, BlackBerry music download store provides the splash

Steve O'Hear — Tue, 06 Oct 2009 13:00:23 +0000

Like many British acts, UK-based music download service 7digital is hoping to conquer America. Today the company announced that its 6 million plus strong MP3 music store has opened its doors in the US, with tracked offered from Universal Music Group, Warner, EMI, Sony and an array independent labels.

To coincide and spearhead 7digital’s US launch, the company has also released the BlackBerry MP3 Music Store application for RIM’s latest range of smartphones (BlackBerry Bold, BlackBerry Curve 8900, BlackBerry Tour, BlackBerry Curve 8520 and BlackBerry Storm).

Tracks can be downloaded over over a cellular connection (GPRS, EDGE or 3G) in the lower 64kbs bit-rate MP3 format, for faster download and “instant” listening, and then when/if a Wi-Fi connection becomes available, the app automatically upgrades each track to a higher-quality 320kbps MP3.

The BlackBerry app is also able to access a 7digital user’s “digital locker” so that any previously purchased tracks can be re-downloaded when needed.

7digital has long been a proponent of DRM-free music, with CEO Ben Drury campaigning for and rightfully predicting the demise of copy protection in the download-to-own digital music space, while the US launch provides consumers across the pond with yet another DRM-free music option, with Apple’s iTunes, Amazon MP3, Napster, Best Buy, and others already operating in a very crowded market.

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Spotify hits the iPhone and Android app stores

Steve O'Hear — Mon, 07 Sep 2009 11:57:32 +0000

The stars were already aligned: a preemptive PR strike, a premium business model, and regulators questioning anti-competitive practices with relation to the iPhone’s app store — making it less and less surprising that Apple should give Spotify the green light.

As of today, the iPhone version of the music streaming service is available for download from Apple’s official App Store — UK, Sweden, Spain, France, Norway and Finland only (with the U.S. debut planned for sometime next year) — while a mobile client for the Google-led Android has also launched. The app is free for either platform but you’ll need to be a Spotify premium subscriber — £10 per month in the UK — to access the service.

The key feature that sets Spotify apart from other music streaming services is the ability to play any track or album on-demand rather than at random within a particular genre or ‘artists similar to’. While the mobile version also one-ups its competitors by offering an off-line mode that caches play lists for when your phone is out of coverage or wireless is switched off. This means users can access the service while on the subway or a plane, for example, or utilize the feature to conserve battery life.

As I predicted, however, the iPhone version of Spotify has one major floor. Music can not be played in the background if a user switches applications. Not the fault of Spotify but a limitation imposed by Apple with relation to multitasking on the iPhone. Unsurprisingly, the Android version doesn’t suffer the same fate.

The is the first phase of Spotify’s ambitious mobile plans, with a version for Symbiam S60 (Nokia etc.) next, and a rumored tie-in with Hutchison Whampoa-owned carrier 3 and INQ Mobile, makers of the so-called Facebook and Twitter phones. The Really Mobile Project recently reported that Hutchison Whampoa “head honcho” Li Ka-shing has invested in Spotify and that INQ CEO Frank Meehan now sits on Spotify’s board.

Video demos of Spotify on iPhone and Andriod after the jump…

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Nokia’s all-you-can eat music service now “comes with” its own flagship touch screen phone – Nokia X6

Steve O'Hear — Wed, 02 Sep 2009 19:02:57 +0000

Although I’d put poor marketing, carrier resistance, and possibly DRM, ahead of the lack of a flagship device to explain why Comes With Music, Nokia’s all-you-can-eat music service, hasn’t been the hit the handset maker had hoped for, the company’s newly announced X6 music phone is encouraging.

The device, unveiled at Nokia World today, is to be a Comes With Music exclusive offering, and sports a 3.2-inch touch screen display (16:9 ratio at 360 x 640 pixels), 32 GB of built-in storage, a 5 megapixel camera with Carl Zeiss optics and dual LED flash, A-GPS and WiFi, amongst its impressive stats. And in a first for Nokia, that touch screen is capacitive (not resistive), meaning that its should be a lot more responsive to the touch of a finger. Regular readers will know I’m not a fan of old skool stylus optimized resistive screens.

A quick recap of how Comes With Music works: you purchase a qualifying Nokia handset and then get access to the entire library of the Nokia Music Store for 12 – 18 months and get to keep any downloaded tracks once the subscription ends. For that privilege, the Nokia X6 has an estimated retail price of EUR 450, although the handset maker is stressing that ‘in many, many markets’, thanks to carrier subsidy, the device should be closer to “free”.

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Spotify on iPhone approved by Apple

Steve O'Hear — Thu, 27 Aug 2009 20:59:59 +0000

With Apple stuck between the FCC, Eurpean Union regulators and a hard place, I’m not that surprised to see the approval of music streaming service Spotify’s iPhone app. Apple today confirmed to paidContent that Spotify (currently Europe-only) has been given the green light and will be available in the App Store “very soon”.

While many had speculated that the app might be rejected by Cupertino on the grounds of ‘duplicating’ (read: competing with) the iPhone’s built in functionality — iTunes — I was confident that, especially in the current climate, Spotify would be approved.

I predict that Apple will in the end give Spotify the green light based on several factors. Avoiding monopoly accusations being one. Spotify’s pricing model being another (the iPhone app will only be available to premium subscribers so it’s far from a free-for-all). And then there’s Apple’s kludgy multitasking solution. The latter of which means that Spotify on iPhone will be unable to run in the background. Switch to a different app and the music stops.

One thing we don’t yet know, however, is if Apple has in anyway restricted any of the features of the Spotify iPhone app, in particular the ability to cache playlists for off-line playback. This feature alone means that Spotify competes more heavily with iTunes than other streaming music apps that already exist for the iPhone.

Overall though it looks like great news for Spotify and bodes well for the future of Rhapsody’s iPhone app, which is currently pending Apple’s approval.

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Real’s Rhapsody enters App Store submission hell, could bode well for Spotify?

Steve O'Hear — Mon, 24 Aug 2009 11:58:27 +0000

Adopting a similar PR strategy to Spotify, U.S.-only music subscription service Rhapsody ($14.99-a-month) has published details of its iPhone app, mid submission process to Apple’s App Store. While submitting an app alone far from guarantees that it will ever see the light of day through Cupertino’s official channel, by showing off the app now, including a video demo (below), it does ensure that any dirty linen on Apple’s part is aired in public. It also helps to build consumer demand from existing Rhapsody subscribers who also own an iPhone in preparation for a backlash should the app be rejected.

And rejection is certainly a possibility.

While other music streaming services have been green lighted by Apple, like European-based Spotify, it’s the on-demand nature of the service that potentially competes too heavily with the iPhone maker’s own iTunes. Unlike traditional Internet radio-type offerings, subscribers can pick a specific song or album from a catalog of eight million tracks for near-instant playback.

In other words, it’s like having the largest iTunes library in the world or kinda.

That is, it would be, if Rhapsody’s iPhone app enabled you to cache playlists for offline playback when you’re outside 3G or WiFi coverage, a feature that Spotify offers, even if like Rhapsody, the app has also yet to be approved by Apple. Rhapsody says it plans to offer caching in a version 2.0 of its iPhone app, presumably taking a one step at a time with regards to App Store submission hell.

Should Rhapsody’s iPhone app be rejected, it could actually help Spotify’s case, especially in the context of the current FCC investigation into the whole App Store submission process. Spotify is a relatively new startup, albeit one backed by the major record labels, and is currently a Europe-only offering, while Real’s Rhapsody has been around for a lot longer and is an American company. Real also hasn’t been shy of upsetting Apple’s legal team in the past either.

Rhapsody on iPhone from Jamie on Vimeo.

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VidZone, Sony PS3’s on-demand music video service, is a hit with… record labels

Steve O'Hear — Mon, 17 Aug 2009 12:30:58 +0000

I was so underwhelmed with VidZone, the PlayStation 3’s on-demand music video service, that I couldn’t bring myself to review it. The UI is clunky and videos stream in a 4:3 aspect ratio, even for recent releases, so that they don’t fill up the whole screen on my High Def telly.

However, it seems that I’m in the minority, if the company behind VidZone is to be believed. The service is a hit with the major record labels, meaning that it’s presumably resonating with consumers too, its co-founders tell GamesIndustry.biz.

After starting off by having to persuade the major labels to license their music videos to the service, VidZone says that the music industry is now knocking at their door.

“In terms of the music we’re receiving for the service we’re getting offered a number of world premiers of music videos ahead of MTV, MSN or Yahoo,” says Louisa Jackson, director of marketing for VidZone.

“We had to approach the major record labels to begin with but now it’s a case of labels coming back to us and saying ‘okay, how can you lead the music video strategy for the new music release of our artists?’. Which is really exciting because we’ve gone from watching a music video on TV to watching online, to a console where you’re watching both online and in a broadcast environment simultaneously.”

VidZone’s catalog has reached 13,000 music videos, according to the company, and that future upgrades planned include better search and proper support for wide screen TVs. On that note, perhaps I’ll give VidZone a second chance.

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Creative announces Android-based PMP platform, goes head to head with Apple’s iPod touch

Steve O'Hear — Tue, 28 Jul 2009 17:36:49 +0000

This is pretty interesting on the surface but misses a trick.

Creative, who has its roots in MP3 players and other portable media devices, have announced an Android-based media player platform. I say platform because the company may never release a consumer-facing device itself, but instead is touting its own reference design, software development kit and media processor to OEMs and developers.

Hardware-wise, the device known as the Zii EGG (to be re-branded by those that bring it to market), has impressive media-centric specs that include:

High Definition 1080p Output
3.5” 320×480 (16 million colors) LCD
Capacitive 10-Point Multi-Gesture Touchscreen Display
SD card slot
3D Hardware Graphics Acceleration for OpenGL ES
32GB Internal Memory
256MB Mobile DDR RAM
X-Fi Audio Processing
Wi-Fi 802.11 b/g
GPS Receiver
Bluetooth 2.1 + EDR
3-axis Accelerometer
HD and VGA Dual Cameras

In all areas the Zii EGG matches or beats Apple’s iPod touch, the product it’s clearly designed to compete with. What’s interesting is that Creative have decided to do this with the help of OEMs rather than going it alone. The wounds inflicted on Creative during the MP3 player wars must still be sore. High-def output is a key selling point of the Zii EGG and iPod touch beater (for now) as is expandable storage, GPS and front and rear facing cameras (a feature thought to be in the next-gen iPod touch too).

Where Creative is missing a trick, aside from the decision to not go it alone, is that software will likely be the key differentiator on any Android-based PMP or Internet tablet or whatever. And so again it seems odd to leave this part of the user experience to third-parties (based on the video below). It’s almost as if Google is providing the generic OS/UI and Creative the generic hardware design (albeit one that is impressive).

Perhaps that’s the best way to look at it: Creative taking the heavy lifting out of building hardware, just as Google has done with building the OS. Either way, as a strategy on Creative’s part, it leaves me scratching my head.

(via CNet)

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Spotify launches preemptive PR strike following iPhone App Store submission

Steve O'Hear — Mon, 27 Jul 2009 16:06:51 +0000

Spotify has submitted its iPhone app to Apple’s App Store and the company wants everybody to know it. An official blog post has gone up, demos of the app to select press have been given, and a YouTube video (see below) is doing the rounds.

Now the wait begins, however: Will Apple approve the music streaming service for distribution on its platform, a service that, when you dig a little deeper, appears to compete more directly with the company’s own iTunes Music Store than similar offerings, such as Last.fm and Pandora, both of which have already been given the go-ahead by Cupertino.

The difference, and here’s the key, is that Spotify ditches the Internet ‘radio’ model in which users can’t select specific tracks but can only choose by genre or ’similar artists to’, and instead provides a full on-demand experience. A juke-box in the sky if you will, whereby any specific track or album can be selected for near-instant playback. In other words, the experience is much more akin to iTunes and a user’s own music library, only the catalog is much, much bigger.

This similarity is compelled by a specific feature of the mobile version of Spotify. The ability to cache playlists for off-line playback, thereby addressing the major shortcoming of any mobile streaming music service. By downloading a selection of music first, users can continue to access Spotify on their iPhones outside of WiFi or 3G coverage and at the same time conserve battery life. Again, much closer to the way iTunes works.

On this basis it’s conceivable, though far from definite, that Apple will ban Spotify because it offers functionality too similar to the iPhone’s built-in iTunes app. Another way of saying its competes too heavily.

In Spotify’s favor – and hence the round of PR today, I suspect – this would raise the eyebrows of the EU at least on anti-competitive grounds. However, it probably won’t come to that.

I predict that Apple will in the end give Spotify the green light based on several factors. Avoiding monopoly accusations being one. Spotify’s pricing model being another (the iPhone app will only be available to premium subscribers so it’s far from a free-for-all). And then there’s Apple’s kludgy multitasking solution. The latter of which means that Spotify on iPhone will be unable to run in the background. Switch to a different app and the music stops.

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How Spotify can beat Microsoft [music streaming]

Steve O'Hear — Mon, 20 Jul 2009 17:39:10 +0000

Spotify, which has become the talk of the town here in London, could launch in the US as early as September, reports the Observer newspaper. The music streaming service, which offers both ad-supported and subscription versions, is seen as not only a real iTunes contender but also compelling enough and the right side of “free” to wean users off of illegal file sharing networks.

I’m a big fan myself and am particularly excited about the up and coming Android, Symbian and iPhone mobile versions of the service.

Along with the incumbent iTunes — who offer a different model: ala carte downloads — Spotify will face much competition in the ad-supported and subscription streaming space. US-strongholds include services such as Pandora, iMeem, MySpace and Last.fm (ad-supported), along with Napster and Rhapsody (subscription).

One other competitor whom Spotify may or may not have had in mind when deciding to compete in the US is Microsoft (the underwhelming Zune aside). The Redmond giant is reportedly launching a similar service to European-based Spotify later this month.

As well as being an extremely well funded and resilient company, it’s thought that Microsoft’s service will leverage the company’s position in the living room by offering integration with XBox 360. We might also expect a tie in with Zune portable music players and/or Windows Mobile. Spotify on the other hand offers the slickest desktop client of all similar services (it’s incredibly iTunes-esque but without all the clutter) and, as already noted, its mobile plans are ambitious and progressing well. And this is where I think Spotify may have the edge.

Unlike Microsoft, it’s bound to be a lot more platform agnostic – any device, anywhere. That’s going to be the key to success for any ‘cloud’-based music offering.

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The Pirate Bay sold, plans to go legit. Users urged to become capitalists.

Steve O'Hear — Tue, 30 Jun 2009 14:05:14 +0000

When the Pirate Bay four were convicted of “assisting in making copyright content available” and sentenced to a one year prison term and a fine of $3.6 million, the site’s co-founder Peter Sunde played down the verdict, claiming that it was business as usual. The argument being that the site itself was never on trial, only the four individuals named in the law suit.

Today, however, we learn that, moving forward, it’s far from business as usual as The Pirate Bay has been acquired by Global Gaming Factory X (GGF), a publicly listed company in Sweden, for the grand sum of $7.8 million. Profit made from the sale will be used to fund a new political organization set up “to help with projects about freedom of speech, freedom of information and the openness of the nets”, according to a blog post published on The Pirate Bay.

The sale to a public listed company is bound to be game changing for Pirate Bay, and the site’s new owner has already revealed that it plans “to launch new business models that allow compensation to the content providers and copyright owners”. TorrentFreak also reports that the site will cease hosting torrent files itself and end operating a tracker so as to decentralize the BitTorrent “ecosystem” – reportedly nearly half of BitTorrent traffic comes via The PirateBay – and ensure that users are less reliant on the site’s servers staying up. (Update: Johan Sellström, CTO of Global Gaming Factory, has since denied that the PirateBay tracker will be closed.)

In other words, like other P2P filesharing sites before it – Napster being the most famous example – The Pirate Bay plans to go legit. The problem is that I can’t think of one example where this has worked out in practice. Build a brand around the downloading of free content – albeit of dubious legality – then change the end-user proposition dramatically in the hope of paying copyright holders and staving off law suits – and end-users tend to jump ship (no pun intended).

On that note, the site’s co-founders have defended their decision to sell saying that it was time “to invite more people into the project, in a way that is secure and safe for everybody. We need that, or the site will die.” And on the issue of users jumping ship:

“If the new owners will screw around with the site, nobody will keep using it. That’s the biggest insurance one can have that the site will be run in the way that we all want to. And – you can now not only share files but shares with people. Everybody can indeed be the owner of The Pirate Bay now. That’s awesome and will take the heat of us.”

In other words, the way to keep The Pirate Bay alive as we know it is for all of it’s copyright infringing users to become capitalists by purchasing shares in the company that will soon acquire the site. Then they can all get sued collectively instead.

Now that does sound like a plan.

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Pirate Bay offering file sharers their own encrypted private network

Steve O'Hear — Tue, 16 Jun 2009 14:30:54 +0000

Forget the UK government’s Digital Britain report (out today), which will propose a solution to the “file sharing problem”, or Virgin Media and UMG’s carrot-and-stick solution. Notorious BitTorrent tracker Pirate Bay thinks it has the answer: a new service that will offer file swappers their own encrypted virtual private network that will keep any “ilegal” activities away from the prying eyes of the content industry and their trigger happy legal teams.

Dubbed IPREDator after Sweden’s copyright law IPRED (Intellectual Property Rights Enforcement Directive), the VPN service is currently in limited beta with 3,000 testers and another 180,000 on the waiting list. The service costs 5 euros per-month.

(via The Register)

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