Spotify Talk Stupefies

#1 source of label revenue in Sweden & Norway

Contrasting speculation continues around Spotify and when the start up will launch in the U.S. as well as whether or not the income it could create would even mean anything significant for artists or labels. Recent reports have anonymous label executives calling the revenue they create “Microscopic,” “Laughable,” And “Pathetic”, while others proclaim the service is now the “second largest source of revenue in Europe for labels”. For what that’s worth. And questions continue to be raised over how the service pays artists, particularly indie acts… Only an actual launch in the U.S. would tell the full story. Where do things sit with such a launch? Sony Music has signed on, and EMI is supposedly “close” – but they have been for weeks, and there’s larger entanglements there with the state of limbo the label is in under the temporary ownership of Citigroup. Warner Music Group CEO Edgar Bronfman Jr. has changed his tune slightly, stating on yesterday’s WMG earnings call “We do see Spotify, and services like Spotify, as ever-more meaningful for our results.” Meanwhile Universal Music Group remains the big prize for the start up getting off the ground in the states. If a letter sent to the current few U.S. users of the service and a job opening in an unnamed U.S. location, are any indication, Spotify will soon be landing here. Or maybe not.  As aptly put by @evolverfm “Spotify in the U.S. is the new Beatles on iTunes.”