There Will Be No Free Music On YouTube In Future: Report
An insider of the music streaming industry foresees elimination of free music services in future.
Most of the ‘services’ out there in the corporate world are not merely to serve the masses. They have special motives to generate profit gains for service providers. Music industry isn’t any exception. Since most of the music companies have seen sharp profit plummets, they are making, altering, and revamping their strategies.
According to Bob Lefsetz, whom is indeed an authority to say something about the future of music streaming services, users may have to pay the price in order to get music from present time’s free to access repositories of music such as Spotify and YouTube.
The chief reason behind such an elimination of free streaming tiers will be unsatisfactory profits. As due to these free services, people rarely purchase albums. But labels earn more on the sales of albums as compared to streaming realities.
Lefsetz writes in his newsletter published on Sunday:
Here’s the skinny… Jimmy Iovine and the major labels are conspiring to get rid of free, not only the free tier on Spotify, but YouTube too. Apple writes a check to the labels on 40 million subscribers for years, whether they reach that number or not, and everybody pays for music.
Apple is negotiating with music labels as it wants them to quit free advertising-supported tier from all streaming services as it wants to create circumstances where users have to pay for music, Lefsetz reveals. If that happens, copyright infringement cases are likely to grow. But Lefsetz says that the services may reduce such a risk factor by terminating CD’s production as well.
How are you feeling?
Abubaker Zahoor writes on diverse topics with special interest in innovations, tech-ethics, and inter-and intra- organizational business relationships.