A few days ago, Spotify announced that it will announce some news on April 24th. So far, there has not been much information on this subject but it is speculated that it will be a hardware device for handling music in the car.
Spotify certainly has problems generating profit. The company’s revenues grow from year to year, but more and more money is given to artists. From the beginning, the company did not make any profit, but it recently announced a several billion profit in 2021. Spotify understood that they do not earn money on streaming music, which is why the company decided to release the device, which will be available for an additional fee.
Spotify’s in-car music device
According to The Verge, several existing customers of Spotify got an offer to purchase the device together with the above-mentioned device. The price ranged from $ 12.99 to $ 14.99 per month in subscription model. Customers were informed that the device would have built-in data transmission and could operate independently of the smartphone. There is also information that voice control will be available and the device will have support for Alexa’s assistant from Amazon. As part of the subscription, the user would receive a small, round device with buttons to control the device and the LED screen in the center.
It’s difficult to say whether this is a good decision and whether this device is actually needed. More and more cars are equipped with a radio with a Bluetooth module and the connection of a smartphone to the car radio takes a few seconds. For now, however, this is pure speculation, but the first pictures of the device have already appeared, which could indicate that the work on the device is already far advanced.
Although Netflix has been heard of as streaming video portal a few years ago, the company has been existing for over 20 years, the origins are dated at 1997. At the beginning it was a traditional cassette tape rental, and later on a DVD rental with a mailing option, which was quite new at that time. You could order your favorite movies online, and Netflix sent them to you by traditional mail. After watching the movies, clients sent back the DVDs by post , and Netflix charged for it several bucks. 2007 was a breakthrough for the company. First of all, the company boasted that it has already delivered more than one billion CDs by mail order, and in the same year they introduced the first content in the form of video streaming.
Netflix has been breaking records for several years, such as, for example, the stock market valuation, the amount of investment in new content or the number of subscribers. It is estimated that Netflix subscribers amount to 120 million people around the world. Taking into account that most accounts are used by several people, the number of Netflix recipients is slowly approaching half a billion. The company is already valued at over $ 120 billion and is year by year an increasingly serious threat to traditional cable networks. These are aware of the competition in the form of a large monopoly of on-demand content provider and they themselves introduce similar solutions to the offer. It seems to me that the days of traditional cable TV are already counted and their agony will not be long.
At the beginning of 2018, Netflix announced that this year it intends to invest about $ 8 billion in new content in just one year! In 2017, Netflix spent $ 6 billion on this purpose. These are very large numbers, and this means that every year its portfolio will be richer. A smart strategy for the series’ premieres causes that every month there are some new good shows introduced and it is difficult to resign from subscription.
Analysts predict that Netflix will at least double its value in the next 10 years. Interestingly, it is generating financial losses all the time, but the company is backed by investors who donated billions of dollars in several financing rounds. Analysts say Netflix will have a $ 3 billion loss this year, but in 2021 it will be $ 4 billion profit. So far, Netflix does not offer its services in China, and it is a market with huge potential that will certainly be exploited in the future.
Twitch interactive, Media platform that allows users to make peer to peer streaming to others about gaming content related shows.
Twitch interactive was launched by Justin Kan and Emmett Shear, who are also founded Justin.TV in 2007. The technological changes on the internet allowed people to use this peer to peer streaming 2007 thanks to Justin.TV. At the beginning, the platform was used to stream illegal football games etc. As always. people used the new technology to their personal needs.
Back in 2007, while twitter just launched. News media and TV channels did not really focus on the Internet media. Television was enough for them to reach the audience. Watching TV on the internet was not popular as well. Justin.TV became a popular website with a great potential to grow more and more. The most popular category of all entire platform was the Gaming category. That is why, Gaming category was separated from the platform and Justin.TV launched Twitch.TV in 2011. Above 35 million Uniqe visitors were attracted after the launch.
Let’s stop a moment and start thinking about the Internet, what makes the internet attractive. The answer is easily found in the question. Sources and Users… Anyone can launch a platform, anyone can create “whatever they want to”. That makes the internet attractive in my opinion.
That is why, Justin.TV and after Twitch.TV became attractive and popular for people.
Back in 2011, there was none platform that focused on Gaming as a live streaming. Only youtube had a lot of channels that were focused on Gaming Category. It is still remaining as one of the most popular category on Youtube in 2017. But Youtube used not to be a live platform. Only a platform that a person can upload a video and others can watch it later. No interaction on live! Twitch.tv became so popular because visitors and viewers can interact with the streamer during watching the stream.
Jumping into year 2014 and talk about Amazon. This is the most interesting part of this blog viewers. Why amazon was interested in such platform except it had 1.5 million streamer and 100 million unique visitors. There is another answer, on Amazon we are able to find almost anything that related with the technology (computer components, games etc.). Amazon wanted to gain the advantage of those 100 million people’s interest on the Internet. In august 2014, Twitch.TV was sold to Amazon for US$970 million. In 2016 3. quoter, Twitch.TV had 500 million unique visitors.
Amazon did not buy only a website that allows them to make advertise of their main website and products that they do sell. Amazon also bought a incredible stable technology that allowed amazon to create live movie watching platform in Amazon.
Dear reader, think about a second and come with an idea such as Amazon or Twitch.TV… The main point is Internet. Internet did create brilliant things that we did not think that there was a need for those platforms and websites.
This blog was written by Ali Murat AY
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(Twitch, 2013) “Twitch 2013 Retrospective”, Twitch Interactive, Inc. pp 24-27, 2013. Accessin in May 8, 2016 – https://www.twitch.tv/year/2013