Amazon (NASDAQ: AMZN) has launched a music streaming service called Amazon Music Unlimited. With incredibly low monthly subscription fees, Amazon’s new music service will compete against industry leaders Spotify but also Apple Music and Pandora.
Following years of $9.99 subscriptions, Amazon could usher a change to more flexible pricing. Amazon already offers Amazon Prime Music for free to Amazon Prime members. Through paid membership, users get streaming video, music, e-books, and free shipping. According to Amazon Digital Music VP Steve Boom, Prime Music will now become the entry-level service and Unlimited will be the full service.
Amazon Prime members will now get a discount on Amazon Music Unlimited, too. Prime’s 30-day free trial gives them early access to deals, plus free two-day shipping. However, it remains to be seen if users will get a taste of the music service as well.
How does Amazon Music Unlimited compare to Spotify?
Amazon Prime Music includes about two million songs, while Amazon Music Unlimited will feature a catalog similar to that of Amazon Music. The latter launched in 2007 and currently has more than 29 million songs. However, the online music store gives a limited amount of tracks to Prime members.
If Unlimited manages to reach such figures, it would be on par with Spotify’s over 30 million songs, which have been around since October 2008. The big difference between the two services is that Amazon’s focuses on benefiting its core customers and for use on its devices.
Amazon expects their incredibly competitive prices will expand the market as well as boost the sales of its Alexa equipped products. Amazon’s artificial intelligent (AI) assistant powers the Amazon Echo, Echo Dot, and Echo Tap.
Why should people join Amazon Music Unlimited?
Almost everyone around the world uses Amazon for online shopping and with the market of AI assistants rapidly growing is just a matter of time before everybody owns one. At least that is Amazon’s approach.
Amazon Music Unlimited is very cheap indeed, but only for Amazon customers. Non-members will have to pay the standard $9.99 fee found in rivals Spotify, Apple Music, and Pandora. So the company is trying to lure people into the Amazon world.
Starting today, Unlimited is available to Amazon Echo, Dot, and Tap users for $3.99 per month. Amazon Prime members will get the service at $7.99 a month. The rest will have to cash out $9.99 per month.
Source: Reuters
