Why Amazon’s Streaming Music Service Is A Bigger Deal Than You Might Think

Music Industry Blog

Amazon today entered the streaming music foray with the launch of its own bundled music service. Amazon Prime subscribers get free access to on demand streaming from a catalogue of 1 million tracks, the majority of which are older catalogue titles rather than frontline hits. Amazon’s move has received considerably less interest and hype than Apple’s acquisition of Beats but is in many respects every bit as important.

The future of digital content is going to be defined by the content and device strategies of three companies: Apple, Amazon and Google.  Each has a very different approach resulting in an equally diverse set of products and audiences (see figure).  Amazon and Apple have mirror opposite content strategies: Apple loss leads on content to sell devices whereas Amazon loss leads on devices to sell content.  (Google loss leads on both because its end goal is your data).  All three have a…

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