Spotify wants to get into web-video streaming to compete with YouTube

Spotify is one of biggest companies at the head of digital music streaming, alongside the likes of Slacker, Pandora, and others. But it looks like the company isn’t happy with just handling music streaming and is planning on jumping into competition with companies like YouTube and Facebook on the video content front, too. 

The company has reportedly been in talks with companies that handle content creation for sites like YouTube, and Spotify is trying to figure out the best way to get creators on board with their own service. After all, these services are only worth as much as their content, and a video streaming service with a few dozen videos probably won’t be attracting many views per month.

Spotify would probably employ a similar business model to their music streaming business, including an ad-supported free service and a paid, ad-free service. It’s worth mentioning that Spotify still struggles to turn a profit with its current business model, so pricing for a video service might be a little different to help the company try to pull in some cash. Granted, Spotify would be one of the first subscription-based video services like this, so that alters the dynamic of things a bit.

It’ll be interesting to see if Spotify’s video streaming plans see the light of day, and even more interesting to see if they work.

source: Wall Street Journal

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