Spotify To Kill Pandora & Nokia's Comes With Music?

Spotify's plan to dominate the music industry worldwide appear to be picking up speed with the launch of applications for three different mobile platforms - iPhone, Android and S60 - planned or already executed.

Two of the biggest losers in Spotify's drive for success are likely to be online radio company Pandora and Nokia's Comes With Music scheme; both of which are attempting to challenge Apple's established iTunes.

Yesterday, Spotify announced the impending release of a S60 version of its application which would be rolled out on nearly all current Nokia smartphones, a potential market of tens of millions of handsets.

Nokia has been timid at best in its Comes With Music venture; in the UK, the number of XpressMusic phones is rising gradually but very few of them comes with Comes With Music which provides the user with unlimited music for as long as the user has a Nokia phone.

Now Spotify challenges CMW by proposing a more flexible approach to the ownership of music; firstly, you're not tied to one mobile brand only, then there's the fact that Spotify will soon be available on dozens of other handsets rather than a handful.

Users will also be able to access their Spotify accounts from any computers whenever they are, something that Nokia's Comes With Music doesn't allow you to do. The fact that Spotify now offers an offline mode puts it on par with Comes With Music.

As for Pandora, well, the online music website does offer a significantly lower paid for subscription service - $36 per year with unlimited listening hours, no ads and better quality streams. But it is only available in the US for now having been pulled out from the UK.

Pandora is much more restricted than Spotify because of the licensing restrictions imposed on it by record labels; the long list of which can be found on Wikipedia.

The service, launched by the Music Genome Project, is likely to suffer by the launch of Spotify later this year in the US and Canada. Spotify's current success can also be attributed to the fact that around a fifth of the company is owned by the biggest music label companies themselves.

Our Comments

Nokia needs to act fast before Spotify makes Comes With Music obsolete completely. The price of getting CMW for each Nokia Comes With Phone is roughly around £90. As For Pandora, it might be getting $40 million worth in revenue and 30 million registered users, but its running costs are way too high and it is at the mercy of the record labels.

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