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Virgin Media Reportedly In Talks With Spotify

Virgin Media is said to be close to agreeing a deal with Spotify to set up a subscription-based music service for its customers.

The move comes after “tough” negotiations with three of the four major record labels fell through, forcing Virgin Media to put its plans on the “backburner”, the Telegraph reports.

Virgin Media had already secured Universal Music for the service 16 months ago - and built the back-end infrastructure for it. But in failing to sign up EMI, Sony Music and Warner Music, a music executive speaking to the newspaper has suggested that its plans could be held up for a further 12 to 18 months. Although a deal with Spotify would allow Virgin Media to fix this almost instantly.

A source close to Spotify told the newspaper: “Spotify and Virgin Media are close to concluding a partnership deal. The finer details are not yet known, but Spotify will be offering new tools and content exclusively to Virgin customers as part of the arrangement."

Virgin Media has declined to comment on the issue, but a Spotify spokesperson has admitted that it is in talks with “a range of internet service providers” but denied that any deals have yet been agreed.