E-commerce, editor, cloud computing platform, video services like Netflix and now music streaming too. Amazon doesn’t seems to stop being a 360degrees online services provider, and decided to launch a digital music service, offering streaming music, competing with Spotify.
In the US market, Amazon offers Prime Music, an on-demand product that has a limited music catalogue, 1 million tracks against the 30 million if the Swedish competitor.
According to rumors, the service will be costing 10 euros per month, like the other competitors, and there will be 3-4 euros’ discount for whoever has Echo, the domestic assistant that answers to vocal commands, like Siri for Apple. For now, these are, as mentioned, just rumors, nothing official came from Amazon that probably is signing contracts with music labels. What is certain, is that this is an opportunity that Amazon can’t and won’t miss, in a market still dominated by few, like Spotify and Apple Music.
Amazon and its services ecosystem
According to the IFPI (International Federation of the Phonographic Industry), online sales of digital music in 2015 were higher than cd’s and paid downloads, increasing its incomings by 45,2%. 2.9 billion dollars, destined to be more very soon. If we also think that Spotify alone has 30 million users, it is easy to understand why Amazon wants to be part of this world so bad… it’s a business that could guarantee them billions of dollars, completing their “services ecosystem”.
The Amazon challenge is the Internet of things
But probably, the most important reason for this new business is called Echo. The challenge that Amazon is facing is transforming it from a simple vocal assistant to a Hub for the house and domotics (a trend that will soon occupy a big portion of the global market).
On Echo is possible to purchase with Amazon Prime, using the Amazon Prime video service… So why using a third-party service (like Pandora, Spotify etc…) for our musical needs?
Why not having a multimedia universe captained by Amazon? A closed digital system, according to the philosophy that brought so much luck to Apple. A simple music service but a step forward towards a radical change in the Amazon philosophy, more and more pending towards the Internet of Things.
This is the point. Now a day a market’s leader can’t stop, there’s the need to have more than just 1 service, a Hub of services covering all the aspects of the daily life, with a user that is everyday smarter and exigent. And Amazon keeps going towards this direction…
"C’è una sola cosa orribile al mondo, un solo peccato imperdonabile: la noia". Oscar Wilde. Dalla redazione di Dotmug non ci annoiamo di certo. Sempre alla ricerca di notizie, condiviamo, twittiamo, instagrammiamo in costante connessione con il mondo digital.