Tuesday, November 17, 2015

Zennström’s music service out of business – bought by competitor – New Technology

       

2010 started Skype founders Niklas Zennstrom and Janus Friis Rdio as a service for streaming music online. The service has been in 85 countries around the world but has had problems with profitability. Yesterday called Rdio bankruptcy protection under US law. At the same time announced the music service Pandora that the company buys Rdios technology and takes over a number of music service workers.

For Pandora which today provides music radio format on the net is the purchase of the much smaller Rdio a way to get access to technology to give users the opportunity to listen to specific tracks in the same way as if the such as Spotify. Pandora is big in the US market feeling the competition from Apple’s new music service Spotify and from which, according to Cnet approaching Pandora in terms of number of users.

Pandora CEO Brian McAndrews says to Cnet that listeners want both ad-supported Internet radio and the ability to pay to be able to listen to specific songs and he wants to offer both.

Pandora expects to have a service with both the radio and the ability to choose the music ready next year . The company has just recently also Spotify even begun to look at other revenue streams like selling tickets to concerts. Pandora has also signed new agreements with the music industry that give the company greater choice when it comes to using music.

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