Last article I read from late 2014 that I could find shows that spotify still doesn't make any money, but they now value them at $8,000,000,000.....keep in mind this is just another market that is filled with very, very strong competition..... competition is only growing with more music apps coming out every few months...pandora which doesn't make money either is valued around $3 billion and trades publicly....
I did notice though they pay artists $0.006 to $0.0084 per play...which could add up to hundreds of thousands of dollars for the musician every year....if those numbers start to increase these companies will only struggle harder and harder to make money as the artists are the only ones that are going to make bank off this technology of streaming...
http://time.com/3590670/spotify-calculator/
Spotify raises $350M at $8B valuation: Sources
Jacob Pramuk | @jacobpramuk
29 Mins AgoCNBC.com
79
Goldman Sachs' institutional clients took part in the fundraising, sources added.
Getty Images
Spotify declined to comment on the funding.
Spotify has more than 60 million active users, including about 15 million paid subscribers, according to the company.
But it has faced increased competition in the streaming space. Rapper Jay Z recently launched Tidal, a streaming service in which musicians hold majority ownership.
Read MoreJay Z unleashes 'Tidal' wave of tweets, blasts 'smear campaign'
Apple is widely expected to jump into the streaming space after its acquisition of Beats Music last year.
— Reporting by CNBC's Kayla Tausche
I did notice though they pay artists $0.006 to $0.0084 per play...which could add up to hundreds of thousands of dollars for the musician every year....if those numbers start to increase these companies will only struggle harder and harder to make money as the artists are the only ones that are going to make bank off this technology of streaming...
http://time.com/3590670/spotify-calculator/
Spotify raises $350M at $8B valuation: Sources
Jacob Pramuk | @jacobpramuk
29 Mins AgoCNBC.com
79
Goldman Sachs' institutional clients took part in the fundraising, sources added.
Getty Images
Spotify declined to comment on the funding.
Spotify has more than 60 million active users, including about 15 million paid subscribers, according to the company.
But it has faced increased competition in the streaming space. Rapper Jay Z recently launched Tidal, a streaming service in which musicians hold majority ownership.
Read MoreJay Z unleashes 'Tidal' wave of tweets, blasts 'smear campaign'
Apple is widely expected to jump into the streaming space after its acquisition of Beats Music last year.
— Reporting by CNBC's Kayla Tausche
