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Is Music Streaming Over?
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09.05.2015
This is not a good sign for companies that make money by sellng streaming video services. It turns out it's pretty hard to make a profit on music streaming for $10 a month. Money is streaming out the door of Spotify. The streaming music startup lost $197 million in 2014, a drastic increase over the year before. Spotify is bringing in a lot of money — $1.3 billion in revenue last year — but it's just not turning a profit. In fact, its losses are getting worse, almost tripling from 2013 when the company lost $68 million. Competitors have also popped up, like Jay-Z's Tidal and Apple's launch of Beats, complicating Spotify's competitive position.
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