Spotify Launching Video Streaming Service?

Spotify is rumoured to be launching an on-demand video service, to complement its music streaming platform.

The rumour is hardly a new one – speculation on a Spotify video service has been circling since 2011. However, the key factor here is that – according to Business Insider, which cited “two sources briefed on the companys plans” – Spotify is looking for partners to help it fund and create exclusive video content for this service.

This would put it in direct competition with Netflix, which launched its first original series earlier this year with House of Cards, and could potentially help it better monetise its large userbase, as the margins of its music service are currently very narrow.

Possibly lending credence to this rumour is the fact that Spotify is making a big marketing push, with its first major US advertising campaign about to launch. As well as TV spots, and web and social media ads, given the size of its app userbase, wed also be hoping to see some mobile ads.