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Did Spotify reignite Rhapsody in the music streaming business
Monday, 26 December 2011
A lot has been written and said about Spotify in the Swedish media how it will take over the world in the business music streaming business. It is not clear whether because of this much hype in the Swedish media that has ignited competitors such as Rhapsody to up its own game.

Now it has emerged that the U.S. digital music service, Rhapsody is now ready is to up its game against Swedish British based Spotify. After Spotify ventured in the USA recently, that was a wake up call for Rhapsody which now announces that it has a million paying customers in the United States alone.

This places Rhapsody in the position of leadership in paid music sharing on the U.S. market, the company said.
Just like Spotify, customers can pay different amounts for music streaming depending on how advanced their service demand is. Spotify also offers a free subscription - with limited listening time per month and with regular advertising between songs - there are no free alternatives for Rhapsody, apart from a trial subscription for two weeks. Therefore, Rhapsody is a typical money making music streaming.

Rhapsody has been around for ten years and has had around 800,000 customers for years, but in 2011 growth rate increased. Among other things, they got a lot of new customers when in 2011 they bought Napster and tied to an affordable package deal with a U.S. mobile operator.

With a million paying customers Rhapsody is the largest in the U.S., but globally it lags behind Swedish Spotify, which claims to have 2.5 million paying customers worldwide.

Rhapsody President Jon Irwin, is reported to have told the Associated Press that his company stands on a firmer ground than Spotify, which, according to Irwin, they certainly dragged some ad revenue during their launch in the U.S., but had to pay large sums in royalties.
By Scancomark.se Team

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