Spotify’s languor here feels like the closing of the door on the argument that improved audio could be the main justification for raising subscription rates. Given that the pricing of standard subscriptions have not moved from $9.99 a month for 20 years, there is fear among competing services where no one wants to be the one to increase prices as rivals will use this to poach subscribers in a pricing war. Perhaps this is behind the delay/postponement of Spotify HiFi as the company looks to see how – or even if – it could launch it as an upsell feature or if it will have to follow suit and just improve audio quality for paying users as yet another feature baked into their existing monthly subscription. Its specialness (and the ability to charge accordingly) was lost. It became just another element in a standard subscription. With two streaming giants (Apple and Amazon) not charging extra for improved audio, it now means that what was initially seen as an attractive upsell feature to get subscribers to pay around double what they do for a standard subscription has lost its potency. (Photo by Chesnot/Getty Images) Getty ImagesĪmazon immediately responded by revising its pricing for Amazon Music HD, downgrading it from a more expensive tier to having it rolled into all eligible Amazon Music Unlimited subscriptions without, as TechRadar put it, “an accompanying price hike”. The two platforms now have 28 and 26 million paying users, respectively, sources told the Wall Street Journal. The number of paying subscribers to the music streaming service of Apple Music has for the first time exceeded that of Spotify customers in the US. Music is displayed on the screen of a computer on Apin Paris, France. PARIS, FRANCE - APRIL 08: In this photo illustration, the logo of the music streaming platform Apple. The problems with the launch of Spotify HiFi may date back to June 2021 when Apple Music stole its thunder and launched Spatial Audio (with support for Dolby Atmos) and did so “at no additional cost” – meaning that it became just another feature for existing subscribers. So this was really a catch-up product for Spotify. Tidal and Deezer have had this for a number of years, as has Amazon. Spotify was far from the first to offer this boost in audio quality. The longer they procrastinate and prevaricate, the narrower the window of opportunity to launch becomes. It often serves to paper over a crisis of confidence the company is experiencing. Often the project is passed between different teams, reworked, watered down, reimagined, added to and subtracted from so much that it no longer shares very much of its DNA with that of the original proposal. It is effectively a form of limbo for ideas and products. Hollywood has a term for it – development hell. Well, 2021 ended and there was still no sign of HiFi. “Spotify HiFi will begin rolling out in select markets later this year, and we will have more details to share soon,” said Spotify.
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