Amazon will launch a free music service, but there’s a catch

16 April, 2019, 13:25 | Author: Cecil Buchanan
  • Amazon tipped to launch a free, ad-supported music service to take on Spotify

The streaming music landscape is about to get a little more fractured, with yet another deep-pocketed tech giant set to enter the field. Current Amazon music streaming offerings start at $3.99 per month for a single device plan, while the unlimited options start at $7.99 for Prime members and $9.99 for the Music Unlimited service.

According to an exclusive report from Billboard, Amazon is due to launch a new free tier to its current music streaming service.

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Shares of the streaming-music service Spotify fell almost 4% early Monday after it was reported that Amazon was looking to launch a free music service that could arrive as early as next week. Furthermore, the free service's availability would initially be limited to Echo Speakers and its launch could be as early as next week. The streaming company reports a paid subscriber base of 96 million, with another 116 million using the free option, per its most recent quarterly earnings report. Amazon has said "tens of millions" of paid customers listen to Prime Music and its standalone Amazon Music Unlimited service.

The alleged free music service would be made available through the Amazon Echo smart speakers, the leak claims. Both Spotify and Pandora give users access to free content, though the latter comes in the form of "radio" that greatly limits the experience.

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