Spotify to launch in India soon, according to CEO Daniel Ek

Amazon Prime service subscribers can get the music service for $7.99 a month.

The company's CEO Daniel Ek said on Friday that the company is looking to add subscribers in India and other foreign markets, The Economic Times reported.

Spotify launched its music streaming service in South Africa, marking its entry into the continent, where smartphones are gaining momentum and telecom infrastructure is improving.

Specific details about its Indian operations, however, were not disclosed as Daniel didn't reveal any specific timeline for the India launch, the company reportedly leased an office space in Mumbai previous year. Previous reports have already told us that Spotify has leased office space in Mumbai. This was disclosed in their public offering filing, which further concretes that the launch in India is quite near. Earlier in 2016, the music streaming company had hired former Google executive Akshat Harbola as its Head of Market Operations, India.

Late a year ago, Spotify hired former Google Business Manager Akshat Harbola to head its India operations, and while the streaming service stated that it had 308 employees scattered over 20 markets, it didn't divulge a headcount for India. The service has 159 million users, with 71 Million of them being paid users. But it lost $461 million a year ago.

Launched in 2008, Spotify now boasts a paid subscriber base of 71 Mn, spread across most of Europe, North and South Americas, Australia, New Zealand and parts of Asia.

With a date in place to go public, what's in store for the future of Spotify?

Once Spotify does come into the Indian market, it will have to compete against these established players to capture market share.

Spotify's success underscores the cultural shift in how we play and pay for music.

Spotify research chief Gustav Soderstrom said the company is investing heavily to work with automakers to integrate Spotify into auto audio systems, where listeners consume almost a third of their music.

"Spotify has filed a Form F-1 with the SEC that provides full financial disclosure, just like we would've done with a traditional IPO", the company said.

The service allows music-lovers in Kenya the ability to stream their favorite music from local and worldwide artists, while providing a platform through which artists will be able to sell their music and make it available to consumers on a large scale.

With the pitch now delivered in written and spoken form, all eyes will be on SPOT on the New York Stock Exchange next month to see whether investors have bought the narrative that this streaming music business is indeed the one that can reach the kind of scale required to realise some profitability in the long-term.

  • Latoya Cobb