Snowcrashing

Weekly Digest on the Music Industry -April 5, 2009

Posted on 05. Apr, 2009 by Antonella Stellacci.

BREAKING NEWS (SORT OF..)

-Google launches a free ad-supported music service in China with the blessing of the labels. [WSJ]

TRENDS

-Why buy when you can listen free?

- The agreement between Spotify and 7Digital sparks a debate on the mixed streaming-store business model.  Glenn Peoples at Billboard views Lala as a possible winner because of its more focused user experience. [Billboard]

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Streaming Music Services: Is the death of the frog a case of contagious disease?

Posted on 29. Mar, 2009 by Antonella Stellacci.

Late at night on March 19th after less than 3 years in operations, Spiral Frog silently pulled the plug on its site.

Just like a rockstar, hyped and controversial during its life, the frog didn’t miss to spark a heated debate with its suicide.
That its death happens not long after the demise of Ruckus-the streaming service built for college student and acquired by another now- zombie, Total Music- only contributes to the darker tone of the debate.

So what killed SpiralFrog? Was it an isolated case of bad capital structure, huge upfront fees, lack of usability, poor advertising revenues? Could another startup take over its mission?

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