Spotify Begins Allowing Labels to Pay for Songs to Be Featured on Popular Playlists
Spotify is giving a new investment opportunity to record labels, which could change the way rising artists are received by the music community. According to reports, the Swedish streaming service is beginning a trial to allow labels to pay for songs by their artists to be featured on some of Spotify's popular playlists.
While some of the online community has shown skepticism about how it will affect their listening experience, the company has set up the new option to affect free users only, and not their 50 million paying subscribers. The songs paid for will be included in playlists based on a user's listening habits whose taste match the artist's material.
"We are always testing new promotional tools that deliver the highest relevancy to our users," Spotify wrote in a statement to BBC News.
If you are a free user of Spotify and would like to opt out of this affect your current playlists, you can always turn off the trial through the app's settings.
This could be a great opportunity for labels to expose their rising artists to bigger audiences, but we'll have to see how users respond to the new trial in the coming weeks as it unfolds.
According to rumors, the company is seeking to hit the stock market in the near future, although they need to rake in more capital that can pay royalties and still turn over a profit based on their previous earnings.
Find out more information on the new trial between Spotify and record labels here.
Here Are 19 Rappers Going Platinum in 2017