
Spotify files for $1B IPO – The Verge - rbanffy
https://www.theverge.com/2018/2/28/16846064/spotify-ipo-public-offering-announced-music-streaming
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raiyu
Latest available numbers, $4.99 billion in revenue for 2017, but with a loss
of $1.5 billion for the year. As expected the highest cost is paying music
publishers. So while the revenue and user growth is tremendous, it's hard to
see how they will turn a profit anytime soon because of how the deals are
structured.

Interesting to see the similarity but also the differences between Netflix and
Spotify. Technically very similar in business model and their reliance on
third parties, but Netflix has structured better deals and evolved beyond
that, and the question now is will Spotify get into publishing itself, taking
a page from Netflix?

