Pandora to cap free mobile listening

Pandora Media to cap free mobile listening as costs surge

Feb 27 (Reuters) - U.S. online streaming music company Pandora Media Inc said it would cap free mobile listening at 40 hours per month as it tries to overcome rising royalty costs.

Pandora, which relies mainly on advertising for revenue, is struggling to grow amid fierce competition from the likes of Sirius XM Radio Inc .

Pandora's per-track royalty rates have increased more than 25 percent over the last 3 years, including 9 percent in 2013 alone and are set to increase an additional 16 percent over the next two years, co-founder Tim Westergren wrote in a blog posted on the company's website.
 

GURPS

INGSOC
PREMO Member
I used Pandora, heard about and tried Slacker, deleted that and went back to Pandora


:buddies:



Oh - They suck for capping free users
 

BOP

Well-Known Member
Tried Skye and a few others, wound up paying for Pandora. Been pretty satisfied overall. One of my complaints is that they stop playing after 5 hours, which means you can't tell it you're going to bed and that you'll get up at such-and-such a time so the music won't stop. And yes, I've suggested it to them, numerous times.

My other complaint is that while they do play a TON of music that is off the beaten track, for other stuff, they're no different than commercial radio. In other words, they play the same forking Led Zeppelin, Jimi Hendrix, and so on songs that you can hear on any so-called classic radio. For the love of GAWD, Pandora, I don't listen to you so I can hear Purple Haze, or one of the other standards by rock groups from the 70s and 80s! I can get that on 97.7 or 100.3. Bastids!
 
Tried Skye and a few others, wound up paying for Pandora. Been pretty satisfied overall. One of my complaints is that they stop playing after 5 hours, which means you can't tell it you're going to bed and that you'll get up at such-and-such a time so the music won't stop. And yes, I've suggested it to them, numerous times.

My other complaint is that while they do play a TON of music that is off the beaten track, for other stuff, they're no different than commercial radio. In other words, they play the same forking Led Zeppelin, Jimi Hendrix, and so on songs that you can hear on any so-called classic radio. For the love of GAWD, Pandora, I don't listen to you so I can hear Purple Haze, or one of the other standards by rock groups from the 70s and 80s! I can get that on 97.7 or 100.3. Bastids!

It doesn't surprise me that they stop streaming after 5 hours. They're paying a royalty for every song played whether you listen or not - currently .12 cents per song for non-subscribers and .22 cents per song for subscribers (that's for the sound recording rights, not the underlying music works rights). That doesn't sound like much, but it adds up. For someone listening 5 hours a day, it could be $50+ per year.

On the other hand, music playing for more time could mean more advertising sold - and advertising is where they generate most of their revenue. So that policy could be driven by advertisers' concerns (i.e. they don't want to be buying advertising that no one is hearing because the music is allowed to play non-stop when no one is around).
 
Pandora has announced that, as of September 1st, it will be getting rid of the 40-hour-per-month limit.

I suspect this move is, at least in part, due to the impending launch of iTunes Radio. Pandora has to be at least a little concerned about that. iTunes Radio isn't going to destroy Pandora's market share, but it will surely cost Pandora some market share.
 

slotpuppy

Ass-hole
Pandora has announced that, as of September 1st, it will be getting rid of the 40-hour-per-month limit.

I suspect this move is, at least in part, due to the impending launch of iTunes Radio. Pandora has to be at least a little concerned about that. iTunes Radio isn't going to destroy Pandora's market share, but it will surely cost Pandora some market share.

There are a lot out there now. Slacker, ITunes, SirusXM, and a few others. Pandora doesnt want to loose too many people.
 
There are a lot out there now. Slacker, ITunes, SirusXM, and a few others. Pandora doesnt want to loose too many people.

There are quite a few music source options, but things like iTunes and Sirius are quite different animals - they work very differently. Even Spotify works meaningfully differently than Pandora. I'm not familiar with Slacker.

As things are now, Pandora is doing pretty well in the customized streaming radio market. I think it will continue to matter, but the introduction of iTunes Radio (which is not the same as the radio feature that is currently available through iTunes) should be a significant concern for Pandora. It will only be available (at least for now, and likely in the future) on iOS devices, but in the markets Pandora is available in - the U.S. / Australia / New Zealand - iOS is a huge presence. The new iTunes service works much the same way as Pandora does, is cheaper (for ads free listening), and importantly is integrated into the music app on iOS devices. That last bit matters a lot, a user doesn't have to make any effort to try it out and use it. It's already there, no downloading an app or setting up an account. I don't know that a lot of people will give up their Pandora account and start using iTunes Radio (though I suspect a good number of people will), but iTunes Radio will affect Pandora's ability to attract new customers (from among iOS users).

I've been using the beta for iTunes Radio for a while now, and it works very well - it's good at figuring out what songs I'd like to listen to. I used Pandora briefly as well, it does a pretty good job also. But I prefer the interface of iTunes Radio, and as I indicated it's cheaper (and the ad free service includes iTunes Match functionality, which for many of us is worth the cost by itself). And iTunes Radio is available for free (ad supported) just as Pandora is.

So, again, I don't think Pandora is done for - not at all. But its growth going forward will no doubt be affected by the introduction of iTunes Radio. The latter is probably its most significant competitor to date.
 
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I just found out about Pandora last week. :ohwell:


Figures they would take it away now... :coffee:

Pandora isn't taking anything away. This thread, and the 40-hour cap, is from months ago. Pandora is actually getting rid of that cap now, and in the not-too-distant future we may see other changes that make it a more attractive service.
 

slotpuppy

Ass-hole
I've been using the beta for iTunes Radio for a while now, and it works very well - it's good at figuring out what songs I'd like to listen to. I used Pandora briefly as well, it does a pretty good job also. But I prefer the interface of iTunes Radio, and as I indicated it's cheaper (and the ad free service includes iTunes Match functionality, which for many of us is worth the cost by itself). And iTunes Radio is available for free (ad supported) just as Pandora is.

So, again, I don't think Pandora is done for - not at all. But it's growth going forward will no doubt be affected by the introduction of iTunes Radio. The latter is probably its most significant competitor to date.

I do the Itunes match now, is the Itunes radio going to be included in the price of the Itunes match?
 
slotpuppy - In light of that cautionary thread I started about iOS 7, I should probably let you know that iTunes Radio is part of the iOS 7 upgrade. The point being that I'm pretty sure you'd have to upgrade to be able to use iTunes Radio.
 
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