Soundcloud yesterday revealed their new subscription service, Soundcloud Go, as a direct competitor to Spotify, Tidal and Apple Music. It will allow users to stream ad-free and to listen to music offline on top of the already substantial music catalogue that Soundcloud have on their site.
This comes after Soundcloud’s financial report came in revealing that between 2012-2014 the company had an income of $41.8m but had lost a staggering $84.8m, which compounded with administrative expenses growing 67.8% to $53.9m that year. It wouldn’t have taken a business analyst to see that Soundcloud wouldn’t last much longer if it wasn’t prepared to make drastic changes.
Then in August last year, PRS For Music officially confirmed that they would be taking legal action against Soundcloud for unpaid royalties to many artists after five years of negotiations but eventually came to a licensing agreement involving the new subscription service, which means that artists will be “fairly rewarded”.
Soundcloud Go is currently only available in the United States, with plans to reach out to other countries later in the year. It is available for $9.99 a month on Android and desktop users and $12.99 for iOS users, with subscribers getting a 30 day free trial.
This Soundcloud article was written by Adam Barrett, a GIGsoup contributor. Edited by Zoe Anderson.