Online music service Spotify has hit the 1m paying subscribers’ milestone in what should send a resounding signal to music labels as to the direction they could be taking to become viable again.
Spotify has more than 10m songs on its database. Users can choose a free-of-charge advertising-backed service or pay a subscription to hear their music without viewing or listening to ads.
Paid subscribers can also get their music on mobile devices.
Napster co-creator and Facebook’s first president Sean Parker is an investor and managing partner at Spotify.
Launched in September 2008, Spotify has more than 10m users. So in effect, 10pc of the company is now paying subscribers.
“It seems like only yesterday we were hatching ideas for a new music service in a tiny office-cum-apartment with a broken coffee machine, and the party we threw having reached 1m users almost two years ago today was one to remember,” said Spotify co-founder Daniel Ek.
“So it’s with a sense of real pride and excitement that we can announce a new milestone today, having welcomed our millionth paying subscriber to the service.
“It’s a testament to our fantastic users who continue to support us and spread the Spotify word, either by telling friends or sharing some of the 200m playlists that you’ve put together so far.
“From everyone at Spotify, we’d like to give you all massive thanks. We’ll continue to focus on providing you with the best music service possible, and look forward to adding even more cool new features over the coming months. What’s really exciting is that this is only the beginning,” Ek said.