Published on June 30th, 2017 | by James Ayre0
Tesla Reportedly Mulling Launch Of Own Streaming Music Service
June 30th, 2017 by James Ayre
According to recent rumors, Tesla may launch its own streaming music service, so that the company isn’t reliant upon third-party services — such as Pandora, Spotify, and Apple Music.
While there’s not much known about the matter as of yet, something that is known is that Tesla has been in discussion with various major music labels, according to Recode.
What reason would Tesla have to pursue such an initiative? Potentially high profit margins? A means of keeping its systems as free from third-party tech and coding as possible?
As a reminder here, Tesla actually already has a deal with Spotify concerning its vehicles outside of the US. That makes the situation perhaps a bit more interesting — it would seem that Tesla isn’t happy about something to do with that deal, one would think.
A quote from a Tesla spokesperson on the matter read: “We believe it’s important to have an exceptional in-car experience so our customers can listen to the music they want from whatever source they choose. Our goal is to simply achieve maximum happiness for our customers.”
Green Car Reports provides more: “While the benefits to Tesla seem debatable, labels might be more than happy to oblige. Apple Music and Spotify currently hold the vast majority of the streaming market; Spotify alone has 50 million paying subscribers, and Apple Music is home to 27 million. The Tesla streaming service being outlined would be included with all of its cars and would not require an additional monthly fee.
“For customers, that would certainly be a nice perk — and for Tesla, it could allow the automaker to control its music interface to a greater degree. It may also be another way to keep outsiders away from diving too deeply into Tesla technology, which might be required to integrate an existing service.”
I’m inclined to agree with that last bit of speculation there.
It’s a bit of a strange piece of news overall, but perhaps something to keep an eye on. Tesla has become quite vertically integrated and seems to favor that route in many instances. I guess that a streaming music service for its vehicles fits into that overall approach, for whatever reasons.
Photo by Zach Shahan
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