The streaming service is having a hard time right now. May we suggest CoinStar?
There you have it everyone, the SoundCloud service you’ve all grown to love will be gone soon. SoundCloud CTO and co-founder Eric Wahlforss has confirmed the streaming platform will jump into pay-to-play mode later this year — with a freemium service model allowing only a certain number of plays before it cuts the user off.
"Show them the money," they say!
To recap: Early last month rumors of the allowance-theft began to surface when a “leaked” contract hit the webs and got us lowly bloggers typing about its contents. The discussed “three-tier system” will reportedly still contain a free model, but drastically cuts down on the library use available to those who haven’t shelled out milk money for content.
The announcement comes for the service in the midst of a few insiders snitching to Digital Music News about the site being “dangerously low on cash” and likely not able to secure any more funding until the company can assure its investors there’s a money-grab on the way. Apparently people with lots of money don’t like being invested in a company that looses a fuck-load of money? Funny how that works …
It’s a “fire meet ass” situation SoundCloud has found itself in.
Because if SoundCloud can’t secure deals with the two other major label leeches (it has a deal with Warner Music Group already), then the loss cuts its library of popular music, and that would likely push users to other platforms. Because if we can’t find the new Kanye on one site, however will we hear it on another?
What it looks like to us is the major labels are just fucking with SoundCloud, and likely have no interest in buying into the platform anyways — even though it still boasts a crazy amount of traffic and use. Because the majors know that if SoundCloud has to fend off lawyers and lawsuits then it will eventually be devalued and will sell for a fraction of what its worth right now, thereby creating an in for the labels to swoop through and buy the company and flip it for even more money.
Money, money, money …
And don’t think artists will see any of it. This is a smoke and mirrors game we have going on in the streaming octagon, and the artists didn’t even get a pass inside to watch the fight …
Our advice to SoundCloud? Fuck the major labels, go back to your roots — independent artists, DJs and fans want original material that doesn't have popular artists attached to it. Figure out a way. Let Apple, TIDAL and Spotify jerk each other off in the interim, they've got a hard lesson coming their way about the demands of music lovers, too. No need to be stuck in the middle of it …
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