SoundCloud To Roll Out New Paid Subscription Service
Music streaming service SoundCloud will soon roll out a paid subscription service, according to comments made by one of its executives in a new interview. Speaking with the Wall Street Journal, SoundCloud co-founder and Chief Technology Officer Eric Wahlforss said that subscriptions will be offered later this year, but declined to specify what the exact perks of paid service will be.
The news comes as SoundCloud continues to scramble for new means of revenue. In addition to charging some of its users who upload music, the company has also utilized auto-play ads from brands including Pepsi and Jaguar automobiles. The new subscription price point has also yet to be revealed by Wahlforss.
Subscriptions may give the company the leverage it needs to secure licensing agreements with major record labels who, for some time, have been reluctant to play ball with SoundCloud. “SoundCloud’s attempt to generate additional revenue comes as music publishers seek to get royalties for tracks that are part of a remix or DJ set—a series of tracks mixed together, the Journal wrote. “The company with headquarters in Berlin struck deals with Warner Music and Merlin, an agency representing more than 20,000 smaller recording labels.”