Music streaming platform believes it will ensure artists get paid
SoundCloud has launched a paid subscription service to rival Spotify, Tidal and Apple Music.
The music streaming platform revealed SoundCloud Go on its Instagram page earlier today (March 29). It allows ad-free streaming, offline listening, and an expanded catalogue of music in addition to the music already available on SoundCloud’s unpaid tier. The site’s catalogue apparently features over 100 million more tracks than Apple Music and Spotify.
The service is only currently available in the United States at $9.99 a month on Android and desktop computers and $12.99 for iOS users. Subscribers will receive a 30-day free trial.
It will available in other countries later this year. “SoundCloud Go represents our vision of the future of music streaming,” said founder and CEO Alexander Ljung. “A platform for creators to collaborate on; for fans to discover the latest tracks, enjoy legendary music and connect with their favourite artists; and for our unique creative community to have the opportunity to be paid for their work.”
Only last month a financial report suggested the company could be heading towards bankruptcy.
The service published an official report, showing that revenues were not matching the amount of money spent on the service during 2014. The company also saw its administrative expenses increase by almost 68 percent.
According to the Financial Times, financial auditor KPMG, said that SoundCloud’s “material uncertainty” poses serious concerns for the company’s long-term viability. Even in the short term, it seems as though SoundCloud will have to seek outside investment, despite its position as the prominent upload and share music site.
In June last year, SoundCloud announced that it had signed licensing deal with over 20,000 independent record labels. Later on that year, in August, PRS For Music – the payments, copyright and remittance service for artists and music – confirmed that they would take legal action against SoundCloud.