Apple impeding Spotify's U.S. release

Spotify is one of the hottest streaming music programs available, but it's unavailable in the U.S. In fact, it's currently only available in Finland, France, Norway, Netherlands, Spain, Sweden (its home), and the United Kingdom. In its mobile variant, users can listen to any of the available music, however often, and even download it for offline listening.

While Spotify has made headway to enter the U.S. market, Apple seems to be standing in the way of their progress. Sources told CNET that Apple has met with recording execs and expressed doubts about the profitability of the advertising-revenue model. This is unsurprising, as Spotify would certainly take from the already waning iTunes.

Then again, Apple is surely developing their own streaming service, so casting doubt on Spotify's profitability might hurt them in the future. Apple's new social networking application, Ping, is much like Spotify's own, in which you can make communal playlists and share full songs with your friends.

Both companies have invested in large data centers to support their expansions, but the consumer will win regardless. An interesting consideration pertains to the iPhone: Given that many customers bought the iPhone for its iTunes integration, will a stellar streaming service like Spotify injure the iPhone's allure (as opposed to only injuring iTunes)?

source: CNET via Wired

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