Guest Post: Forget the Rhetoric, Streaming Music Is Already Profitable

[H]ow often must we read that leading streaming services like Pandora and Spotify are still losing money despite tens of millions of users and hundreds of millions of dollars invested? Journalists worldwide extrapolate from this semi-truth that it is impossible for legal streaming to make money, when the fact is that Pandora and Spotify consciously prioritize growing market share over profitability. […] Pandora could be profitable tomorrow if it increased its frequency of commercials, even by an amount that would still leave it dramatically less cluttered than its FM radio counterparts. […] Spotify was profitable years ago in the only mature streaming market in the world. If the company chose today to stop pursuing international expansion, Spotify would break even overall tomorrow. – Thomas McAlevey,Radical.FM via BillboardĀ