Spotify changed his mind to enter the Russian market – RBC

Spotify changed his mind to enter the Russian market – RBC

Photo: Global Look Press

The fact that Spotify turns business in Russia, told RBC potential partner service in the country, as well as a source close to Alexander Kubaneishvili, which is written “Vedomosti”, was to lead the Russian office of the company. Know about it and the staff of the two competing with Spotify companies operating in Russia. According to one of the interlocutors RBC Kubaneishvili leave Spotify in February. Himself manager on Friday did not comment on this information, promising to provide comments on Monday, February 2 ( Kubaneishvili confirmed the closure of the Russian office of RBC Spotify after the publication of the material – RBC). Global press service Spotify did not respond to a request RBC.

The legal entity in Russia in the Swedish service appeared in January 2014. At Companies House January 13 were registered LLC “Spotifay.” It established a private company with limited liability Spotify AB, registered in Sweden. The fact that for business development in the local market will be responsible Kubaneishvili, “Vedomosti”, citing its own sources wrote in April. Prior to that, the manager in charge of the advertising business, and relationships with partners at Google, doing online sales at Microsoft, was the Director of Sales Gigafone Technologies.

In September Tass reported that Spotify has transferred to the Russian market in the autumn of 2014 at the beginning of 2015. The reason, according to the source agency, was the fact that Spotify has not reached an agreement with mobile operators on partnership. Press secretary Dmitry MTS Solodovnikov on Friday confirmed RBC that the company was in talks with Spotify, but eventually won the tender for another music service – Mondia Media Group GmbH. This company not only offers strimingovyh audio, and games. Its head office is located in Hamburg and representative offices operate in Brazil, South Africa, Italy, and so on. Representatives of “VimpelCom” and “MegaFon” did not respond to requests for RBC.

The ruble summed

Founded by Swedes Daniel Ek and Martin Lorentzon in 2006, Spotify allows you to listen to music online. Service is represented in 58 countries: its offices, in addition to Europe, located in Australia, USA, Hong Kong, Mexico, and Singapore. Among the partners of Spotify – Universal Music Group, Sony Music, EMI, Warner Music, Merlin and others.

Most of the content Spotify is free in exchange for listening to advertising, and the complete catalog is available for abo by Personal fee . “Perhaps their global license does not allow to establish a competitive price,” – says about the reasons for the decision Spotify content director of the Russian strimingovyh service Zvooq Mihail Konstantinov. Monthly fee, according to Spotify, differs in different countries, and the spread is very high – from $ 2.93 in the Philippines to $ 18.42 in Denmark. The average subscription costs about $ 7 a month, and at the current rate in Russia it would cost almost 500 rubles., Says Konstantin. In Russia, legal music services, such as “Yandeks.Muzyka” and Zvooq, offer a monthly fee of $ 150-200 rubles. month. According to PwC, the volume of the digital music market in Russia in 2013 reached $ 32 million. Downloading music has brought $ 17 million, the share of mobile m usic was $ 12 million.

In 2013, Spotify earned $ 1.03 billion, which is 74% more than in 2012. Net loss was $ 80 million. According to its own information Spotify, at the service of 15 million paying subscribers and 60 million active users.