Spotify and Hulu ink content partnership

Spotify and Hulu ink content partnership

Spotify and Hulu have formed a warm embrace after the pair reached an agreement for the music streaming service to offer some Hulu-owned TV and movie content to its own subscribers.

By broadening its streaming base in this way, Spotify is aiming to diversify away from its bread and butter music catalogue and kickstart user growth in the video sphere.

For $12.99 per month Spotify subscribers can get the best of both worlds with access to a catalogue of 40 million songs, as well as 75,000 TV shows and movies, lending it an edge amidst cut throat competition from the likes of Apple and Amazon in the pursuit of subscribers.

Spotify has come under pressure to justify its $27bn valuation to investors, forcing it to come up with innovative new ways of proving its worth at the premium end of the paying spectrum, where the greatest profits lie.

Despite boasting 71 million paying subscribers last year, the company still conspired to rack up a loss as it anxiously looks over its shoulder to the rise of Apple Music which has attracted over 36 million subscribers over a much shorter lifespan.

The company is likely to reach over 200 million users this year although the majority pay nothing by taking advantage of the Swedish streaming services free package which offers limited access to its catalogue.

Spotify's bottom line wasn't been helped by the discovery that 2m users had been accessing the site for free using unauthorised ad blocking apps.

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