Spotify adds cut-price subscription option

Music streaming service Spotify has announced a cut-down price option to drive subscriptions in the UK.

A monthly subscription of £4.99 will allow users to listen ad-free but won’t permit offline or mobile listening.

Previously the only subscription available was £9.99, allowing ad-free listening on both the web and mobile, with DRM-protected tracks available offline on both platforms.

The free, ad-funded version of Spotify still exists, although it remains invite-only.

The additional subscription option continues Spotify’s drive to strengthen its position in the online music market and prove itself as a viable music and ad platform.

Last month it overhauled its service to introduce social media elements, including the ability to subscribe to friends’ playlists.

It has also appointed its first UK country manager, brand directors and senior sales staff to drive its ad sales strategy in the UK (nma 6 May 2010).

Last month also saw ad-funded music service We7 reveal it had its first month where streaming costs were fully covered by ad revenue, while elsewhere new streaming social service mFlow launched (nma 15 April 2010).

All come as speculation intensifies that Apple will launch streaming services on iTunes in the near future.

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