Spotify Chief Exec Responds to Taylor Swift Pulling Her Music

Spotify Chief Executive Daniel Ek defended his streaming service in a statement released Tuesday in response to Taylor Swift’s decision to pull her entire collection of songs from Spotify. Swift, whose latest album “1989” sold almost 1.3 million copies in its first week, pulled her collection from Spotify because she believes the company does not fairly compensate music creators. Ek, however, pointed out that his company has now paid $2 billion in royalties and helps prevent piracy. Continue reading Spotify Chief Exec Responds to Taylor Swift Pulling Her Music

Walmart to Introduce Vudu Spark Streaming Stick for Holidays

Walmart is launching its first video streaming stick, Vudu Spark, in time for the holiday season. This HDMI stick simply plugs into a television, connects to a Wi-Fi network, and starts playing movies and TV shows from Vudu, the Walmart-owned streaming video service. Vudu Spark will be competing with similar products, such as Google’s Chromecast and Roku streaming sticks, both of which already offer access to the Vudu app and many other streaming services. Continue reading Walmart to Introduce Vudu Spark Streaming Stick for Holidays

President Obama Calls for New Rules Protecting Net Neutrality

In a statement and video posted on the White House website, President Obama formally announced his support of an open Internet, urging the FCC to treat consumer broadband service as a public utility. The president is proposing a strict net neutrality policy that opposes any need for content providers to pay broadband companies extra for faster access. Service providers including AT&T, Comcast and Verizon were quick to respond, suggesting that the proposal would not stand up in court. Continue reading President Obama Calls for New Rules Protecting Net Neutrality

Report: TV Viewers Continue to Drop Cable and Satellite Subs

Third quarter reports indicate a greater reduction in the number of pay TV customers as compared to the previous year. The decline in pay TV customers suggest that a growing number of consumers are taking to “cord cutting” when it comes to media consumption. With a number of viable streaming services such as Netflix, Hulu and Amazon currently available, customers are choosing to abandon traditional pay TV to avoid paying the steep cost of cable and satellite packages. Continue reading Report: TV Viewers Continue to Drop Cable and Satellite Subs

Amazon Introduces “Prime Pass” with British Fashion Retailer

The expedited shipping available to members of Amazon’s $99 Prime service may soon become available to external retail sites. Amazon recently secured a partnership with British fashion retailer AllSaints that allows Prime members to enjoy free next-day shipping on all purchases made via AllSaints.com. While Amazon hopes to expand its partnerships with other retail sites, it has already encountered some early resistance from retailers that are weary of the “Prime Pass” program. Continue reading Amazon Introduces “Prime Pass” with British Fashion Retailer

DEG Numbers Point to SVOD Growth, Physical Disc Decline

According to DEG: The Digital Entertainment Group, U.S. consumer spending for Q3 2014 was an estimated $3.92 billion, down 1.2 percent from the same quarter last year. Consumer spending on DVDs and Blu-ray Discs combined was down 8 percent in the quarter, while electronic sell-through grew 26 percent. Transaction VOD was down almost 7 percent; however, spending on subscription VOD, such as Netflix streaming, saw an increase of more than 26 percent for the first nine months of the year. Continue reading DEG Numbers Point to SVOD Growth, Physical Disc Decline

Warner Music Group Partners with SoundCloud for Digital Edge

With about 175 million current users, SoundCloud far exceeds Spotify and Pandora, which combine for a total of about 116 million users. And while SoundCloud has yet to build any sort of real business with these numbers, it recently agreed to partner with a major record label. Rather than taking a traditional licensing route with its new Warner Music Group deal, the music-streaming site will offer WMG the option to advertise on some of its songs and share revenue with SoundCloud. Continue reading Warner Music Group Partners with SoundCloud for Digital Edge

Rovi Acquires Fan TV to Take Video Discovery to the Cloud

Rovi, a company that powers video guides and recommendation systems, has announced the acquisition of Fanhattan, a startup specializing in video discovery through its Fan TV products. The acquisition is expected to bolster Rovi’s portfolio of cloud-based TV guides. Fanhattan could benefit from Rovi’s sales force, which may be able to distribute the Fan TV streaming set-top box to Charter and Dish customers. Fan TV integrates video from different sources into a single user-friendly interface. Continue reading Rovi Acquires Fan TV to Take Video Discovery to the Cloud

Amazon Expands Entertainment Offerings with Comedy Service

As part of its continued media and digital content expansion to take on companies such as Netflix, Amazon is set to acquire online comedy service Rooftop Media. The service gives viewers access to live and on demand recorded content from comedy acts across the country. While specifics of the deal remain undisclosed, the 10-person company will be acquired by Audible, a growing seller of online audiobooks that Amazon purchased in 2008 for $300 million. Continue reading Amazon Expands Entertainment Offerings with Comedy Service

Streaming Services Grow While iTunes Music Sales Decline

Music sales via Apple’s iTunes Store have dropped about 14 percent since the start of the year. Meanwhile, streaming services now supply one-third of the recorded music revenue in the U.S. The total number of streams reported for services such as Spotify and Pandora have increased 46 percent this year over 2013. This shift may be one reason behind Apple’s $3 billion acquisition of Beats Electronics. The company is reportedly planning to relaunch Beats next year as a part of iTunes. Continue reading Streaming Services Grow While iTunes Music Sales Decline

Trial: Verizon FiOS and Netflix Test Bundled Subscription Plan

Verizon and Netflix are quietly testing a plan that could lead to an industry first regarding a major MVPD offering the SVOD service as part of a bundled subscription. Verizon is offering new FiOS Triple Play customers in New York City a free year’s worth of Netflix (a $108 value). The trial follows the back-and-forth between Verizon and Netflix contentiously debating which company was to blame for buffering problems that eventually led to a peering deal with Netflix paying extra fees. Continue reading Trial: Verizon FiOS and Netflix Test Bundled Subscription Plan

Proposed FCC Rule Change Potential Big Step for Internet TV

The FCC is considering a change to federal regulations that could potentially put Internet TV providers on the same level as traditional cable TV companies. If the change were implemented, Internet TV providers would reportedly have the same ability as today’s cable and satellite companies to negotiate for carrying broadcast TV stations. The change could therefore help emerging multichannel video programming distributors (MVPD) to license the content necessary to become serious contenders. Continue reading Proposed FCC Rule Change Potential Big Step for Internet TV

Consumers Transitioning from Purchasing to Renting Media

Apple and Amazon, two of the world’s most successful retailers, find themselves struggling in today’s market to increase the sales of books, movies, music, and games because of a shift in consumer priorities. It seems that consumers no longer want to buy media; they want to rent it. The two companies can be considered largely responsible for creating the problem because they made it so easy to rent books and stream music that consumers didn’t feel the need to buy media anymore. Continue reading Consumers Transitioning from Purchasing to Renting Media

Advertisers Still Favor Televised Sports Over Online Gaming

Video game-centric website Twitch, recently acquired by Amazon for close to $1 billion, now has a global audience of 60 million users. The audience is passionate, consuming 16 billion minutes of video per month. The site seems to be an ideal way for advertisers to reach the young male demographic, between ages 18 and 30. However, televised sports content remains a viable method for reaching this audience, and advertisers have not yet shifted in preference from TV to online gaming. Continue reading Advertisers Still Favor Televised Sports Over Online Gaming

YouTube CEO Discusses the Possibility of Video Subscriptions

During yesterday’s Code/Mobile conference in Half Moon Bay, California, YouTube CEO Susan Wojcicki said that the online video platform is currently exploring options regarding new subscription services. While specifics were not offered, Wojcicki told Peter Kafka and Liz Gannes of Re/code during the onstage interview that an ad-free service was being considered. Consumers “will either choose ads, or pay a fee, which is an interesting model,” said Wojcicki. “We’re thinking about how to give users options.” Continue reading YouTube CEO Discusses the Possibility of Video Subscriptions