Amazon wants to compete with Spotify and Apple Music with their own music streaming service with half the industry price to gain more customers.
The catch is that the service will only be available for their Echo-powered device. It would be a big save for those who want a premium streaming service for their devices but they would have to buy an Amazon Echo gadget to be able to sign up for the said service.
Amazon's music streaming service for their Echo devices will reportedly cost about $5 or half the usual $10 per month fee that Spotify and Apple Music charge their customers, Fast Company has learned. Users will have to own an Amazon echo personal assistant or streaming device in order to make use of the service.
For non-Echo users, Amazon is also planning to launch a similar streaming service with the same $10 each month fee for users. The said service will be available for all interested customers whether they have an Echo device or not.
Spotify and Pandora has dominated the music streaming industry with their free ad-supported offering but they have also settled on the industry standard $10 charge per month which Amazon is looking to beat, Apple Insider reported. There is no confirmation whether Amazon will also provide an ad-supported option for users who want a free service although they would be better off with the already established names in the streaming industry.
Amazon's move to add a music streaming service for their Echo devices could be a strategic one to add more value to their products. Their Echo devices does support Spotify and Pandora which could help users decide which service to use for their streaming needs at home.
The Amazon Music service can also be accessed through the Echo devices but it does not really work like a streaming service. In addition, it only has a small music library that users may find too limited for their tastes.
Amazon could launch their Echo music streaming service and the standalone one for non-Echo users in September. An announcement is expected from the e-commerce giant