Spotify has a big new ally in fight against Apple Music - TechCentral

Spotify has a big new ally in fight against Apple Music

Spotify Technology has a new ally in its competition with Apple: Samsung Electronics, the world’s biggest smartphone maker.

The Spotify app will be available when customers set up their new Samsung phones, a deal that could boost the music streaming service’s user base, the companies announced at an event in New York on Thursday. Spotify will also be integrated into Samsung’s smart TVs and speakers.

Spotify has been looking to increase the number of people who use its free service, which funnels customers into the paid version of its app. Spotify introduced a new version of the free service in April, just weeks after listing shares on the New York Stock Exchange.

The deal sent Spotify shares up as much as 5.2% to US$188 on Thursday, the biggest intraday gain in two weeks. The shares are up more than 40% since the company went public.

Spotify operates the world’s largest paid music service, but it faces increased competition from Apple Music. Apple said earlier this month that its service has surpassed Spotify in subscribers in select territories.

Smartphone makers and carriers are looking to music services to give them an edge over the competition. Apple Music comes installed on the iPhone, and Verizon Communications announced a deal on Wednesday to give its customers six month of Apple Music for free.  — Reported by Lucas Shaw and Mark Gurman, (c) 2018 Bloomberg LP

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