As we’ve argued previously, here, here, and here, algorithms are no magic wand for sorting subjective content, artistic or otherwise. Here the top brass at Apple admits to the fact in a criticism of one of its competitors, Spotify.
Two take-aways from Mr. Cook’s argument. One, he claims that Apple uses the human creativity of its users to create playlists, but tuka uses it’s entire network of users to reward human curation of all content. Yeah, web 3.0 is about the human, not the machine.
Second, the race among the streamers, Apple Music, Amazon Music, Google Play, and Spotify, Pandora, etc. is another loss-leading attempt to build out a user base to monetize the data flow. In other words, streaming doesn’t pay unless you can monetize the network in some other way. As I suspected, the pricing model of streaming is likely financially unsustainable in the long-run as the true price of streaming content is several times what consumers are now paying. Direct ownership of content may be far more economical than renting it without ad support.
Apple CEO Tim Cook recently revealed the company’s streaming music service, Apple Music, has clearly surpassed Spotify in subscribers in the US, Canada, and Spotify.
Instead of gloating, he humbly downplayed the achievement.
“The key thing in music is not the competition between the companies that are providing music, the real challenge is to grow the market. If we put our emphasis on growing the market, which we’re doing, we’ll be the beneficiaries of that, as will others.”
In a recently published article with monthly business magazine Fast Company, Cook revealed his true feelings about his streaming music rivals. Taking a clear swipe at Spotify, he said,
“We worry about the humanity being drained out of music, about it becoming a bits-and-bytes kind of world instead of the art and craft.”