Pandora Limiting Its Free Mobile Listening
February 28, 2013

Pandora has announced it is creating a listenership cap on its free mobile listening, as a way to curb the streaming service's royalty costs. However, the company adds that this change will affect only a small percentage of its users.

In a blog post from Pandora founder Tim Westergren, he writes, "This week we will begin communicating directly with a small number of our listeners as we introduce a 40-hour-per-month limit on free mobile listening.

Most of you reading this will never hit the limit. In fact, it will affect less than 4% of our total monthly active listeners. For perspective, the average listener spends approximately 20 hours listening to Pandora across all devices in any given month.

That said, limiting listening is a very unusual thing to do, and very contrary to our mission so we wanted to share a quick explanation. Pandora's per-track royalty rates have increased more than 25% over the last 3 years, including 9% in 2013 alone and are scheduled to increase an additional 16% over the next two years. After a close look at our overall listening, a 40-hour-per-month mobile listening limit allows us to manage these escalating costs with minimal listener disruption.

For listeners who do hit the limit, we have a variety of options available to keep the music you love flowing. Listen for free for as many hours as desired on desktop and laptop computers; pay $0.99 for unlimited listening for the remainder of that month, or subscribe to Pandora One for unlimited listening and no advertising.

In short, this is an effort to balance the reality of increasing royalty costs with our desire to maximize access to free listening on Pandora. We will be sure to alert any of our listeners that start getting close to the 40 hour limit. As always, your feedback is welcome."




 
Breaking News
eQB NOW
The Week In Review: 3/2-3/6
Real 92.3 Names Abdul "DJ A-OH" Hashem APD/On-Air Personality
Charlie Wilkinson Named Market President For iHeartMedia Dallas
WHTP Taps Miguel “Mijo” Irizarry As MD/Night Host
Triton Digital Monthly Ranker Results
Nielsen Report: State of the Media: Audio Today—How America Listens
In Brief - March 6, 2015
March 5, 2015
ASCAP Names Brian Roberts EVP/COO
Mark Abuzzahab Joins VuHaus As PD
Study: The Infinite Dial 2015
More Speakers Added To The Conclave
In Brief - March 5, 2015
March 4, 2015
Verve Music Group Promotes Mike Rittberg To General Manager
More Speakers Added To The Conclave
March 4, 2015
Nielsen Acquires eXelate
iHeartMedia Receives Five Stevie Awards For Sales, Customer Service
Coleman Insights To Host New Music Webinar: When Is A Hit A Hit?
In Brief - March 4, 2015
March 3, 2015
Cumulus Names New Programming Leadership In L.A. And Minneapolis
Republic Records And IM Global Announce Multi-Picture Co-Production Pact
2015 NAB Show To Feature FCC Commissioners
Warner Music Group Names James Steven EVP/Communications & Marketing
Entravision Appoints Maria Lopez-Knowles Chief Marketing Officer
Kane Show, Maroon 5 Show Support For Fan
Rick Krim Tapped As Sony/ATV Co-President, U.S.
Music News
Usher, No Doubt Celebrate Earth Day in D.C.
The Week In Review: 3/2-3/6
Quick Hits: Kanye West, Rihanna, Prince, The Hollywood Vampires, Jack White, Brian Wilson
Quick Hits: Wale, Violent Femmes, David Gilmour, Sweetlife Festival, Rivers Cuomo
Rapper Big Sean Debuts At #1 On Billboard 200
Quick Hits: Shania Twain, BET Experience, Rock In Rio USA, Wilco, Brian Wilson
Kelly Clarkson Takes Piece By Piece On the Road
Quick Hits: Metallica, My Morning Jacket, Flo Rida, Modest Mouse, Led Zeppelin
Madonna Unveils Rebel Heart Tour
Mumford & Sons Get Wilder On Third LP
Quick Hits: Kanye West, Stone Sour, Radio Disney Music Awards, Lollapalooza Berlin, Bestival
All Apologies From Kanye West
The Week In Review: 2/23-2/27
FMQB Retro-Active: Aerosmith's Joey Kramer Talks Donington DVD, The Beatles, and Rockin and Roastin Coffee
Quick Hits: Mumford & Sons, Madonna, Beale Street Music Festival, Tool
FMQB NOW

Lee Leipsner
EVP/Promotion
Columbia Records

Advertisement:
Search FMQB.com
Advertisements:
FMQB Member Login
Email:
Pass:

Save
Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!