Spotify opens on NYSE, valuing company at almost $30B • Hacker News Board

Re: Spotify opens on NYSE, valuing company at almost $30B

#161

Post by WhompingWindows » Tue, Apr 03, 2018, 6:32 PM UTC

089723645897236 wrote: post #126

I personally have supported them since beta (when they charged more) so I will probably pick up a share or two. They are certainly worth NFLX money. Music is insanely easy to produce, it is certain they will start courting artists directly, and if they can find an acquisition that fills the DIY punk music scene that was Soundcloud they will be just fine. They need more DIY content to go along with the curated big lab…

You don't mention The Beatles, Led Zeppelin, and the 100's of other artists that Spotify streams millions of times. I feel DIY punk music and music that is "insanely easy to produce" is not going to make much of a dent in the massive demand for the classics/popular bands. Also, as a musician of 20 years having recorded multiple records, I don't agree good music insanely easy to make. The plethora of mediocre music out there is not good music, it takes a lot of skill and equipment to make something sound good in the studio. Sure, maybe some folks want a DIY underground sound that's not polished, but the average folks out there want a clean sound, that's what sells/drives listens. Just go on the Top 100 spotify playlist, there's basically no DIY stuff on there, its all the poppiest of the pop, heavily produced.

Re: Spotify opens on NYSE, valuing company at almost $30B

#162

Post by ebiester » Tue, Apr 03, 2018, 6:32 PM UTC

komali2 wrote: post #47

I'm not quite clear on why people are choosing spotify over google play music - to me the google option is superior in UI and offerings (including ad-free youtube). Am I missing something? Is it just one runs better on iPhones or is more hip (like why people choose snapchat over instagram or something)?

I use both, and am in a gradual transition to GPM. However, I keep Spotify around because:

* My TV has spotify and not play music. I could get a Chromecast but why? * Spotify exclusives are still a thing. * The daily mixes are still better than anything Google has for recommendations. It's surprising google is as bad as it is for music recommendation. * Google keeps things close to their chest for popularity. I like knowing if an artist's top song is 100 times more popular than their next, for example, or how many people follow a playlist. Spotify lets me know who runs a playlist, whereas that's hidden for GPM.

(Spotify has moved closer to their own playlists, which saddens me a little. I always hoped there would be room for curation from personalities. I miss DJs.)

Re: Spotify opens on NYSE, valuing company at almost $30B

#163

Post by dfee » Tue, Apr 03, 2018, 6:32 PM UTC

guelo wrote: post #23

I just don't see how this can be a successful company long term. If the labels see any profit they will demand more fees at the next deal negotiation. To become music's Netflix they would have to produce their own music which people want to listen to, which is a lot easier said then done. The easiest route is probably to become Tidal and give the company away to a few big artists in exchange for exclusives.

The labels have a large stake in Spotify. Your assessment misses this crucial fact. Getting into the production biz is still an open opportunity, though.

> According to Spotify's F-1 filing, 85 per cent of their streamed music is owned by the three major labels -- Universal, Sony and Warner -- and Merlin, a network for independents. The major labels also hold a sizable equity position in Spotify, as much as 18 per cent back 2009. This gave Spotify some help when it was renegotiating licensing deals last year. [0]

[0] https://ftalphaville.ft.com/2018/03/26/1522056334000/Canvass...

Re: Spotify opens on NYSE, valuing company at almost $30B

#164

Post by skinnymuch » Tue, Apr 03, 2018, 6:32 PM UTC

foobaw wrote: post #75

Their product is a lot more powerful than Soundcloud's (even though the target users might slightly differ). I really hope they have a solid roadmap and wish them the best.

I’m not familiar too much with SoundCloud recently. But didn’t they almost go bankrupt before having last minute money raised?

Re: Spotify opens on NYSE, valuing company at almost $30B

#165

Post by skinnymuch » Tue, Apr 03, 2018, 6:33 PM UTC

verelo wrote: post #4

So i bought in, who knows where this will go though :) One of my hopes it that just like NFLX, once the company focuses on producing / licensing it's own content they can do really well. I'm interested in hearing what others have to say on this! Did you buy, will you buy? Why?

If you don’t mind answering, what price did you buy in at)m? I’m watching the stock right now.

Re: Spotify opens on NYSE, valuing company at almost $30B

#166

Post by foobaw » Tue, Apr 03, 2018, 6:33 PM UTC

skinnymuch wrote: post #164

foobaw wrote: post #75

Their product is a lot more powerful than Soundcloud's (even though the target users might slightly differ). I really hope they have a solid roadmap and wish them the best.

I’m not familiar too much with SoundCloud recently. But didn’t they almost go bankrupt before having last minute money raised?

Yeah, SoundCloud has an unsustainable ecosystem.

Re: Spotify opens on NYSE, valuing company at almost $30B

#167

Post by whymsicalburito » Tue, Apr 03, 2018, 6:35 PM UTC

pm90 wrote: post #91

whymsicalburito wrote: post #63

Earlier quoted context omitted.

It's the music discovery aspect of Spotify that is their game changer. They are constantly adding new ways to find new music.

Google Play has good options for music discovery too... I stick to them mostly for their "Radio" option which is very good at selecting music similar to a song I'm listening to. That being said... I've been underwhelmed by the app's UI and performance and have given frequent feedback but haven't got any response and there has been no changes. Typical of Google... Its been so bad that I'm considering switching to Spot…

Yea the radio features are pretty cool!

Another thing I really enjoy about spotify is their app's ability to pause a song on my laptop at work and press play on my phone when I get in my car and the song picks up right where I left it. And the remote control functionality during parties is great. They're also experimenting with some "auto-DJ" features which don't do too bad of a job for an algorithm :)

Re: Spotify opens on NYSE, valuing company at almost $30B

#168

Post by _zachs » Tue, Apr 03, 2018, 6:35 PM UTC

synaesthesisx wrote: post #27

I do love Spotify as a product, however I don't think it will scale the same way Netflix does. Spotify is at the mercy of major record labels, and as their books become more transparent the record labels will squeeze every dollar they can for licensing. That is, unless they find a way to upend the record industry entirely. Spotify has a unique position with their amazing discovery/recommendations engine- they could p…

Starting their own label is exactly what they need to do to remain competitive. It's exactly what Netflix ended up doing and I think it's turning out pretty well for them. I wouldn't be surprised if Spotify tried poaching higher-level strategy people from Netflix.

Re: Spotify opens on NYSE, valuing company at almost $30B

#169

Post by bpicolo » Tue, Apr 03, 2018, 6:36 PM UTC

meritt wrote: post #96

harshgupta wrote: post #73

Earlier quoted context omitted.

Spotify is a tech company by all measures. Their core value propositions - recommendation engine, UI/UX, scaling responsive applications - those are pretty 'tech' problems.

And exactly the same can be stated for Blue Apron and Stich Fix, thus the point of my rhetorical question. Just because the two in question aren't as sexy as Spotify or Dropbox shouldn't exclude them from being considered a tech company. I'd argue that the logistics of shipping perishable food is significantly more difficult than streaming an audio file, and recommending clothing to meet an individual's specific styl…

Blue Apron and Stitch Fix aren't selling software/hardware as a customer-facing value proposition, so they're definitively not tech.

You definitely have to draw the line, or else every big company in existence is a tech company. Banks hire thousands of software devs.

Re: Spotify opens on NYSE, valuing company at almost $30B

#170

Post by bsvalley » Tue, Apr 03, 2018, 6:36 PM UTC

Let the buzz fade away... wait for it to drop below $100 then look at your options. I don't understand why people still want to jump and buy shares the same day a private company goes public considering the hype, etc. Why would you lose that much that fast?