Jimmy Iovine from Apple Music gave an impressive interview.
The conversation led the producer legend Billboard, on the occasion of a four-part documentary about his career with Dr. Ing. Dre. The interviewees soon also talked about streaming revenues.
Iovine: Spotify is in a "bad position"
Iovine then gave a clear opinion on the economic future of companies like Spotify or Pandora in the US, who offer no other products apart from their music offerings: "They are in a bad position."
Of course, he went on to explain that Apple still sells iPhones, tablets and more. Amazon offers Prime, which includes other services for more money - and Iovine believes that Spotify needs something similar to be profitable.
Whole music industry is changing
Also problematic is the tendency of many customers to view music as something that they could receive for free. This, the competition and the great dynamics in the CD and vinyl market are leading to some spiraling spirits at record companies, as they have to deal with a constantly changing market development.
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