Spotify Job Listings Say Company 'On Its Way' to Launch of First Physical Products, Hinting at HomePod Rival

[MacRumors]

Following an ad for a senior product manager last spring that hinted at Spotify's interest in creating a hardware product, this week a collection of new job listings further suggest the launch of a physical Spotify product will be coming in the future (via Music Ally). The listings call for an Operations Manager: Hardware Product, Senior Product Manager: Hardware Production, and Project Manager: Hardware Production and Engineering.

According to the page for the Operations Manager, Spotify is "on its way" to developing and launching its "first physical products," potentially hinting at an upcoming rival device to Apple's HomePod. Although the job listing pages are not full confirmations of Spotify's entry into the smart speaker market, in terms of physical hardware a speaker of some kind does make sense for the music streaming company. The "connected hardware" could also refer to devices like wireless headphones and other music-based products.

A Spotify speaker would enter the market as a competitor to products like Apple's HomePod, which as of now can play Spotify but lacks deep integration with the service and instead favors Apple Music. Spotify's speaker could flip that and focus on the company's own streaming customers, of which there is a large market of more than 140 million subscribers worldwide who could be interested in a Spotify-focused speaker.

The person who gets hired for the position will help the company in setting up an operational organization for manufacturing, and build up the supply chain, sales, and marketing, all while working out of the company's office in Stockholm. All three job listings state that the employee's work will "impact the way the world experiences music."

Spotify is on its way to creating its first physical products and setting up an operational organisation for manufacturing, supply chain, sales & marketing.

We are looking for a passionate and seasoned Operations Manager that will contribute in the creation of innovative Spotify experiences via connected hardware. You will define and manage Distribution, Supply, Logistics, fulfillment and Customer Service for Hardware Products. You will also work with partners to deliver the optimal Spotify experience to millions of users. Above all, your work will impact the way the world experiences music.

As the rivalry between Apple Music and Spotify has grown since the former service's mid-2015 launch, Apple Music is now forecasted to overtake Spotify in paid subscriber numbers in the United States as soon as this summer. That prediction came from The Wall Street Journal earlier in the month, in a report that stated Apple Music's monthly growth rates have been exceeding Spotify's by about three percentage points. In terms of worldwide numbers, Spotify still has about 70 million paid subscribers compared to Apple Music's 36 million.

Article Link: Spotify Job Listings Say Company 'On Its Way' to Launch of First Physical Products, Hinting at HomePod Rival

 

[OldSchoolMacGuy]

If they are, it'll be a snooze. Spotify isn't a hardware company, so it'll be one of two things. Either totally uninspiring and lacking in every way, or designed by someone else with their name slapped on it. Either way, it'll be boring and won't be much in the way of competition for anyone else in the market.

 

[Mad.Whack]

If it's half the price of a homepod and works with Alexa. Instabuy for me.

If they are, it'll be a snooze. Spotify isn't a hardware company, so it'll be one of two things. Either totally uninspiring and lacking in every way, or designed by someone else with their name slapped on it. Either way, it'll be boring and won't be much in the way of competition for anyone else in the market.

They don't need to make the hardware alone; they can simply have a hardware partner and focus on the software (which is miles ahead of AM imo).

 

[MacFan23]

If it's half the price of a homepod and works with Alexa. Instabuy for me.



They don't need to make the hardware alone; they can simply have a hardware partner and focus on the software (which is miles ahead of AM imo).

What makes it an instabuy over an Echo?

 

[Red Oak]

I can't wait for this company to go public so I can short the s**** out of it

After all these years, it is still highly unprofitable. The economics simply do not work

 

[Mad.Whack]

What makes it an instabuy over an Echo?

Best guess is it will be better integrated than Spotify for Echo.

I have 2 Echo dots, great for commands but sounds like a 50$ speaker. I don't find the regular echo particularly great either.
I currently use my UE booms 2 for music but would rather be able to control spotify with my voice (Alexa doesn't support Boom 2 in Canada).

 

[unobtainium]

I don’t understand the current craze for voice assistant speakers. It’s so much easier to just choose a song on your phone and press play. I never don’t have my phone on me.

 

[leon44]

I can't wait for this company to go public so I can short the s**** out of it

After all these years, it is still highly unprofitable. The economics simply do not work

Then why does Apple Music bother to exist? Virtually the same product, same economics.

 

[prasand]

I think this is a good move, as Spotify needs other ways of generating revenue, and would increase their value proposition when going IPO. I imagine it will be powered by Google Assistant.

But I hope that if Apple releases a “media” domain for SiriKit, the products wouldn’t prevent Spotify from adding HomePod features.

 

[ArtOfWarfare]

I can't wait for this company to go public so I can short the s**** out of it

After all these years, it is still highly unprofitable. The economics simply do not work

I also can't wait for the company to go public so I can invest in it.

Shorters make it more fun - their desire to gamble results in me getting money quicker, with me taking on no more risk than I would have otherwise.

 

[dannyyankou]

I guess they have to make money somehow. Hopefully they’ll increase their royalties to artists with that extra revenue.

 

[OldSchoolMacGuy]

Then why does Apple Music bother to exist? Virtually the same product, same economics.

Not at all. Spotify is in the music streaming business exclusively. Apple is not. Apple's sole intention with Apple Music doesn't have to be about making money like Spotify's must be. Because of this, Apple is in a far better spot.

The economics are far from the same.

 

[xero9]

Then why does Apple Music bother to exist? Virtually the same product, same economics.

Apple Music compliments their already existing hardware and services. They can afford to make zero dollars profit from Apple Music and it doesn't really matter to them at the end of the day.

 

[Mtmspa]

I don’t understand the current craze for voice assistant speakers. It’s so much easier to just choose a song on your phone and press play. I never don’t have my phone on me.

Totally disagree. Last night for example used HomePod for playing music, controlling my home automation, getting the forecast, adding to my grocery list, listening to a podcast and getting the news. Did this from the couch using a normal voice. When I left this morning, a simple Hey Siri I am leaving set everything for when I am gone. Love it.

 

[WRXHokie]

How about an apple watch app first?

 

[mmomega]

If it's half the price of a homepod and works with Alexa. Instabuy for me.



They don't need to make the hardware alone; they can simply have a hardware partner and focus on the software (which is miles ahead of AM imo).

The new Echo is 1/3 the cost of the homepod and works with Alexa.

 

[leon44]

Not at all. Spotify is in the music streaming business exclusively. Apple is not. Apple's sole intention with Apple Music doesn't have to be about making money like Spotify's must be. Because of this, Apple is in a far better spot.

The economics are far from the same.

Nice try but it was abundantly clear I was talking about Apple Music
[doublepost=1519143638][/doublepost]

Apple Music compliments their already existing hardware and services. They can afford to make zero dollars profit from Apple Music and it doesn't really matter to them at the end of the day.

I thought it was obvious that the low prices and low profits are temporary to form habits and build a strong committed user base until they feel confident to raise subscription prices. They don't have profit they have potential profit, economically its the same.

 

[acblue94]

If it's half the price of a homepod and works with Alexa. Instabuy for me.

Forgot to mention. Half the build quality as well.

They don't need to make the hardware alone; they can simply have a hardware partner and focus on the software (which is miles ahead of AM imo).

 

[mdatwood]

I don’t understand the current craze for voice assistant speakers. It’s so much easier to just choose a song on your phone and press play. I never don’t have my phone on me.

This might be because you're using Siri, which can sometimes be an exercise in frustration. I don't have any experience with Alexa, but Google Home is pretty awesome. "Hey Google, play Daredevil", and it turns on the TV, switches to the Chromecast, starts Netflix and plays where I left off in Daredevil. There are still quirks, but even now it's much faster/easier than messing around on my phone.

 

[asdavis10]

Vertical integration is Spotify’s only chance of sustained profitability. But it will take more than just a smartspeaker. In the meantime, artists and record labels will want more profit. And Apple has the pockets to offer better per stream margins. Hard to see the path forward for Spotify with just music as their primary revenue driver.

 

[Kabeyun]

Then why does Apple Music bother to exist? Virtually the same product, same economics.

This question has been addressed numerous times in other threads. AM is actually part of Apple’s highly profitable services sector (they don’t report separately) and exists to capture customers into their ecosystem. It’s an ecosystem which includes hardware that makes more profit than any other company has ever made, so Apple can even operate AM at a loss and still make ridiculous money, sustaining it indefinitely. Spotify has no such white knight. In fact, and you’re free to confirm this in our own, Spotify actually is losing money with each customer they add.

 

[robbyx]

Then why does Apple Music bother to exist? Virtually the same product, same economics.

Not true. Spotify supports nearly 100 million free users through advertising. Apple Music is 100% paid. So the economics are very different. Furthermore, making money on Apple Music isn’t Apple’s primary objective. Hardware is their bread and butter. Services add value to hardware, but in the end it’s all about hardware sales.

 

[lars666]

Just team up even more with Sonos. Best possible opportunities for both sides against Apple.

 

[nburwell]

Just team up even more with Sonos. Best possible opportunities for both sides against Apple.

I'd love to see this partnership between Spotify and Sonos.

Although I don't think physical products are going to save Spotify.

 

[ignatius345]

I'd love to see this partnership between Spotify and Sonos.

Although I don't think physical products are going to save Spotify.

Or just get manufacturers to build in support as much as possible. Make it platform-agnostic and ubiquitous like Netflix has. You can't buy a TV these days that doesn't have a Netflix app built in one way or another.