By Vamien McKalin | Mar 26, 2013 09:14 AM EDT
Spotify is planning something big, and it has nothing to do with listening to music. Apparently, the company is aiming to get into the business of streaming video to its subscribers, a move that would make Spotify a direct competitor to Netflix and other video streaming services.
According to the Business Insider, Spotify is very interested in branching out from music and into the realm of streaming video. The move is not only for providing third-party video content for subscribers, but exclusive TV series, a move that is very similar to what Netflix did with House of Cards.
Spotify at first had hoped that by becoming popular in the music streaming scene, it could dictate discussions with top labels. However, that tuned out to be a failure, which leaves Spotify in a position where it needs to fend for itself.
The company is already searching for partners to help stock up on exclusive shows and other type of content that would allow subscribers to keep coming back for more, time and time again. Creating original content is the best way of securing Spotify's future in the long term instead of relying on music labels.
Netflix began this move with House of Cards, a series that cost the company around $5 million per episode, and that doesn't factor in the marketing cost. Netflix hopes to use House of Cards as a tool to keep subscribers returning.
It is not yet known how much damage Spotify video on demand service could cause to competitors. The key to victory here is original content, because every other service has relatively the same third-party content.
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