At least one Spotify executive seems excited by all the competition in the world of streaming. “It’s great that Apple is in the game,” Jonathan Forster, a VP at the company, recently told Reuters. “They are definitely raising the profile of streaming. It is hard to build an industry on your own.”
“Since Apple Music started we’ve been growing quicker and adding more users than before,” he continued. “It would be terrible if we were just taking each other’s users or to learn there was just a ceiling of 100 million users—I don’t think that is the case.” He reiterated these points later: “I think that people have really woken up to the opportunity of streaming. We can see that it is just the beginning. We’ve never grown quicker than we have.”
But Forster thinks in the long-run, the market won’t be able to support a large number of streaming platforms. “My Internet history would tell me that there’s probably not going to be that many significant players, and then maybe smaller niche cases ... maybe there could be a classical music streaming service,” he noted. “It’s a hard business.”
Spotify recently reported reaching 30 million paying subscribers. While Apple Music’s last reported subscriber number was 13 million, Apple’s user base was growing at a clip similar to Spotify’s. According to Forster, Spotify is still converting 25% - 30% of free-users into paying ones.