Spotify and Apple Music are facing increasingly tougher competition from Amazon when it comes to adding new paid subscribers to their services. In April this year, Amazon had more than 32m subscribers for its music streaming services, which includes both Prime Music and Amazon Music Unlimited. Spotify is the world's largest streaming service, with 100m subscribers, but it is reportedly "only" growing by about 25 per cent a year, according to Mark Mulligan, an analyst at Midia Research.
As part of their Back to School promo, Apple is offering students 6 months of free Apple Music, which is double the free trial period for non-students.
Streaming music in the United States is viewed by many as a two horse race between Apple Music and Spotify but as highlighted by a recent report from the Financial Times, it'd be foolish to count out the third place competitor. Amazon's user base is older than that of its rivals.
Amazon Music is still relatively new in the music streaming market, but they're showing incredible growth in their short time around. "[Amazon] have gone all in on [music]", said a senior music executive at one of the major record labels.
They will be joining their streaming rivals, Apple Music, who launched their streaming service there years ago.
"We're not battling for the same customers as everyone else", Amazon's Steve Boom confirmed. Midia data shows that 14% of Amazon Music users are older than 55.