Almost every person who is used to accompanying their lives with music has at least heard of an online music streaming service like Spotify. And 380 million people in more than 170 countries of the world actively use its services. As of the end of 2021, Spotify is worth $5.8 billion. This is a very famous and popular streaming service all over the world. But the success of any company begins with a good idea that occurs in the mind of one person. Spotify’s success stems from an idea that popped into Daniel Ek’s mind.
Daniel has always been attracted to technology. Even as a teenager, he and his friends were already successfully creating websites for various businesses, and later studied engineering at the institute. So Ek decided to create Advertigo, a successful online marketing company. And this after being denied a job at the age of 16 no more, no less than Google. The reason for the refusal was the lack of a diploma.
But Advertigo became so successful that at the age of 23, in 2006, he sold Advertigo to international giant Tradedoubler. And it was a decisive step in the birth of his flagship project, as he convinced one of the founders of Tradedoubler, Martin Lorentzon, also from Sweden, to make the necessary investments to bring Spotify to life. Thus, after the official registration of the company, the friends began to develop an application, at first only for computers.
And this was the birth of a fundamentally new streaming music model – the streaming service Spotify. Although Lorentzon and Ek created Spotify in 2006, the service didn’t launch until two years later. The reason for the delay was the need to negotiate with record companies to obtain licenses.
Initially, the platform was only available for some European countries. Users got access to several million tracks, but only online. The songs were not downloadable. In 2009, a mobile version was created so that users can listen to music on their smartphones.
They also created the Premium modality, which is still supported today, along with the free and unlimited modalities. Shortly after the legalization of the service in the United States, the creator of Spotify announced in November 2011 that Spotify was being converted into a platform that can host third-party applications, the Spotify Platform. As Daniel Ek explained, music went beyond music, and so magazines like Rolling Stone were integrated into the platform with their own feeds or lyrics viewer apps like TuneWiki. The idea was for Spotify to be more than just a song player. In 2016, Spotify formed an alliance with Facebook so that its users could share music via Messenger, and soon after, the streaming music platform reached an agreement with Twitter so that Spotify songs could be listened to without leaving the social network.
Until now, Spotify continues to surprise its users with useful and convenient innovations that make the service even more comfortable. Therefore, Spotify is becoming more popular every day, and grateful users become paid subscribers.