Mixcloud is making some changes to its platform that it hopes could raise some money, but potentially could mean it loses listeners. It is adding restrictions on free listening and pushing a new paid subscription service.
In a lengthy Medium post, the company explains what it is doing and why.
1. Listeners will only be able to fast forward and not rewind as has been standard in the past to comply with the law. Free listeners will only be able to listen to the same show three times in a two-week span. Free listeners won’t be able to listen to any show with four songs of the same artist or more than three tracks from the same album.
2. They have added Mixcloud Premium, which will cost $7.99 per month and give all listeners unfettered access to all things on the platform. Mixcloud Select was recently launched and costs as low as $2.99 to directly subscribe to a channel and get special rewards.
The company says that it is not making enough revenue to cover the cost of copyright payouts and licensing. As someone who has been in this industry, that is often the case with smaller companies. They say this is necessary to “keep up with the costs of running a streaming service that puts artists and creators at its core, and so we can build a sustainable platform that will be here for you in the long term.”
Does This Impact You?
It depends if you are an avid user. If you use Mixcloud a lot and have a series of mixes you depend on, then maybe. It could also force avid users to explore a little bit around the site.
They also have a nifty infographic about the money splits between them and artists, which are much better than most streaming services. Spotify is inching towards 50/50% artist enterprise and company.