Yesterday Apple Reminded Us Of Why Spotify Is Not Even Close To Winning The Streaming Wars
With 100 million users (including 35 million paid), it's tempting to declare Spotify the winner in the battle for streaming music supremacy. But remember this… competitor Apple, which has a market cap of $520 billion and $231 billion in cash, yesterday reported a quarterly net profit of $7.8 billion – and that, on a good day, is about what all of Spotify is worth.
Google has $73 billion in cash tucked away and earlier this year reported a quarterly net profit of $3.97 billion so it would take them six months to pay for Spotify from net profits at its current total valuation of $8 billion.
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Those revenues have nothing to do with streaming though..
so spotify is not the winner because it can be bought out? anybody can be bought out. wtf kind of mentality is this?
Cash vs valuation is a rather serious difference more accurate evaluation would be Apple $7 billion earnings, Spotify $200 million losses for the same year. 65 million people who believe music is free.