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In July, Nielsen declared that “2017 Is Shaping Up to be the Year of Music Streaming.” There were 184 billion on-demand audio streams during the first six months of the year.

“The first half of 2017 has seen some incredible new benchmarks for the music industry,” Dave Bakula, SVP Insights, Nielsen Music, said. “The rapid adoption of streaming platforms by consumers has generated engagement with music on a scale that we’ve never seen before.”

But the second half of the year has not been idle, and figures for the third quarter are coming in.

Let’s look at 2017’s third quarter by the numbers:

16 million: The number of active subscriptions on Amazon, shifting it up to the third largest music subscription service. Just three years ago, Amazon was in 14th place. Spotify remains in the top spot, with 58 million subscriptions, followed by Apple Music, at 28.2 million. While most streaming music sites are aiming at the under 40 demographic, Amazon hopes to attract older listeners. This group, however, doesn’t listen to music much on their phones and most don’t want to pay a monthly subscription service. To compensate, Amazon is allowing listeners to stream music through their Alexa and Echo devices and through their Amazon Prime accounts. Amazon’s streaming music strategy is part of its switch to service-based revenue streams. Source: Hypebot

23%: The market share of the music industry dominated by publisher Warner/Chappell Music. Sony/ATV Music Publishing had held the top spot since 2012. The rankings are based on the top 100 radio songs for the quarter. Warner/Chappell jumped 17.19% from the second quarter, and had 55 of the top 100 songs.  When broken down by genre, Warner/Chappell also held the top spot for country music with a 25.72% market share. The top song of the third quarter was Shawn Mendes’ There’s Nothing Holdin’ Me Back, while the top songwriter was Jacob “JKash” Kasher Hindlin. Source: Billboard

$800 million: The price Chinese group Beijing ByteDance Technology Co. paid for teen social video app Musical.ly. The purchase is ByteDance’s largest foreign deal to date and gives the company a large American presence. Musical.ly allows people to create and share personal music videos. It began in China in 2014, but has been extremely popular in the U.S. Its 100 million users will be added to the 120 million using ByteDance’s media startup Jinri Toutiao, a news and video aggregator whose name means “today’s headlines”. In 2016, Musical.ly launched Live.ly and signed deals with Comcast Corp.’s NBCUniversal, Viacom Inc. and others to create original shows. Live.ly will run as a separate platform. Source:  Bloomberg

35.7: The number of hours the average American listens to streaming music per week, making the US the largest music market. The average American also streams on 3.4 devices. For those with subscriptions, average listening hours increased to 39.1 hours and 4.8 devices. Americans also accounted for 38% of Spotify’s subscribers. At the end of 2016, there were 132.6 million streaming music subscribers worldwide, according to MIDiA Research group. Source: Techaeris

$600 million: The amount Kobalt Capital, the investment adviser arm of music service firm Kobalt, has raised to purchase music copyright catalogues. Of that amount, $345 million is equity and the rest is debt. Kobalt Capital was founded in 2011 as a way for copyright users to sell their copyright. It has spent more than $350 million on music copyrights since its founding. Source: Billboard

 

Top photo: © GettyImages / Blackzheep


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About Author

Melina Druga

Melina Druga is an author and freelance journalist. You can follow her on Twitter @MelinaDruga.

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