Pandora Internet Radio

Pandora Internet Radio is a music streaming and automated music recommendation service that utilises the musicological information stored in the Music Genome Project in order to create a personalised radio for the user (Pandora, 2013). This media technology is only available in the United States, Australia and New Zealand, and is owned by Pandora Media, Inc. This service plays musical selections based on the user’s artist, genre or time period selection, before taking into account feedback given by the user on the selected songs in order to better select music in the future (Pandora, 2013).

One of the most significant issues that is developing for Pandora is the rapid growth of Apple’s iTunes Radio, which launched in September 2013 and has already gained an 8% share of the market with approximately 19.4 million users worldwide (Levy, 2014). Whilst Pandora still owns a 31% share of the market with approximately 75.3 million users as of March 2014, the immediate success and continued expansion of iTunes Radio is something that has already troubled this service with the number of listeners using its website and app falling from 72.7 million in September to 70.9 million in October of 2013 (Levy, 2014).

iTunes Radio is not the only concern for Pandora, with several other internet radio services such as iHeartRadio, Spotify, Rhapsody, Play Music All Access and Google’s Youtube, which reaches 49.7% of smartphones worldwide, all continuing to grow and develop as individual media technologies, as well as recurring law suits from ASCAP (the American Society of Composers, Authors, and Publishers) who continue to seek a rate increase in artist royalties from Pandora’s revenue from 1.85% to 2.5% (AP, 2014). However, with the verdict of Judge Denise Cote of the US District Court, New York in ASCAP’s most recent law suit against Pandora (AP, 2014) already siding with this media technology it is quite possible that their aim to have their royalty rates lowered to 1.7% will be achieved soon (AP, 2014).

Reference List:
*, Pandora Media, Inc., 2013, About Pandora, Oakland
*, Levy, A 2014, iTunes Radio is Pandora Media Inc’s Biggest Threat, But It’s Not the Only One, The Motely Fool, Alexandria
*, AP 2014, Judge leaves Pandora royalties unchanged, Fairfax Media, Sydney


About Tom Fogarty

I'm 20 years old. I live on the South Coast. I'm currently studying a double degree in Media and Communications at UOW. I'm in a hardcore band called Pariah. Thats about it, as far as I know anyway. View all posts by Tom Fogarty

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