One More Turn after the Algorithmic Turn? Spotify’s Colonization of the Online Audio Space

Abstract

In the last decade, development of algorithmic recommendation systems has constituted the main competitive factor between music streaming services. In this article, we identify how a new turn, labelled ‘the auxiliary services phase’, is rising to prominence. We analyze Spotify’s move from being a mere music distributor, to becoming a general provider of audiovisual content – involving investments in podcasts, vodcasts, audiobooks, etc. – where expanded service offerings and exclusive content development constitute increasingly important platform strategies. Although this turn empowers innovation, it is worrisome from a music industry perspective as it challenges power balances between music industry and platform actors.