We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Amazon (AMZN) to Offer Music Streaming for Just $5 on Echo
Read MoreHide Full Article
As per some media reports, online retail giant Amazon.com, Inc. (AMZN - Free Report) is set to launch a music subscription service that will cost just half of what its competitors charge right now.
Apart from its regular $10 per month subscription service that allows users to stream music, Amazon is also planning to launch a second service that will cost substantially less (just half of it). However, the service will only be available through the company’s Echo smart speakers.
The service will enable users to tune into unlimited, ad-free music. However, whether Amazon will charge $4 or $5 a month for the second service is not yet clear.
Amazon intends to launch both the services during the month of September. However, the deals with major music labels and publishers are yet to be finalized.
What’s the Big Deal?
Amazon currently offers a limited selection of music as a part of its Amazon Prime annual subscription for $99 a year. While the company is contemplating launching a separate music streaming subscription service for $9.99 per month like the ones offered by its rivals Apple Inc. (AAPL - Free Report) and Spotify, the decision to cut the rates even further may lead to a steep rise in the number of subscriptions.
Competition
Earlier, its competitors tried providing services in the $5 range. However, their efforts turned out to be futile as their offerings remained confined to web radio, which did not allow users to play their favorite music at their convenient time. Amazon’s discounted service will allow users to play their favorite music whenever they want on Amazon Echo speakers.
However, we note that Spotify and Apple offer their music subscription on mobiles. It remains to be seen how the recent service fares on Echo, an Internet connected speaker that works on Alexa (Amazon’s proprietary artificial intelligence).
Pandora Media, Inc. is also gearing up to launch its version of a $10 and $5 per month discounted music subscription service.
A better-ranked stock in the broader technology space is Autobytel Inc. , sporting a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Amazon (AMZN) to Offer Music Streaming for Just $5 on Echo
As per some media reports, online retail giant Amazon.com, Inc. (AMZN - Free Report) is set to launch a music subscription service that will cost just half of what its competitors charge right now.
Apart from its regular $10 per month subscription service that allows users to stream music, Amazon is also planning to launch a second service that will cost substantially less (just half of it). However, the service will only be available through the company’s Echo smart speakers.
The service will enable users to tune into unlimited, ad-free music. However, whether Amazon will charge $4 or $5 a month for the second service is not yet clear.
Amazon intends to launch both the services during the month of September. However, the deals with major music labels and publishers are yet to be finalized.
What’s the Big Deal?
Amazon currently offers a limited selection of music as a part of its Amazon Prime annual subscription for $99 a year. While the company is contemplating launching a separate music streaming subscription service for $9.99 per month like the ones offered by its rivals Apple Inc. (AAPL - Free Report) and Spotify, the decision to cut the rates even further may lead to a steep rise in the number of subscriptions.
Competition
Earlier, its competitors tried providing services in the $5 range. However, their efforts turned out to be futile as their offerings remained confined to web radio, which did not allow users to play their favorite music at their convenient time. Amazon’s discounted service will allow users to play their favorite music whenever they want on Amazon Echo speakers.
However, we note that Spotify and Apple offer their music subscription on mobiles. It remains to be seen how the recent service fares on Echo, an Internet connected speaker that works on Alexa (Amazon’s proprietary artificial intelligence).
Pandora Media, Inc. is also gearing up to launch its version of a $10 and $5 per month discounted music subscription service.
AMAZON.COM INC Price
AMAZON.COM INC Price | AMAZON.COM INC Quote
Zacks Rank
At present, Amazon has a Zacks Rank #3 (Hold).
A better-ranked stock in the broader technology space is Autobytel Inc. , sporting a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>