Spotify may upgrade its music app and compete with YouTube

Spotify already has more than 100,000 podcasts with videos, but the firm is now mulling adding full-length music videos to its app. This will help the platform to rival TikTok and YouTube.

According to a report by Bloomberg, Spotify has been trying to find ways to establish video – which is nowadays more lucrative than audio alone – as an important part of its app.

For the company, it’s vital not to fall far behind YouTube and TikTok. That’s also why musicians are already allowed to upload “canvases,” or looping GIFs under 10 seconds long, which feature on screen while music plays.

Earlier in 2023, another feature called “clips” was also added. These are videos shorter than 30 seconds long and are designed as a tool for artists to communicate to fans about their music – just like they do on TikTok.

In March, Spotify launched another TikTok-esque music home screen, allowing users to preview and swipe through surfacing videos before committing to listening to a full track. Finally, the firm said last week that it has already hosted more than 100,000 podcasts with video.

This growth “demonstrates the way we’ve put creators and their needs first, which enables creators of all sizes to benefit from the format and connect more deeply with fans,” Spotify said.

Bloomberg says the company probably mostly means the Generation Z audience, who are already hooked by YouTube and TikTok. YouTube obviously offers full-length music videos, but Shorts are increasingly popular too.

ByteDance, TikTok’s parent company, is also looking to expand its music streaming service Resso, which is already competing with Spotify in some countries. Resso recently shut down its free tier, but the new premium service is cheaper than Spotify Premium in countries like Brazil, Indonesia, and India.

Earlier this month, Spotify said it would cut 200 jobs from its podcast unit in its second round of layoffs, as it looks to restructure after years of heavy investment. In January, the Sweden-based company reduced its total workforce by about some 600 people.

The company has been trying to grow its number of paying subscribers. According to Bloomberg, it’s now planning to roll out a more premium subscription option called “Supremium,” which is expected to include high-fidelity audio.

It didn’t help, though, that Spotify was just fined more than $5 million in their home country after the Swedish Privacy Authority investigated how it handles customers’ right to access their personal data.