Record Label Pressure Crashes Spotify's Party

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Mike Butcher
TechCrunch.com
Thursday, January 29, 2009; 12:56 PM

Music streaming startup Spotify is getting lots of plaudits from users lately for its ease of use and vast catalogue. But it seems the record labels don't like it that way. In a blog post the startup outlines how it will be removing a number of songs from its catalogue and adding country restrictions to some tracks, which may make them unplayable for many users. The changes are being made because record labels have slapped restrictions on Spotify's service.

The issue is to do with the publishing rights associated with compilations. A user in one country might be able to listen to a track on one compilation in their country jurisdiction, but to share that track on a playlist with a user in another country could affect the publishing rights. It's a bizarre situation to think that in 2009, then the out-dated DRM walls are already crumbling, that music streaming remains hobbled in this way. As the Sweden-based startups says: "┬┐our hope is that one day restrictions like this will disappear for good". See after the jump for their post.


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