uploads///Apple Spotify

Will Amazon Launch an Echo-Only Music Streaming Service?

By

Updated

Amazon’s music streaming

Amazon.com (AMZN) is preparing to launch a cheaper music streaming service for its Echo speakers, Recode has reported. Citing industry sources, the report stated that the subscription cost would be somewhere around $4 or $5 per month, which is about half the price of what Apple (AAPL) Music and Spotify charge.

However, Amazon’s cheaper service will only be available on its Echo smart speakers, while Apple Music and Spotify function on a variety of devices. Amazon currently offers music services to its Prime members, but the service has limited music. Meanwhile, it has been working on another subscription service that would work on multiple devices for about $10 a month. The company is expected to launch both these services in September.

Article continues below advertisement

Increased investments in the UK

Amazon is increasing its investment in the UK (EWU) as the company is planning to open a new distribution center in Tilbury, England. The move is likely to create about 1,500 new jobs in 2017. This news came after the company announced a new fulfillment center in Doncaster, England, which is expected to create about 500 new jobs.

These new distribution centers should support the expanded operations of the company. Earlier, Amazon expanded its fresh food delivery service in the UK because the adoption rate for fresh online groceries is rising. Amazon’s quick delivery, low prices, and enhanced offerings should also position it to garner a greater market share in the UK.

Now let’s look at Amazon’s analyst recommendations.

Advertisement

More From Market Realist