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MixRadio shuts, and online music is still searching for a business model

Content still hasn't found a viable, scalable and sustainable business model online, and this is more true of music than any other segment. MixRadio, the service formerly known as Nokia Music, called it quits yesterday after 17 years of operations. It had been bought by Japanese messaging app LINE at the turn of 2014, and just a year ago, while the integration with LINE was in progress, MixRadio was trying to refashion itself as a messaging service (with Music). Clearly that never worked out. However, LINE Music, its sister concern, still remains operational. No reason has been given for the shutting down of MixRadio, but it's likely that the factors are the same, every time a music service shuts down: - A complex global licensing environment, with the lack of standardization in licensing agreements in many countries, including India. - Lack of predictability in licensing costs, and the ability of key music labels to increase prices - Cartelization among large music labels in some countries - Competition from highly capitalized platform companies such as Apple and Google, which have immediate consumer adoption at scale and lower customer acquisition costs. This follows the shuttering of Rdio and Dhingana, and we really don't know how long other such services will last. Also read: Want To Disrupt The Music Business In India? Here’s How Notes on the MixRadio shutdown No streaming on MixRadio or via its API Offline mixes will stop functioning after 30 days following their most recent client refresh Those who bought music from Nokia Music can…

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Written By

Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

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