Spotify Could Copy Netflix To Stop Hemorrhaging Money
Spotify's public filings revealed the company is spending most of its money on fees for licensed content, as well as music royalties. Some venture capitalists believe the company could stem the bleeding by becoming its own music label. Netflix could be a prime example of what steps Spotify needs to follow. The same way Netflix became its own "movie studio" and production company with the release of its first original content series, "House of Cards," Spotify could do the same with musical artists.