After spending billions of dollars in advertising and acquiring dozens of radio stations, YouTube is poised to become a major player in the music industry, but it faces major regulatory hurdles.
With the advent of streaming services like Spotify and Pandora, the music and audio industries are now facing a huge competition for consumer attention.
But in order to succeed, it will have to do something other than simply give up its business model.
According to the industry’s own estimates, Netflix is poised for a $9.6 billion loss, as the company continues to lose money on its $6.6 trillion valuation, while streaming music revenue is expected to fall about 20%.
That said, some of the biggest challenges for Netflix are already in the works.
The streaming service has struggled to find the right content for consumers, and it will need to invest more money in new music licensing, as it has in acquiring a variety of radio networks.
The company also needs to make a lot of investments in its network, which has already been overtaken by Amazon Prime Video and Apple Music.