By the time SoundCloud launched its on-demand subscription tier early last year, its competition had already exploded: Apple had just joined the game, Spotify kept growing, and Amazon and Pandora were threatening to launch subscription services, too.
It’s no shock, then, that we haven’t heard SoundCloud loudly brag about subscriber numbers just yet. To help build those numbers up, SoundCloud is splitting its paid tier into two options today: SoundCloud Go lets listeners avoid ads and listen offline for $5 per month, while SoundCloud Go+ adds a Spotify-style on-demand library of music on top of its existing selection for $10. In other words, SoundCloud is offering a new $5 option for power users who don’t necessarily want the full on-demand catalog (SoundCloud still has 120 million tracks to stream for free).
The new tier is another revenue stream that comes as the company is facing growing financial pressure to stem losses–or find a buyer–before the ever-heating competition becomes too much to bear.JPT