Is Tesla About to Stream Music?

Reports last week said that Elon Musk had spoken to major music labels with regard to licensing music service for Tesla’s cars. The company did not refute the idea that music streaming is part of their upcoming goals.

Is Tesla into developing its own streaming music service?

News came out last week that Tesla will get involved with music streaming service and the hype went on building up since anything that pertains to Elon Musk, both the market and the media reacts strongly.

Exciting announcements in terms of music selection

During an investor Q&A session earlier this month, Musk toyed at the idea and even stated, “I do listen to music, particularly in the car. In terms of the music selection, I think there are going to be some exciting announcements in terms of the music selection. I think it’s very hard to find good playlists or good matching algorithms. We have something that works OK right now, but I think it could work really, really great. Yeah, there will be an announcement on that later this year. I think it’s going to be – this is going to be like the music you want to listen to.”

After a few days, Musk even tweeted via @elonmusk, “Try the new Tesla DJ station on streaming radio.”

Maximum happiness for Tesla customers

Tesla did not reject the idea that it is really getting ready for something surprising. A Tesla spokesperson even asserted, “We believe it’s important to have an exceptional in-car experience so our customers can listen to the music they want from whatever source they choose. Our goal is to simply achieve maximum happiness for our customers.”

Tesla’s potential audience

It is known that Musk has several whimsical ideas like a network of tunnels to alleviate traffic, high-speed hyperloop transportation and even colonizing planet Mars, however, analysts are considering a whole different perspective this time where they have compared Spotify AB (largest global streaming service) to the idea of Musk where the former is experiencing a mounting net losses due to over-the-top costs of song royalties where even having 50 million subscribers cannot answer for the escalating losses.

From the launching of Tesla’s Model S, the company has sold just more than 200,000 cars, yet it has a goal of producing 500,000 units annually before the year 2018 ends. But as analysts try to figure out a more sensible setup, and that is Tesla collaborating with Spotify or even Apple Inc or maybe acquiring Sirius XM Holdings Inc. or Pandora Media Inc.

Even so, it is still indistinct if the music service would be open to all or limited to Tesla owners or accessible only in their cars. Nonetheless, all music streaming services are aiming for a huge customer base in a wide range of platforms as probable.

Alright! If you want to be updated with the latest news about the latest market news and updates, subscribe now! Trade12 is here to answer any question regarding online trading, commodities, stocks, technology, and economy. Sign up for an account at Trade12.com or you can even download the Trade12 app. Available for both iOS and Android devices.