With big public raise foreshadow, the hasten is on to lead podcast distribution
Podcasting is knowing a Netflix moment. Global makes- from the ground-breaking Serial to Up and Vanished, and Tv crossovers such as Dirty John- and Spotify’s plan to spend up to $500 m on heading producers have impelled podcasts a hot media property.
Global monthly podcast listener chassis are forecast to grow more than six-fold, from 287 million in 2016 to 1.85 billion in 2023, according to the Ovum research company Ovum. In the UK, Ofcom says that virtually 6 million people tune into a podcast every week, double the number of five years ago.
” A Netflix moment is a very accurate characterisation of what happens to podcasting ,” says Hernan Lopez, the founder of the podcast studio Wondery, creator of hits including Dr Death and Over My Dead Body.” I would say we are reaching an inflection site. Huge numbers of individuals are realising that there is great material available that isn’t offered by traditional musicians .”
This moment has not been lost on Spotify. This week, it splashed more than $100 m on true-blue atrocity podcast manufacturer Parcast. It was the Swedish music and audio streaming company’s third acquisition in quick succession after expending $230 m on Gimlet, the house behind favourite podcasts including Homecoming, represented into an Amazon TV series stellar Julia Roberts, and the podcast pulpit Anchor.
Spotify has $200 m more to spend on improving the same position in podcasting this year. The firm has said it is a” safe assumption” that over period more than 20% of all listening on the service will be non-music content.
Like Netflix, moving into owning original material is a tactical requisite for Spotify, which prepares low-pitched perimeters from the music licensing bargains it has with the big three record labels.
The battle to be a big player in podcasting rationing, preceded globally by Apple, is intensifying with Google last June propelling its own services and the BBC, one of the biggest creators in the nations of the world, launching the BBC Sounds platform. This week, it emerged that the BBC has plucked its podcasts from Google, accusing the Silicon Valley giant of leading beings to its own service.