Spotify’s first big step into the audiobooks business was its acquisition of Findaway, which was announced last year. The audiobook platform is in many ways like Anchor. It allows authors to create, distribute, and monetize their work, and with the acquisition which Spotify will snag a key part of the audiobook ecosystem.
Spotify wants to make audiobooks the next pillar of its business. “We believe that audiobooks, in their many different forms, will be a massive opportunity,” Spotify CEO Daniel Ek said. “And just as we’ve done in podcasting, expect us to play to win.”
How the model will work is not entirely clear, but it appears that at least some of the audiobooks will be free. Ek said the freemium model will be applied to audiobooks, and content and ad business chief Dawn Ostroff said, “We’re looking at bringing ad monetization into audiobooks.”