Yes it is possible to go the original content route. You can see a similar push happening with Netflix and Amazon Prime Video in India. However, I’m not sure about the returns. There are music labels in India such as T-Series etc. that have done phenomenally well. The opportunity exists. It is a different matter whether Spotify wants to build something sizable in India. There are so many other issues they’ll have to reckon with:

  • Running a music label is not the same as running a tech company
  • I don’t even think Spotify has built a similar label business anywhere else in the world. Would it then make sense to build something in India? Probably not.
  • How does the size of the Indian market compare with that in US or other countries and is it even worth spending so much time on creating original content when the returns might not be the same as the in US or other countries.
  • The soundtrack of Indian films contribute 80% to the country’s music revenue. With films dominating the music business as well, is there even an opportunity to create a label that produces just music?

Principal Product Manager @ ThoughtSpot

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