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Sunday, July 27, 2014

The Listeners. The Cost Of Listeners.


CEO Brian McAndrews threw out some impressive listener stats during the conference call Thursday night. Pandora has 76.4 million active users, 250 million registered users, and over 6 billion stations have been created. Pandora has 7 million unique users through its native automotive integration, listening for about six hours per month (outside the car listeners averaged 21 hours in June) and total listener hours grew 29 percent year-over-year, to 5.04 billion. The cost for all of that listening, what Pandora calls content acquisition costs, was $111.5 million for the quarter.  

(7/25/2014 7:55:45 AM)
Interesting: 75m active users and 6 BILLION stations created is about 100 stations for each active user. The low barrier to creation also leads a lot of content that never gets listeners.

30% of registered users are active users.

(7/25/2014 5:29:42 AM)
Pandora is the new normal for music radio. Signals are now streams, and stations are narrow (artist or song-based) genres listeners choose. Most importantly for terrestrial radio, the record industry has succeeded in nailing down a copyright regime in which every song played is a performance for which the source gets paid. It's just a matter of time before terrestrial radio falls into line. If the costs are what Pandora pays, how much music will disappear from what's left of the old dials?

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