It's Incredibly Expensive to Run a Music Streaming Site — So Consolidation Could Be On the Way

 

SoundCloud CEO Alexander Ljung. Flickr/Sorosh Tavakoli

Spotify isn't making any money. It's not even close to profitability. Its most recent accounts show it made a $194 million (£149 million) loss in 2015.

And if you thought that was bad, German music streaming startup SoundCloud's finances may make you wince. It lost €39.1 million (£33 million) on revenues of just €17.3 million (£14.9 million) in 2014.