Billboard: “Behind the aftermath of the terrorist attacks in Paris, the announcement on Monday of a Pandora-Rdio deal became the music industry’s main topic of discussion this week. As Rdio files for Chapter 11 bankruptcy, Pandora has agreed to purchase some of the company’s technology and intellectual property, pending court approval, and will hire of some Rdio employees. One service has died so another can rise in its place.
Pandora will use Rdio’s failure as a springboard to launch its own subscription service in the U.S. some time in 2016. International expansion will surely follow, providing Pandora with revenue growth unattainable if it stayed put. Second, from a licensing and industry relations point of view, an on-demand service is fundamentally different from Pandora’s non-interactive service. As a result, the cold war between Pandora and the U.S. music industry (see this Billboard cover story from August 2013) must improve for Pandora to acquire the necessary rights. Third, rights owners and creators will benefit from the emergence of an experienced and popular streaming service. If Rdio had to be replaced by anything, Pandora is the best option.”
Read the full story @ Billboard.