The world is familiar with the unbounded entrepreneurial aspirations of Elon Musk so it does not come as a surprise that the Tesla CEO is poised to launch a new venture. According to tech website Recode, Musk-owned Tesla, the electric car company is considering starting its own music streaming platform.
Sources familiar with the matter state that although Musk is mulling over this newly thought of project, Tesla has gone ahead and spoken with major labels in the music industry with regard to acquiring rights to stream their albums and songs from the most popular and biggest singers and music composers in the world.
Acquiring rights and collaborating with key music labels is generally the first step one takes before starting any new commercial activity associated with music.
Tesla music streaming platform to have a niche audience base?
Considering Tesla does go ahead to launch its own streaming platform, it is highly likely that the company will be serving its rapidly growing customer base. Although Tesla may still be considered a niche car manufacturing company in the automobile world, the organization is giving tough competition to established car brands. A Tesla owner currently can listen to a music streaming platform inside his/her car by simply linking the app with the car’s music system. However, Musk appears to be trying to keep things exclusive and the company is interested in increasing the number of features they will be offering.
Plans for music streaming platform
The report published in Recode does not mention whether Tesla will be making the music streaming available to consumers who do not own a vehicle from the company, or when the new venture will be launched. However, it appears that Tesla wants to present the music streaming platform to consumers on several different levels, each of which will represent different price points.
According to Forbes, the strategy is a good one as only few music streaming platforms have been able to perfect that plan, while only very few ventures have tried it out.
If Tesla succeeds in delivering its music service to ardent music lovers who are on the lookout for different features under different pricing schemes, it stands to make a fortune as this would give the company the edge it would need to stay ahead of its competitors.
However, to gain mass appreciation, the carmaker will need to make this service available for all and not just Tesla car owners. When approached, a company representative neither denied nor confirmed the rumor, but stated that it strives to provide an excellent “in-car experience” so that the consumers “can listen to the music they want from whatever source they choose.”
