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Brier Dudley offers a critical look at technology and business issues affecting the Northwest.

June 26, 2012 at 2:05 PM

Yahoo! hooks up with Spotify!

Aging Web portal Yahoo just announced a big partnership with the hot music service Spotify.

The deal brings Spotify’s cachet to Yahoo and gives Spotify access to Yahoo’s still huge online audience of nearly 700 million monthly users. Spotify now has about 10 million users.

The hookup may give Yahoo a better chance of competing with new media services that other Internet giants are rolling out this year, including continuous updates to Google’s Play store and service and Microsoft’s upcoming Music service for the Xbox, PCs and phones.

Spotify will first become part of Yahoo’s music channel and later be blended into the rest of Yahoo, including its entertainment sites. Yahoo is also developing a new app for Spotify that will include Yahoo entertainment content, according to a release.

“At Spotify we want to light up the Web with music and as Yahoo!’s global music partner we’re able to reach their massive audience,” Daniel Ek, Spotify founder and chief executive, said in the release.

Yahoo’s interim chief executive, Ross Levinsohn, said “together we can provide the ‘soundtrack’ for users around the world.”

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