What was once free, will still be free but with commercials. Pandora.com is the most popular free music site in the world which allows users to stream radio stations that fit their genre and best of all it did all of this commercial free, until now. They have added 15-second commercials to the mix now as a way to generate revenue. I believe the site has found users launch the site in a tab and allow the music to stream, the users never look at the advertisements on the site itself. The founder has promised the site will never run as many ads as mainstream radio broadcasts but it must do something to come up with more revenue to stay afloat.
During their trials of the new commercials user would experience a 15 second commercial after playing about ten songs and then again after another 20 songs. This certainly isn’t as bad as broadcast radio and I don’t think users will mind too much if it keeps the site from closing down. The CEO of the company said users on average will hear a 15-second commercial about every two hours. If you don’t want commercials at all users can pay $36 a year currently to get the service commercial free which includes site ads and streaming ads.
“Like any business we have costs, and we have to figure out a way to make it work” the CEO said during a phone interview.