Spotify announced on Monday that it will be shutting down its standalone live audio app, Spotify Live, previously known as Spotify Greenroom. The app emerged from the company’s $62 million acquisition of Betty Labs in 2021, which led to the rebranding of the Locker Room app and its expansion beyond sports content
Reevaluating Live Audio Approach
Spotify stated that after experimenting and learning about user interactions with live audio, they decided to sunset the app. While they believe there is potential for live fan-creator interactions in the Spotify ecosystem, a standalone app no longer makes sense. The company observed promising results with artist-focused “listening parties,” which they will continue exploring to facilitate live interactions between artists and fans.
At the height of the live audio trend in 2021, Spotify CEO Daniel Ek predicted that the format would become ubiquitous. He compared live audio to Stories in video, expecting every major platform to include it for audience communication.
Scaling Back Live Audio Ambitions
Towards the end of last year, Spotify canceled numerous live audio shows, indicating a shift from its previous ambitions. Nonetheless, the company isn’t alone in reconsidering its live audio strategy.. In May, Meta, Facebook’s parent company, announced the closure of several audio products, including Soundbites, a short-form audio-sharing tool introduced in 2021.
Moreover, other industry players have also been reassessing their live audio investments, as the once-burgeoning sector faces waning interest. The initial hype surrounding live audio, led by platforms like Clubhouse, has diminished, causing companies to revisit their strategies and focus on more promising, engaging features.
Consequently, as the live audio landscape shifts, businesses are exploring alternative methods to create compelling audio experiences. Podcasts, audiobooks, and interactive audio content are gaining traction, offering diverse and immersive experiences for users. In this changing environment, companies will continue to adapt and innovate to meet evolving user preferences and demands.
