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Pandora adds 40 hour monthly cap

Posted at 08 July 2009 00:40 CET by Randomus

Pandora founder Tim Westergren sent out an e-mail to Pandora newsletter subscribers and journalists updating Pandora users on several important topics regarding the company.

After 2 years of negotiations, Pandora and the record labels have agreed upon a resolution related to the Internet radio royalty fees, Westergren said in his e-mail. 

Pandora pays royalties for each song played and per listener using the service, which typically adds up extremely fast.  Unfortunately as part of the agreement, Pandora will now cap its listening per month at 40 hours per month, which will affect around 10 percent of the company’s listeners. 

The company will offer two alternatives for heavy Pandora listeners who want to continue using the service:

Users can keep listening when the 40-hour per month cap has been reached by paying $0.99 for unlimited access for the rest of the month.

The second option is the Pandora One service — which costs $36 per year — but includes unlimited listening, no advertisements, higher-quality 192 Kbps streams, a custom desktop application, personalized skins, and other features.

As one of the 10 percent of heavy Pandora users — I listen to Pandora almost every time I sit at a PC for more than 10 minutes — I’ll end up trying both the $0.99 per month plan to get unlimited music, but will ultimately upgrade to Pandora One at some point.  Considering the number of hours I use Pandora, paying $36 per year is well worth the cost for the higher quality tracks, custom application, and the rest of the goodies.

If you’re a Pandora listener, what will you do?

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There are 7 comments

Hemispasm
Retired Senior Moderator
Posted on: 08 Jul 09 17:20
    Just went to their webpage and got this message:

    "Dear Pandora Visitor,
    We are deeply, deeply sorry to say that due to licensing constraints, we can no longer allow access to Pandora for listeners located outside of the U.S. We will continue to work diligently to realize the vision of a truly global Pandora, but for the time being we are required to restrict its use. We are very sad to have to do this, but there is no other alternative"

    Was it always available only in the US or is this something new?
    Randomus
    MyCE Resident
    Posted on: 08 Jul 09 17:42
      Hemi: I'm not sure, as I'm located inside of the United States. IIRC it was available previously in Europe, as I know someone in France who said he used Pandora, but the service stopped working at the end of June.

      It'll be interesting to see if Pandora is able to figure out licensing issues to bring the service back to international listeners.
      BradWright
      MyCE Member
      Posted on: 08 Jul 09 17:47
        I've never been cut off from my selected music service; it has never quit working and I don't expect it ever will; there are no limitations on how much I can listen to it per month; the sound quality is very good; it plays the music I like; and best of all, it's absolutely free. What music service do I use? FM RADIO.
        XStylus
        MyCE Rookie
        Posted on: 08 Jul 09 19:27
          A buck a month? Cripes, even I'll pay that.
          Blu-rayFreak
          MyCE Resident
          Posted on: 08 Jul 09 19:37
            I'll try the buck a month, but will most likely upgrade to Pandora One to aovid ads and other annoyances.
            Big10InchRecord
            New on Forum
            Posted on: 09 Jul 09 04:52
              That totally blows! The teachers at my high school would leave Pandora on ALL DAY in the class room. I'm not talking a couple of teachers, more like the entire staff. I would be interested to hear if Pandora will be offering up a fee for business places such as schools that frequent their site.
              paulw2
              MyCE Senior Member
              Posted on: 09 Jul 09 10:00
                It's most likely got allot to do with this announcement."Web radio, music industry reach agreement on royalties" http://news.cnet.com/8301-1023_3-10281396-93.html?tag=mncol

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