Pandora One rate changes to take effect in May
Pandora on Wednesday announced changes to its Pandora One streaming service rate plans. Set to take effect in May, new Pandora One subscribers will be billed at a rate of $4.99 per month. What’s more, there will be no option to pay in an annual subscription.
[Since 2009]…the costs of delivering this service have grown considerably. For example, the royalty rates Pandora pays to performers via SoundExchange for subscription listening have increased 53% in the last five years and will increase another 9% in 2015
Customers who are already subscribed to the $36 annual plan will be migrated to a monthly $3.99 plan with “discounted loyalty” rates. Indeed, this is still a $12 increase for the year, or $1 per month.
Pandora advises that the new plans only affect about 3.3 million of its 250 million registered user base.
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