Mumbai-based Music streaming platform JioSaavn has received INR 140.35 Cr from its parent company Reliance Industries Limited. This is the 4th time this year, the parent company has fueled money to the streaming platform.
Last year in March, Reliance’s Jio Music and Saavn merged to strengthen their hold in the Indian Music Streaming market jointly, and their combined valuation was secured at $1 Billion at the time of the merger. JioSaavn was said to be a media platform of the future with global reach, original cross-border content, an independent artist marketplace with consolidated data and one of the most prominent mobile advertising mediums.
JioSaavn is doing well with over 100 Million monthly active users with audience across 150 countries. It offers more than 50 Million tracks in 15 regional languages which include Hindi, Tamil, Telugu, Punjabi and Gujarati among others.
The Indian Music Streaming market is presumed to hit a user penetration of 7% by 2023, from the current 6.5%, which, considering India’s current population can make a huge difference.
According to KPMG’s Media and Entertainment report 2019, the industry in India posted substantial growth of 13% during FY19 to reach a size of INR 1631 Billion with a CAGR of 11.5% over FY15-FY19.
On the other hand, Spotify launched in India in February. Along with a free subscription model with ads and no offline storage, Spotify offers a premium tier at INR 119 per month along with a 30-day free trial for new users. The company claimed 1 Million downloads in the week after launch. Two weeks after Spotify, YouTube Music launched in India on March 12. Besides a free ad-supported version, YouTube Music has a premium version for ad-free music for INR 99 per month. The company said it has got 3 Million downloads within one week of its launch. With about 100 Million monthly active users (as of March 2019), Gaana has been leading the online music streaming charts in India.