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Beats Music said to be struggling with subscriber count in 'the low six figures'

Beats Music said to be struggling with subscriber count in 'the low six figures'


But investors are showing faith in Jimmy Iovine and Dr. Dre.

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Just because millions of consumers wear your headphones doesn't mean they're going to use your streaming music service. That's apparently a lesson Beats is learning the hard way. Billboard reports that Beats Music is off to a slow start and has put together disappointing subscription numbers in its first 100 days since launch. The total paid subscriber count is said to be somewhere in the "low six figures" range. And that's after a generous free trial window and a major marketing push. Beats showcased its young streaming music app with a perfectly timed Richard Sherman spot and a pricey Super Bowl ad. But industry insiders tell BIllboard that Beats Music isn't yet taking off like anyone had hoped.

The company was late to a market with established players like Spotify, Rdio, and Google Play Music All Access; many listeners have already picked a side. But Billboard also notes that music labels remain committed to Beats Music for the "long term." And investors appear eager to chip in, too. Beats Music is said to be nearing the close of another funding round that could see it raise up to $100 million. Spotify currently has over 6 million paying customers, so Beats seems to be growing at a healthy rate — even if it's not blowing away expectations.

Still, the competition is only growing more intense. In the same report, Billboard claims that Spotify and Sprint will soon partner up and offer free Spotify Premium access to the carrier's "Framily" subscribers. The name is still awful, but joining in may soon carry some extra benefits. Spotify CEO Daniel Ek is rumored to announce the business partnership on April 29th.

Correction: This article originally said that Spotify has over 2 million paying customers. The company has more than 6 million.