Amazon is in discussions to launch a free music streaming service, with Amazon monetising this offering through the implementation of ads, Billboard reports.
The goal of releasing such a service would reportedly be to give its users a free music streaming alternative to be used through its Echo speakers.
However, the service would not be expected to have as extensive a catalogue as a service like Spotify.
Amazon is reportedly planning to offer a “per stream” revenue model to record labels at first – regardless of how many ads Amazon sells.
Amazon already offers Prime Music as part of its Amazon Prime subscription, as well as Amazon Music Unlimited, which costs $9.99 per month.
This fee is reduced to $7.99 if users have a Prime subscription, or $3.99 if users agree to only listen through an Amazon Echo speaker.
Spotify is currently the only music streaming service that offers a free, ad-supported option, and this version has more users (116 million) than its paid alternative (96 million).