Watch out, Spotify. Beijing tech giant ByteDance, the owner of TikTok, is plotting a new streaming service to rival Spotify and Apple Music, according to a Bloomberg report. While no release date has yet been announced, the app may launch as early as next fall.
Much like its competitors, the app will include a catalog of songs and videos available on-demand. ByteDance is also hoping to push subscriptions over advertising for revenue.
The company is working to strike deals with Sony, Universal and Warner, but has already secured licenses from Indian music labels T-Series and Times Music, Bloomberg reports.
But ByteDance isn’t the only one to set its sights on India. Spotify recently launched in India, facing a market crowded with more established local services like JioSaavn and Gaana.
Despite struggles in India, Spotify remains a clear leader on the streaming scene with 217 million monthly worldwide users and 100 million paid subscribers. But Bloomberg also points out that Spotify is missing untapped markets in Asia, Africa and the Middle East, as the regions make up only 10% of Spotify’s base.
In China, ByteDance is competing with streaming services like QQ Music and NetEase Cloud Music that continue to dominate markets.
Thanks to TikTok, though, ByteDance already has a foot in the door of the music industry. Its light-hearted lip-sync clips have launched the app and many of its users to stardom. TikTok and its Chinese version, Douyin, are some of the most popular App Store apps with more than 500 million downloads.
ByteDance previously acquired the hugely popular app Musical.ly before merging it into TikTok. TikTok has also made recent waves because of Lil Nas X’s “Old Town Road” became a global phenomenon through the platform.
With TikTok’s already-established track record in the music industry, it will be interesting to see how its owners fare when pitted against music streaming giants like Spotify and Apple Music.