Internet Radio: New Business Models Will Define Growth

Pure-play (online only) Internet radio and music streaming services continue to experience relatively high consumer usage, although revenue stream development remains key to the future.

“Over the last 18 months a number of dominant pure-play regional Internet radio and music streaming companies have emerged with substantial user bases, notably Pandora in the USA and Spotify in the UK,” says David Sidebottom, Senior Consultant, Digital Media at Futuresource Consulting. “These services offer many attractions, such as personalisation, playlists, social sharing and access from any device connected to the Internet, though competition is prevalent – in the USA, ad-free subscription satellite radio SiriusXM is one such example.”

The regular Futuresource consumer research study, ‘Living with Digital’, shows that the number of US and European Internet users listening to Internet radio or music streaming services on a regular basis has remained relatively unchanged since 2009, at 38% in the USA and 30% in Western Europe. However, the study also shows that total Internet radio listening hours in these territories has increased by 27% and around 20% respectively.


Source : Futuresource


A key driver of usage is mobile, which now accounts for around half of listening hours for pure-play, using apps on leading smartphone platforms like iPhone and Android. Additionally, 70% of conventional radio listening in the USA takes place outside of the home, including in vehicles – a market currently led by SiriusXM. Therefore, increasing use of smartphone Apps, connected devices and the march of mobile broadband are all key to a sustainable future.


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My name is Alex Kerr my first LIVE online radio show was with another station based in essex. the year was 1998.

Good old dial up, and by god it was slow but the show went out fine. I have been interested in radio since i was 10 years old. I built my own studio at 11 years old and used it to start a local talking newspaper for the blind, back in 1982 today its still going strong.

Now with the technology growing Broadband was born, and this helped launch even more online radio stations in the UK.

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So, if your thinking of starting an online station here in the UK then this is the things you will need to know, the choices are up to you.

I will give you my honestĀ  opinionsĀ  on each provider, but please be aware i get Nothing from any company or provider. I do this ti share my experience and help others to achieve their online radio goals.