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Spotify: A Massive P2P Network, Blessed by Record Labels

For years the music industry has seen P2P technology as the single biggest threat, claiming that file-sharers are responsible for billions of dollars in losses. However, P2P technology is also part of the music industry’s future. One of the major revelations in the music business, the streaming service Spotify, is actually one of the largest file-sharing networks on the Internet.

spotifyWhen Spotify launched their first beta in the fall of 2008, we branded it “an alternative to music piracy.”

Having the option to stream millions of tracks supported by an occasional ad, or free of ads for a small monthly fee, Spotify appeared to be serious competitor to music piracy.

In the two years that followed Spotify rapidly won the hearts and minds of many music fans. Currently limited to a few European countries only, the service has already amassed more than 10 million users and over a million paid subscribers. A true success story, which has been recognized by the music industry on various occasions.

What’s often overlooked is that Spotify is in reality one of the largest P2P networks on the Internet. No surprise, since one of the lead engineers from the start is none other than Ludvig Strigeus, the original creator of the BitTorrent client uTorrent. However, not much is known about this private P2P network.

Using P2P technology allows Spotify to use less servers, less bandwidth and have a better up-time. And it appears to be working. In fact, of all the tracks that are streamed over the Internet by Spotify users the majority come via P2P connections. Since they’re dealing with copyrighted music, all transfers are totally anonymous, encrypted and secure of course.

Let’s take a look at some data provided by Spotify on their three main music sources.

spotify

As can be seen in the graph above most tracks are played from the local cache. These are songs a user has listened to before, and those files are stored on the local hard drive. Of all the remaining tracks that are played, roughly 80% are accessed via the P2P network.

What’s further notable is that P2P performance is most efficient during peak hours and in the weekend. In the graph provided by Spotify the share of P2P traffic peaks on Saturday evening.

Spotify’s P2P network uses various influences from other file-sharing platforms. It uses both a BitTorrent like tracker and a Gnutella style network, but is specifically tailored towards playing relatively small files. Since it’s dealing with streaming, the first bits of a song are prioritized while slow peers are rejected.

This custom P2P solution guarantees what is one of the most important features of Spotify, a very low latency. Tracks have to start almost instantly, and with a median delay of 265 milliseconds it lives up to this expectation. Quite remarkable for a P2P-powered application.

So finally, there we have it. A massive P2P network that’s fully supported and even partially owned by the music industry. Who ever thought that would happen?

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  • http://twitter.com/ClySuva ClySuva

    And yet spotify is only available in couple of countries…

    • Anonymous

      At least it’s an Europe-only thing (as opposed to an US-only thing)

      • Brazillian

        And the rest of the world…?
        They can choose between piracy and being butt raped by the labels.
        I’ve made my choice.

    • http://twitter.com/icanhazsake Ninja

      Shows how MAFIAA doesn’t really want to engage in some serious alternative to file sharing.

      Oh, VPN and you can use it ;)

      • Anonymous

        Actually, if you get the premium account you can use it anywhere in the world ;)

      • James Plotkin

        Your wisdom is boundless.

        One thing has nothing to do with the other.

        Spotify is a music service. Only someone here would use this solid and well thought out technology (that will hopefully find it’s way into Canada and the US one of these days) and use it as a tool for negative commentary. We get it…you don’t like the Motion Picture Association of America (or are you referring to the clowns at the RIAA…I’m never sure).

        What does MAFIAA stand for anyways? Is it an acronym or are you even less creative than you appear to be?

        • Deadxsouls

          MAFIAA (Music and Film Industry Association of America)

          Do some fucking research before you talk shit about someone.

          And it IS a tool for negative commentary, because the MAFIAA refuses to acknowledge it as a viable alternative to phyiscal CDs.

          I call troll.

    • Haxor

      spotiWHAT?

  • Cavelord

    I wouldn’t mind having that p2p technology to use…anonymously…I like that word.

  • http://www.YouMeUs.in linusr

    so spotify users are also uploading while listening to songs.. are they aware of it?

    • http://www.facebook.com/people/Isak-Rogne/780935216 Isak Rogne

      I’ve been using spotify since it first came. And yes, I’ve always been well aware how it works and that I’m uploading.

      It’s quite well explained on the spotify site.

      • Haxor

        so your paying for distribution that the labels charge you for …i see…retards abound using spotify….go figure…guess capped users are fucked

  • Guest

    It’s supported by MAFIAA because it makes sure the artists have no chance of being paid…

  • Trespass

    I’ve heard about Spotify for awhile now, but living in the US, never could get it. I realized that my VPN allows me to choose a server in the Netherlands. With the VPN, I can create an account and start listening.

    It is a very sweet program and much better than the sites, Rhapsody, and Jango, that I had been using.

    Probably works with a proxy from an European country as well. Anyway, just a thought for those who live outside the countries served.

  • http://profiles.google.com/quasit.lair quasit quasit

    “It is a very sweet program…”

    I don’t really think so. IMO two major missing features:
    -Custom global keys.
    -Remembering queue and history between sessions (they are both cleared when restarting).

    I doubt they’ll ever add these features (they were requested years/months ago). They’ll just make the Free account even more useless (max 1 play?) to make people pay Unlimited/Premium (I just started subscribing Unlimited), while never improving the software.

    • Trespass

      I just got it after reading this article. I played a couple of songs, seems easy to use. It seems better than what I have been using. So what do you get for the unlimited package?

      I guess I need to look at the website closer. Not really sure what you get with the free account…

      • http://profiles.google.com/quasit.lair quasit quasit

        https://www.spotify.com/uk/get-spotify/open/

        They recently changed the Free/Open account to max 5 plays/song (new) and 10 h/month (previously 20h). They might as well change the Free account to so kind trial account.
        Though I don’t really mind paying. But as I only have an iPod Nano (4th gen) I can’t save playlists on it, so I still pirate music. Maybe it’ll change when/if I get an iPod Touch.

        • Trespass

          That is a trial. I guess I’ll stick to what I use and obtain the rest with my usual methods… Thanks for the info.

    • UncleFkr

      “They’ll just make the Free account even more useless…to make people pay Unlimited/Premium…while never improving the software.”

      Isn’t that just the record company way though?

      1. Establish business model
      2. Milk said business model for all it’s worth, all the while steadfastly refusing to ever change it even marginally, more so once it has become obsolete.*
      3. Profit!

      *(I should add 2a. Sue everybody who tries to make a better model, but then ultimately buy a company who has and pay the artists very little revenue from it.)

  • I am a sausage not a hotdog

    Well don’t trust the industry so fast. What they want to do to file sharers such as the protect-ip then this other law about putting people in jail for embedding Youtube videos to other sites.No fancy name just Senate bill 978.The riaa will continue raping innocent people for loving music. Screw the industry!! independent artist must continue fighting against the industry. Which in reality all they are saying is “consume” “obey”!!!
    I hope spotify works out but don’t be surprised if the industry starts asking for ip addresses to continue their little schemes.

    • Ven

      The labels own a good portion of Spotify, so I doubt they will do that anytime soon.

      • Sybil

        A bunch of the labels were ready to pull out and kill the project because the ad revenues are non-existent – that’s one of the reasons they opted to further limit the free services.

        • Guest

          If something isn’t producing any money, isn’t that a good reason for a business to disavow it? They aren’t under any obligation to support something that can barely cover its own overhead, much less turn a profit.

        • Guest

          Facebook made massive losses for the first few years. Methinks they will stick by it.

      • James Plotkin

        Agreed. Look. I understand the pessimism. It’s taken over 10 years for the labels to realize that the power of online file-sharing (P2P or otherwise) can be harnessed to create revenue.

        One important thing we (consumers) must realize is that money literally makes the world go round. I hate the fact that one of the largest revenue streams a record label has is litigation against its customers. That being said, it isn’t a big surprise seeing as how they see themselves hemorrhaging more and more money every years with declining record sales.

        When the record industry jumps into a forward thinking idea like Spotify or Grooveshark etc. we (again, the consumers) should be supportive of the model. None of the labels are in this for charity; we still want their product though. This is a rare opportunity to bring into harmony the interests of consumers and rights holders.

        Contrary to popular belief, we don’t have to be in a “copyright war”. I agree that most of the effort has to come from the labels in that they have to completely rethink the way in which they make money. But when they finally do, it’s our responsibility as consumers to reward them for not being big raging douche bags by buying into this mutually beneficial service.

        WELL DONE SPOTIFY GROOVESHARK, PANDORA AND OTHERS!

        Let’s keep everyone in the money and end the seemingly endless current of copyright litigation against normal people who just want to listen to and enjoy music.

        (P.S. great article Ernesto)

    • Ven

      The labels own a good portion of Spotify, so I doubt they will do that anytime soon.

  • http://www.mafiaafire.com eZee

    What I like about Spotify:

    If on the Mac you can use WireTapPro to “record” whatever is streaming.

    If on windows, too many damn programs to mention :) Just do a Google search.
    If it can play through your speakers, you can capture the stream – and save it.

    Why:
    No other reason than to know I have my tracks “locally” and do not have to depend on a service or internet connection plus I can move my tracks onto other media (like a MP3 player or external HDD/USB stick)

    But thats illegal:
    Not my problem outdated laws are trying to stifle my generation.

    Best of all:
    It truly is totally anonymous! The holy grail!
    There is no way someone can track you or use *even* DPI to see that you have “recorded” this music.

    And finally:
    A big “up yours” to the anti piracy companies and the RIAA.

  • http://www.facebook.com/mined Adam Karlsson

    Been using it since Beta, and I have to tell you. I’ve never looked back into music piracy. Its a great service, with offline sync/streaming to your phone and loads of songs. Playlist making? Yep, indeed. I always have my playlists with me (parties, on the bus, at work e.t.c).
    It is also very cheap, 99 Swedish crones for ad free and loads of awesome features.

    There might be an US release for the serivce soon (its closer then ever), so do not worry.

    • DarknezzMadnezz

      LoL
      so how much have you been paid to boast over them? TF has done enough, keep in mind that the site is only going to turn around and bite all of you in the ass soon enough.
      Remember who told you first.

      • Guest

        No, really, it is pretty good.

        Big media is finally giving consumers what they want. I agree with Adam, I’ve been downloading a lot less because they can give me what I want, where I want with no hassle.

        The pirates have forced this change, we should be proud and TF has always reported on new ways of doing business, negative and positive.

      • James Plotkin

        my reply above to Ven is a concise and cogent answer to your position. Please read it negative nancy

    • Anonymous

      I hope there is a US release of this soon, I can’t wait to start burning Albums & selling them out front of my local supermarket for $5 each!

    • Anonymous

      I hope there is a US release of this soon, I can’t wait to start burning Albums & selling them out front of my local supermarket for $5 each!

  • Anonymous

    “Spotify: A Massive P2P Network, Blessed by Record Labels”

    So spotify is making money for the corporation of parasites hum?

    Ok. We are going to fuck it up then after we are done with itune.

  • Guest

    Adam Karlsson corporate paid troll.

    Good try but. . .

  • Guess

    eZee=Adam Karlsson=corporate troll. Singular.

    Tell your bosses parasites that we are going to fuck up Spotify and their corporations of criminals too.

    • Anon

      Is there any reason why you are attacking this guy without knowing anything about him? He hasn’t said anything offensive. He is merely pointing out that he is a long time customer and likes the service. Is it wrong to say you like a service?

  • Pingback: P2PTalk » Spotify: A Massive P2P Network, Blessed by Record Labels

  • Yaho

    ahh I’ll stick to freenet and frost

  • Anonymous

    The mighty P2P wins the popular vote again then.

    Spotify, facebook and many others all desire to minimise their server load while speeding up transactions.

  • CharlieCaine

    If I chose to support an artist who was offering an album on a “Pay what you want” basis I would feel pretty harsh giving them £5.

    But on Spotify that pays for a whole month’s worth of music… How does that work?

    Also – how the FUCK does Sainsbury’s manage to sell a pineapple for £1 ?!?1? Where the fuck do those things come from anyway?

  • Noone

    http://pansentient.com/more-on-spotify/spotify-mia/

    The somewhat “hidden” problem with spotify IS the involvement of the corp’s. The list above is outdated but I have seen reports in the past (unfortunately was unable to find the ones I wanted to quote) where artists have requested removal DUE TO NOT BEING PAID!!!

    So just goes to prove that it is a money making scheme for everyone but the artist again in my opinion. I joined on its first live day & thought it was brilliant even with the adverts (they are liveable). I rarely used it though coz there were too many missing holes (groups/artists/tracks).

    I was going to go back & try it again when it had had time to gain momentum UNTIL I saw reports of artists being owed money but not seeing any payments (this was over a year since it had started) YET all the music companies had seen 2-3 payouts by this time.

    So again FATCAT GREEDY CORPS POCKETING THE CASH!

    I’ll “Spotify” my own music thanks!

    • Noone

      PS The link included above is old & outdated but as far as I am aware there are still many artists unwilling to allow there music on.

  • Anonymous

    The free service is getting more and more crippled was good when it started but is much less so now lots of artists have opted out as they don’t like being ripped off.

  • Anonymous

    The free service is getting more and more crippled was good when it started but is much less so now lots of artists have opted out as they don’t like being ripped off.

  • Shi Lei

    Spotify also has an amazing classical music catalogue:

    http://www.spotifyclassical.com/

  • Razza

    Meh. I don’t really see any reason to care. In order to get any good service from them, I’d still have to pay. I’ll stick with piracy until everything is free.

    • http://www.facebook.com/people/Tom-Evans/549591812 Tom Evans

      good luck with that LOL

    • James Plotkin

      Again…See above reply to Ven. You do realize that in its purest and most uncorrupted form (i.e. in theory) copyright is very good and very important. It stimulates innovation by incentivising it monetarily. This is good for artists because they make money fort their art and good for people because there’s more art to choose from (because artists are more primed to create knowing their stuff won’t just get stolen by people like you).

      You absolutely must understand that though the current system is broken, stealing indiscriminately, even from the artists you claim to be a fan of then what are you other than a douche bag. I mean, the primary criticism against labels is that their parasites that profit off the backs of their artists while in many cases under-compensating them. How are you any better if you just outright give them nothing at all. You make the label paying out 36 cents a copy look like a good guy.

      We’ve all pirated at one time or another. It’s all good. Just realize that your wait till it’s all free strategy is uber-flawed on soooo many levels.

      • Razza

        Art should NOT be fro pprofit. It demeans the art. Artists should create in thier free time, and get a real job like the rest of us.

        If it can be infinitly replicated, it is worthless. If it’s worthless, I won’t pay and it’s immoral of them to make me pay.

        • Sidewaysvagina

          ever had a proper arts job? i will take that as a no.

      • Friend of the People

        One thing James; it’s true that the artist receives a comparatively small profit from any records sold (and some receive next to no profit at all), but there’s a reason for that. The record company serves almost the same purpose as an investment firm, putting capital forward for the artist and providing for marketing and publicity. This is what is necessary for artists to become well-known enough to have really successful tours that provide most of their income. The profits on copies are voluntary given up to pay the company that put the money forward and allowed them to grow.

        In the internet age, we should embrace artists who can find other ways to grow and develop besides record companies. We can try to support those who use alternate forms of marketing, but we have to recognize that at present time, nothing is more beneficial to an artist’s growth than the investment of a record company.

        Prices should go down to match the lower costs of distribution, but we can’t just attack the record companies without recognizing that without them, many artists would have no means of achieving higher publicity.

  • FreeThings

    Making money off other people’s work. Wait, wasn’t this when pirates dont like piracy anymore?

  • Anonymous

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  • Haxor

    p2p vs spotify:
    ——
    p2p:i download free , get what i want free of ads, and can listen over and over and over anywhere i want.
    Spotify: pay per play, regionally based and can only be done via your place where you get said account.

    P2P WINS AGAIN…..

    • http://www.facebook.com/people/Tom-Evans/549591812 Tom Evans

      except P2P is illegal

      not that I give a shit.. just saying

      • Ombongo

        Nobody here gives a shit, but people choosing Spotify could take some of the pressure off P2P.

        (and, not to split hairs, but P2P is completely legal: it’s what you share that ain’t)

        • http://www.facebook.com/people/Tom-Evans/549591812 Tom Evans

          yeah, I knew that, figured people would just reach the (obvious) conclusion however

    • Killatron3000

      It’s pay per month and you can sign into your account on any machine in europe. The cost is tiny for unlimited plays and no ads – if they raise it then I’m off, but they haven’t so far.

      Since I only really listen to music at home and at work Spotify is win for me.

      If I want to listen to something in the car I can fire up utorrent (at home or at work) and get it that way. It’s not a fight, they’re both just ways of making music come in your ears.

  • I used to download

    I used to be hardcore music downloader, with a library of over 500,000 songs. Pretty much stopped after getting spotify, and today im a proud subscriber of Spotify premium.

    Spotify is gonna be the death of music piracy.

  • dasime

    I’m a Brit-fag and I pay for Spotify Premium because that unlocks unlimited free streaming to my iPhone and I can cache the music for offline playback. So make a playlist on the PC, sync it over wifi to my phone and then build on it wherever I am.

    It’s brilliant for sharing music with mates and for house parties. This is how music should be.

  • Jazzy

    I’m a huge fan of Spotify, and I use a premium account in the US. It eliminates the need for me to take up tons of space storing my music to my phone, because i can just make playlists on my computer and then they’ll show up on my phone when I log in automatically. Yes, it’s expensive, but I found a way around that too… not something I’ll share but hey, there’s always ways to circumvent the “system.” I still have my penchant for FLAC, but as far as daily listening, Spotify is my ultimate choice.

  • Pingback: Gráfico de la red P2P de Spotify - eConectados

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  • albertaredneck

    Personally I use Napster & pay for it , BUT not all music I require is listed in their database so when I cannot find a particular track I will go to a torrent site to get it. This is about as much compomise as I will make as I am not listenig to new music. Igrew up in te sixties listening to good old rock & roll and I’m sure the artists have made a ton of cash over the last thirty years from their tunes. But as I said i do pay napster unless they don’t have what I’m looking for.

  • http://www.facebook.com/people/Tom-Beaman/100002545239528 Tom Beaman
  • http://www.facebook.com/people/Tom-Beaman/100002545239528 Tom Beaman
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