Neither Youtube or Spotify make any real money. Recommendation algorithms are the least of Soundcloud's worries as the platform just doesn't have any real business plan and just can't play the "growth game" anymore.
There is just no real money in selling access to or hosting digital music.
Soundcloud used to be a place for DJs. They died when they tried to go mainstream instead of focusing on DJs and selling them services.
Spotify looses money because they have to pay massive royalties to the music industry. Hosting content that is not part of that oligopoly should in theory be feasible, but of course it doesn't attract the same amount of attention. I wouldn't say it is a foregone conclusion though.
I hope you mean specifically on music, because that comment is laughable.
> Recommendation algorithms are the least of Soundcloud's worries as the platform just doesn't have any real business plan and just can't play the "growth game" anymore.
YouTube as of present day is profitable. To me, and I'm sure Google thinks the same too, the data they've amassed and are exponentially amassing far outweigh in value any notion of profits. This is about playing the long game, not focusing on quarterly earnings.
There is just no real money in selling access to or hosting digital music.
Soundcloud used to be a place for DJs. They died when they tried to go mainstream instead of focusing on DJs and selling them services.