Alibaba Closes its Xiaomi Music Streaming App
Alibaba closes its Xiaomi music streaming app Decision marks setback over Alibaba’s ambitions in China’s digital music industry.
Alibaba announced on Tuesday, 5, that it will end its streaming platform Xiami Music in early February. Measure marks retrogression in relation to his ambitions in China’s digital music sector.
Xiami Music will end on February 5 “because of adjustments in business development,” said the online music arm of the Chinese e-commerce giant. “It’s hard to say goodbye after the platform has been with you for 12 years.”
The decision came after Chinese officials announced an antitrust investigation, the suspension of the Ant Group’s initial public offering (IPO) and amid the disappearance of Jack Ma, who has not appeared in public for more than two months.
Xiami Music was founded in 2006 and purchased by Alibaba in 2013, when the company entered China’s competitive online music market, which is dominated by Tencent Holdings.
The beginning of its decline coincided with the battle for musical rights in China. In 2015, the government began to crack down on copyright infringement and more than two million unauthorized songs were removed and users lost. It currently has only 2% of the country’s music streaming market, behind KuGou Music, QQ Music, KuWo and NetEase Cloud Music, according to Beijing data intelligence company TalkingData.
However, this does not mark the end of Alibaba’s participation in the online streaming market. In September 2019, the group invested $ 700 million in one of Xiami’s competitors, NetEase Cloud Music.
Alibaba Closes its Xiaomi Music Streaming App - /10