Apple Music Chief Jimmy Iovine Suggests Spotify Is in Trouble

Apple (NASDAQ: AAPL) and Spotify are the dominant forces in music streaming today. The companies command over 90 million paid subscribers combined, which represents the vast majority of the industry's paid subscribers, which hit 100 million earlier nearly a year ago. The continued growth of paid streaming is helping the U.S. recording industry bounce back after years of malaise.

At the same time, Apple has grand ambitions with growing its services business to $50 billion by 2020, with Apple Music playing a meaningful role. Sadly, music streaming is not a great business, even for Apple. The Mac maker is fortunate enough to have a ridiculously profitable smartphone business, but the same cannot be said for larger rival Spotify.

Image source: Spotify.

Source: Fool.com