How much is Google getting from Spotify?

Spotify in the month of February this year announced to the world that it is going to take Google Compute Data Center infrastructure on lease for all its computing needs. Thus, with the declaration, Spotify has become Google Compute’s first high profile customer to go public about its computing needs.

Going deep into facts, Spotify’s Music Streaming Service is available in close to 60 markets globally, hosting more than 2 billion playlists and streaming more than 30 million songs. Thus, from now on, Spotify will use Google’s Cloud Compute Storage and Networking services, as well as its data services, such as Pub/Sub, Dataflow, Big Query, and Dataproc. On a gradual note, the company will transit from an on-premise to an all-cloud infrastructure model by this year end.

While flexibility of cloud infrastructure and the ability to outsource the scaling headaches are big benefits over running own data center, cost is the single most crucial factor, especially at the scale of a service like Spotify.

For this reason, Spotify wanted to get rid of its data center infrastructure management headaches and so choose Google Cloud for all its computing needs. In return, Spotify is estimated to pay $290.000 per month for Pub/Sub alone

Since, Google is getting more in this deal via ad revenue; the internet juggernaut is giving a discount to the music provider for its other infrastructure needs.

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