Spotify Shuts Down Its Clubhouse Competitor

Spotify recently announced that it is shutting down its Spotify Live app. Spotify believes the standalone app no longer makes sense. Spotify will continue offering limited live audio via its main app. This will include listening parties. This is an amazing feature that allows fans and artists to connect virtually.

Spotify also confirmed that although the Live app is shutting down, the company will innovate and experiment with new formats for listeners and creators. Spotify launched the Live audio-only app under the name Greenroom in 2021. This app was built in response to Clubhouse, a social audio app. Spotify even went on to acquire Betty Labs, a live studio service, for around $67.7 million to help outshine Clubhouse.

When Spotify realized that Greenroom struggled to gain momentum, it changed its name to Spotify Live and moved it into the main app to help gain visibility. While Spotify believes that there is a future for fan and creator interactions within its ecosystem, it cannot survive as a standalone feature. Spotify has seen promising results with listening parties and will continue exploring similar avenues.

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