Dec. 11 (Bloomberg) -- Rock fans can now get their Led Zeppelin fix on a phone or tablet for free with a new app from music-streaming company Spotify Ltd.
Starting today, Spotify will offer a free ad-supported service for mobile devices in the U.S. and other countries, Chief Executive Officer Daniel Ek said at an event in New York. The company also announced that it has secured the first license to stream music by Led Zeppelin, the classic-rock band behind such anthems as “Black Dog” and “Stairway to Heaven.”
New agreements with music labels are boosting the service’s appeal to listeners as it competes with Pandora Media Inc. and Apple Inc.’s iTunes Radio -- as well as new companies entering the streaming market such as Google Inc.’s YouTube and Beats Electronics LLC. Spotify already has offered a free ad-supported service on computers and a $9.99 monthly ad-free plan on mobile and other devices.
The closely held company lists more than 24 million active users and 6 million plus paying subscribers. Spotify, which Ek founded, is now available in 55 countries, he said.
Shares of Oakland, California-based Pandora fell as much as 2.7 percent to $28.46 after the Spotify announcement.
--Editors: Nick Turner, Niamh Ring