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Spotify may get into the video streaming business

Music streaming service Spotify is considering getting into the increasingly crowded video streaming business.

The company is reportedly talking to some YouTube content creators and other production companies, CNET's Jeff Bakalar told CBS News.

"I still think it's in the preliminary stages," Bakalar said. "Spotify is just sort of feeling the situation out."

The Swedish company, which has 60 million users and 15 million subscribers paying $9.99 a month for ad-free service, has yet to turn a profit. But with its business model, Spotify has already served to shake up the music industry.

"I don't know if this will be an absolute shoo-in," Bakalar said. "But you have got to think Spotify has all these millions of subscribers. That is what you really look for. You look and see where you can expand. It seems like they are, at least, entertaining the idea of entering the video space."

The Wall Street Journal reported that Time Inc. and video companies Tastemade, Maker Studios and Fullscreen are among the companies talking to Spotify about the potential service. It is expected to announce its plans as early as this month.

But it's questionable whether Spotify can have the same impact on streaming video that it has had in the music business. It would be entering an increasingly competitive sector already dominated by the likes of Netflix, Amazon and Hulu. Just last month, HBO also announced it was also starting a streaming service, HBO Now.

  • Michael Casey

    Michael Casey covers the environment, science and technology for CBSNews.com