Spotify doesn't make profit from music streaming, despite having over 400M monthly active users, because it pays two-thirds of all its revenue to the rights holders.

4realz@lemmy.world to Technology@lemmy.world – 550 points –
Why Spotify Struggles to Make Money from Music Streaming
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It didn't buy the format and then cancelled it, it did it purely by providing a more convenient way of listening to music than downloading mp3s, so yes, it's a win

I personally think mp3's are more convinient. I don't have to use multiple subscriptions to access to platforms exclusivities , i don't need to worry about songs becoming unavailable. I have a big playlist on spotify with a lot of grayed out songs. Also, local music players are a lot better than any streaming service player.

Yeah, people often forget about the gray ones, even on yt music my music playlist that works fine on the video app, has some songs greyed out when I tried to listen to it inside yt music.