Good morning readers. It seems like Spotify's playing hard to get with lyrics for free-tier users, hinting they might just be a Premium perk. While they claim it's "only a test," it's clear the freemium model's glow-up days are behind. Remember when Spotify and Taylor Swift had beef? For those who don’t, Spotify went to bat for it’s free tier model amid a spat with T. Swift saying it was “the future of the music industry”.

I guess free comes with a receipt these days.

Let’s jump into today’s storylines.

In today’s digest:

• All that glitter’s isn’t gold: Spotify’s bet on podcasts

• Headline Hustle: Amazon vs. FTC, Messi drives Apple TV subscriptions, Enrique Tarrio gets 22 years

• Beware of hidden rental fees

• Pulse Points: What’s Trending

MEDIA

Spotify’s billion dollar podcast gamble

Spotify, the music-streaming giant, splurged over a billion dollars to craft a podcasting kingdom, wooing the likes of Kim Kardashian, the Obamas, and even royalty with Prince Harry and Meghan Markle. Imagine: $286 million for podcast studios and a whopping $250,000 per episode for exclusive content. The aim? To serenade new listeners. The problem? The gamble hasn't exactly paid off.

Despite their star-studded lineup, most of Spotify's shows are still searching for the elusive "profit" tune. In fact, the company reported a loss of around $565 million in just six months ending in June. Ouch.

Will things get better?

They might. While podcast revenue in the U.S. is set to hit $2.3 billion this year, it's but a drop in the vast $200 billion digital-ad ocean. Spotify's ambitious dive into the podcasting world in 2018 now seems like a high-stakes game where the rewards weren't quite as glittering as they seemed. Media consultant Evan Shapiro aptly put it, "They’re out of runway."

Sure, the podcast listener pool is expanding, but with a deluge of shows across platforms, standing out is tougher than finding a needle in a haystack. Exclusive podcasts? They aren't exactly pulling listeners away from rivals.

Yet, there's a silver lining. Spotify boasts 220 million premium subscribers and a tenfold increase in podcast listeners since 2019. They're optimistic about turning their podcast venture profitable by 2024 but to achieve this, they've had to trim the fat, laying off 200 employees and narrowing their focus on select original content.

In a twist of irony, while Spotify's podcast investment has been a rollercoaster, it has elevated podcasting from a humble medium to a full-blown industry. Their strategy? Cast a wide net and hope to reel in enough listeners and ads to justify their billion-dollar bet.

In conclusion, Spotify's podcast journey is a classic tale of ambition, risk, and the relentless pursuit of innovation. Whether it pays off in the end remains to be seen, but one thing's for sure: they've changed the podcasting game forever.

Headline Hustle

🧑🏼‍⚖️ Amazon vs. FTC. In a world where tech giants often seem invincible, Amazon is gearing up for a potential courtroom face-off with the Federal Trade Commission (FTC). Despite having the chance to offer concessions during a pivotal "last-rites" meeting on August 15^th , Amazon's legal eagles chose to stand their ground. For those not in the know, such meetings are typically a company's last shot at avoiding a lawsuit by proposing changes to their business practices. But Amazon? They played it cool, offering no specific compromises. The FTC, not one to be easily swayed, is prepping to slap Amazon with a lawsuit by month's end. The core of the issue? Allegations that Amazon might be playing favorites with its own products over competitors and possibly giving third-party sellers the short end of the stick. And if rumors are to be believed, the lawsuit might even suggest a potential breakup of the retail behemoth.

💰 Messi’s magic touch. In a world where streaming platforms battle for supremacy, enter Lionel Messi, the soccer maestro who's proving to be a game-changer off the pitch too. When Messi made his North American debut with Inter Miami, U.S. sign-ups for MLS Season Pass skyrocketed, recording a staggering 110,000 new subscribers in just one day. Apple, with its exclusive rights to MLS games, also saw a surge in Apple TV+ subscriptions. It's clear: live sports are the new streaming goldmine. As companies scramble to price game-watching for consumers, Messi's allure demonstrates the power of sports partnerships. As Apple CEO Tim Cook aptly noted, "There is only one Lionel Messi." And in the streaming world, he's scoring big.

👮 Ex-Proud Boy leader sentenced to 22 years. In a twist of events, Enrique Tarrio, the former head honcho of the right-wing Proud Boys, has been handed a whopping 22-year prison sentence for his role in the infamous Jan. 6, 2021, U.S. Capitol attack. While Tarrio's legal team argues his absence from the scene meant no "direct influence," the court begs to differ, dubbing him the "ultimate leader" of the conspiracy. As the gavel drops on yet another chapter of the Capitol saga, one can't help but ponder; in the game of power and politics, how far is too far?

PERSONAL FINANCE

The hidden cost of renting

In today's rental market, it's not just the skyrocketing rents that are burning holes in tenants' pockets. The modern renter is being nickel-and-dimed with an array of fees that, while seemingly small, can accumulate to a significant sum over time. From charges for trash pickup to fees for using a mailbox, the rental landscape has evolved, and not necessarily in favor of the tenant.

It’s not just about rent anymore

Remember the days when rent covered, well, the rent? Those days seem to be fading into history. Now, renters are often slapped with fees for services that were once considered standard. Need to make a routine maintenance request? That'll be a fee. Moving in or out? Another fee. And let's not forget the mysterious "January fee" some Minnesota landlords have introduced. The purpose? Still a mystery.

But here's the kicker: some of these fees are for services renters neither need nor want…and the government is taking note. Moves are being made to regulate how landlords charge these fees. Platforms like Zillow and Apartments.com are now required to disclose all fees alongside listings. But is it enough? Landlords argue that these fees help offset rising operational costs. But for tenants, it feels like a game of "find the hidden charge."

In a world where every penny counts, renters need transparency and fairness. It's high time the rental industry revisits its approach, ensuring that renting remains an accessible and straightforward affair for all.

Pulse Points

Apple and ARM team up. Apple has recently extended its chip technology deal with Arm, aiming to last beyond 2040.

Enbridge to purchase three U.S utilities for $14 billion. Enbridge acquires three utilities from Dominion Energy for a whopping $14 billion, inclusive of debt. This move catapults Enbridge to the top spot as North America's premier natural gas supplier.

Huawei’s new chip breakthrough. Huawei's chip innovation highlights China's resilience against U.S. sanctions.