Turntable.fm has finally squelched all the talk that the record companies could shut it down by finally signing agreement with all four major labels.
Launching last May, Turntable.fm took the social music space by storm with its concept of DJs spinning songs for rooms full of fans. One of the biggest questions that popped up immediately from users and journalists alike was, “Is this legal?”
At the time, Turntable had popped out of nowhere, and there was no word on whether of not they had signed any licensing deals for all of the music that was going through their site on a daily basis. It was learned shortly thereafter that the company was looking to negotiate the deals, but as of yet had not done so.
No one is quite sure how they were able to keep the doors open through out the negotiation process, but somehow they have managed to do so. As of today, all that concern goes away as Billboard is reporting that the company has now signed agreements with the four major record labels.
The big question now is, does it really matter? Turntable’s biggest month was July of last year with 207,000 unique users. The traffic took a quick nosedive, and as of last month they had regained some traction to have their third largest month with 176,000 unique users. By comparison, ComScore estimates the monthly unique users of Pandora to be over 17 million. It’s doubtful that the questionable legal status of the service is what drove traffic down, but instead the fact that the novelty of the concept quickly wore off. If you got stuck in a room with four good DJs and one bad one, and even if people voted the song as lame, it still mellowed the mood as you had to wait for the next one to load.
Perhaps with the deals in place the company can now start promoting itself more, but the bloom may be off the rose by now as people have moved on to other services like Spotify.