Pandora's New Subscription Service is Unique, But Also Very Late to the Party

Inertia is a powerful and underappreciated force in the consumer tech world. Quite often, consumers remain loyal to an inferior product or service for years simply because they've grown quite accustomed to it, and don't want to go through the trouble of setting up or familiarizing themselves with a superior, rival offering. Just ask the millions of AOL e-mail users still out there (including, apparently, Vice President Mike Pence), or the many people who still use various Yahoo!  (YHOO)  services even as their quality keeps declining relative to alternatives.

To a degree, inertia has been a positive for Pandora (P) , helping the company maintain a giant user base for its free, ad-supported, web radio services even as many reasonably-priced, ad-free, subscription music services arrived on the scene. But there's a good chance it will be a negative in the coming months, as Pandora tries to counter the inevitable fraying of its free user base with a subscription offering that wades into a well-saturated market....655 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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