Happening
Spotify offers Car Thing refunds as it faces lawsuit
Spotify is facing continued backlash over its decision to discontinue support for Car Thing, its in-car streaming device, announced earlier in May. The device will no longer work starting on Dec. 9, 2024, the company said. On TikTok, Gen Z users are posting videos to express their discontent with Spotify’s move and its recommended actions — like switching to Android Auto or CarPlay. Often, they didn’t have access to built-in infotainment systems in their car in the first place, making them a target market for a dedicated player like Car Thing, the users note.
The streaming service’s in-car gadget hadn’t been out on the market long enough to make it obsolete. It launched in February 2022 and was discontinued later that same year but with promises to keep it operational for those who already bought units. Ahead of its launch, Spotify CEO Danie Ek had suggested there was consumer demand for such a product, telling investors on an earning call that more than 2 million users had signed up on the Car Thing waitlist in anticipation of its release.
Though Spotify never shared official numbers, it’s likely that Car Thing underperformed or was just not worth continued investment in today’s tighter economic market. The latter saw Spotify laying off around 1,500 staffers late last year, for example, after cuts earlier in the year that had affected hundreds.
Car Thing users, however, don’t care about the company’s financial concerns; they just want their gadget to work, or at least be refunded for its $90 price tag.
That’s led to some trying to directly complain to Spotify via DMs on X with @SpotifyCares or through various Spotify emails shared on Reddit. By doing so, some users reported that Spotify offered them several months of a Premium subscription to make up for their loss, while others claimed they asked customer service and were told no one was being reimbursed.
Spotify tells TechCrunch that it has more recently instituted a refund process for Car Thing, provided the user has proof of purchase.
The ability to reach customer support was officially communicated to Car Thing users in a second email that went out on Friday of last week after the backlash over Car Thing’s discontinuation had grown. In it, Spotify directs users to the correct customer support link to reach out to the company. The email does not promise any refunds, however, but says users can reach out with questions.
While a refund may satisfy some portion of the user base that’s upset over Car Thing, many are still pleading with the company via TikTok videos and in the comments on Spotify’s TikTok posts to please not brick their device. (In fact, complaints about the Car Thing are so now common on Spotify’s videos that the algorithmically recommended search TikTok suggests on some videos is “what is the spotify car thing.”)
“SPOTIFY PLEASE SPARE ME 😭😭😭 I LOVE MY CAR THING,” wrote Carla, a TikTok user who goes by the handle @carlititica on the service.
“Sad,” wrote another user, @nikkilovestech. “It’s like they want people to use their phone which is distracting,” she wrote in the description of her video demoing a Car Thing mounted to her dash. In her video, she also commented on the e-waste that comes from discontinuing a product that still works “perfectly fine.”
Spotify’s headaches around Car Thing’s discontinuation are not over yet, despite the newly introduced — if not widely broadcast — refund process. The company is also facing a class action lawsuit filed in the U.S. District Court for the Southern District of New York, which claims Spotify misled consumers by selling them a soon-to-be obsolete product and then not offering refunds, reports Billboard. The suit was filed on May 28.
Spotify cannot comment on the lawsuit, but a spokesperson shared the following statement about Car Thing:
“The goal of our Car Thing exploration in the U.S. was to learn more about how people listen in the car. In July 2022, we announced we’d stop further production and now it’s time to say goodbye to the devices entirely. Users will have until December 9, 2024 until all Car Thing devices will be deactivated. To learn more about all of the ways you can continue to listen to Spotify in the car, check out For The Record, and Car Thing users can reach out to Customer Support with any questions: https://support.spotify.com/us/contact-spotify-support/”
Though the troubles around Car Thing won’t affect all of Spotify’s user base, the news comes at a time when users are already upset that they’re being asked to pay more for things they consider core to a music service, like access to lyrics, a feature Spotify recently paywalled. In addition to complaints over Car Thing, users are threatening to quit Spotify over the paid access to lyrics.
In addition, Spotify upped its subscription rates last year, and another increase is on its way in 2024, Bloomberg reported. Read more
Happening
Telegram CEO on Legal Challenges in France
❤️ Thanks everyone for your support and love!
Last month I got interviewed by police for 4 days after arriving in Paris. I was told I may be personally responsible for other people’s illegal use of Telegram, because the French authorities didn’t receive responses from Telegram.
This was surprising for several reasons:
- Telegram has an official representative in the EU that accepts and replies to EU requests. Its email address has been publicly available for anyone in the EU who googles “Telegram EU address for law enforcement”.
- The French authorities had numerous ways to reach me to request assistance. As a French citizen, I was a frequent guest at the French consulate in Dubai. A while ago, when asked, I personally helped them establish a hotline with Telegram to deal with the threat of terrorism in France.
- If a country is unhappy with an internet service, the established practice is to start a legal action against the service itself. Using laws from the pre-smartphone era to charge a CEO with crimes committed by third parties on the platform he manages is a misguided approach. Building technology is hard enough as it is. No innovator will ever build new tools if they know they can be personally held responsible for potential abuse of those tools.
Establishing the right balance between privacy and security is not easy. You have to reconcile privacy laws with law enforcement requirements, and local laws with EU laws. You have to take into account technological limitations. As a platform, you want your processes to be consistent globally, while also ensuring they are not abused in countries with weak rule of law. We’ve been committed to engaging with regulators to find the right balance. Yes, we stand by our principles: our experience is shaped by our mission to protect our users in authoritarian regimes. But we’ve always been open to dialogue.
Sometimes we can’t agree with a country’s regulator on the right balance between privacy and security. In those cases, we are ready to leave that country. We’ve done it many times. When Russia demanded we hand over “encryption keys” to enable surveillance, we refused — and Telegram got banned in Russia. When Iran demanded we block channels of peaceful protesters, we refused — and Telegram got banned in Iran. We are prepared to leave markets that aren’t compatible with our principles, because we are not doing this for money. We are driven by the intention to bring good and defend the basic rights of people, particularly in places where these rights are violated.
All of that does not mean Telegram is perfect. Even the fact that authorities could be confused by where to send requests is something that we should improve. But the claims in some media that Telegram is some sort of anarchic paradise are absolutely untrue. We take down millions of harmful posts and channels every day. We publish daily transparency reports (like this or this ). We have direct hotlines with NGOs to process urgent moderation requests faster.
However, we hear voices saying that it’s not enough. Telegram’s abrupt increase in user count to 950M caused growing pains that made it easier for criminals to abuse our platform. That’s why I made it my personal goal to ensure we significantly improve things in this regard. We’ve already started that process internally, and I will share more details on our progress with you very soon.
I hope that the events of August will result in making Telegram — and the social networking industry as a whole — safer and stronger. Thanks again for your love and memes 🙏. Credit source Pavel Durov via Telegram.
Happening
What is crowd strike and why is everyone talking about it today
CrowdStrike is a cybersecurity company, kind of like a digital knight in shining armor for businesses. They protect companies from cyberattacks and online threats.
Today, there’s a buzz around CrowdStrike because they’re dealing with a bit of a hiccup. One of their updates for Windows computers malfunctioned, causing some systems to act wonky. It’s important to note, however, that this wasn’t a cyberattack, more of a friendly fire situation. CrowdStrike is assuring everyone they’ve identified the problem, fixed it, and are patching things up as we speak.
Here’s a story for you:
It was a tense morning at DigiCorp, a tech startup. Alarms blared on laptops, throwing up error messages. Sarah, the head of IT, was fielding frantic calls from colleagues. Their data, their entire business, seemed to be on the fritz.
“Is it a ransomware attack?” someone shouted.
Sarah took a deep breath. “Let’s not panic. It could be anything. First, let’s isolate the problem and see if CrowdStrike can shed some light.”
Moments later, Sarah sighed with relief. CrowdStrike confirmed it wasn’t a malicious attack, but a glitch with their own update. A wave of laughter rippled through the stressed-out team.
“Well, that’s a relief,” Matt, a programmer, chuckled. “Though, maybe CrowdStrike needs to polish their knightly armor a bit.”
By lunchtime, CrowdStrike had rolled out a fix, and DigiCorp was back in business. Sarah sent a quick thank you note to their cybersecurity partners. Though it was a scare, it was a good reminder of how important CrowdStrike was in keeping their digital world safe.
Happening
What are the disadvantages of YouTube monetization?
YouTube has become a popular platform for content creators to share their work and potentially earn money. However, while monetization offers exciting opportunities, it also comes with its fair share of monetization challenges. In this article, we’ll explore the potential drawbacks of YouTube monetization and how they can impact creators.
Table of Contents
Understanding YouTube Monetization Challenges
Before diving into the disadvantages, it’s essential to understand that YouTube monetization isn’t always a straightforward path to success. Many creators face various hurdles and obstacles that can affect their ability to earn revenue consistently.
The Pressure to Produce Consistently
One of the primary monetization challenges creators face is the constant pressure to produce content. To maintain a steady income, YouTubers often feel compelled to:
- Upload videos frequently
- Keep up with trends
- Constantly engage with their audience
This pressure can lead to burnout and may compromise the quality of content over time.
Dealing with Algorithm Changes
YouTube’s algorithm plays a crucial role in content discovery and monetization. However, frequent changes to this algorithm can present significant monetization challenges:
- Videos may suddenly receive less exposure
- Ad revenue can fluctuate unpredictably
- Creators may need to adapt their content strategy frequently
Monetization Challenges: Advertiser-Friendly Content
To monetize videos effectively, creators must adhere to YouTube’s advertiser-friendly guidelines. This requirement can lead to several issues:
- Self-censorship
- Limited creative freedom
- Difficulty covering certain topics or niches
Some creators find these restrictions stifling and struggle to balance their artistic vision with monetization requirements.
The Unpredictability of Ad Revenue
Ad revenue, a primary source of income for many YouTubers, can be highly unpredictable. This volatility presents ongoing monetization challenges, including:
- Seasonal fluctuations in ad rates
- Changes in advertiser spending
- Impact of global events on ad budgets
These factors can make it difficult for creators to plan their finances and rely on YouTube as a stable income source.
Copyright Issues and Demonetization
Navigating copyright laws on YouTube can be tricky. Creators face monetization challenges when:
- Using copyrighted music or footage
- Dealing with false copyright claims
- Risking demonetization due to copyright strikes
These issues can result in loss of revenue and potentially affect a channel’s standing on the platform.
Competition and Market Saturation
As more people turn to YouTube for income, the platform becomes increasingly competitive. This saturation leads to monetization challenges such as:
- Difficulty standing out in a crowded market
- Lower ad rates due to increased supply of content
- Pressure to create clickbait or sensational content
Creators may find it harder to grow their audience and maintain sustainable revenue streams in this environment.
Privacy and Personal Life Impacts
Successful YouTube monetization often requires creators to share aspects of their personal lives, which can lead to:
- Loss of privacy
- Online harassment or stalking
- Difficulty separating work from personal life
These factors can take a toll on a creator’s mental health and overall well-being.
Dependence on a Single Platform
Relying solely on YouTube for income can be risky. Monetization challenges arise when:
- YouTube changes its policies
- Technical issues affect the platform
- A creator’s account faces suspension or termination
Diversifying income sources becomes crucial to mitigate these risks.
Conclusion
While YouTube monetization offers exciting opportunities for content creators, it’s important to be aware of the potential drawbacks. From algorithm changes to privacy concerns, these monetization challenges can significantly impact a creator’s journey on the platform.
By understanding these challenges, aspiring YouTubers can better prepare themselves for the realities of content creation as a career. It’s crucial to approach YouTube monetization with a balanced perspective, weighing the potential rewards against the possible disadvantages.
Ultimately, success on YouTube requires not just great content, but also the ability to navigate these monetization challenges effectively. With the right strategy and mindset, creators can work towards building a sustainable and rewarding presence on the platform.
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