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4-Traders Homepage  >  Equities  >  Xetra  >  Deutsche Telekom AG    DTE   DE0005557508

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Deutsche Telekom AG : Partnership with Spotify

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08/30/2012 | 11:37am CEST
  • Exclusive partnership with the leading music streaming service Spotify
  • Music streaming for smart phones, tablets and PC
  • First Deutsche Telekom music tariff available in October 2012

Deutsche Telekom is the exclusive partner in Germany for the leading music streaming service Spotify, and the first German telecommunications company to bundle a Spotify Premium subscription with its tariffs and as an add-on option. As of October 2012, customers will be able to listen to more than 18 million music titles via their mobile phone, tablet and PC - both online offline. What's more, the online usage of the Spotify streaming service will not have any impact on the data volume specified in the respective Deutsche Telekom tariff.

Millions of music lovers around the globe already access music through Spotify, the largest and most successful music streaming service of its kind, which has one of the world's biggest music libraries and deals with more than 300,000 record labels worldwide. Users can create playlists, recommend songs and share music with their friends via social networks. Spotify Premium subscribers can also enjoy instant, on-demand and unlimited music - without any advertising - which is available in superior audio quality. The Spotify app can be downloaded for a wide range of devices, including desktop, tablet PCs and a range of mobile platforms including iPhone, Android, Windows Phone or BlackBerry. Spotify also has a handy Offline mode, which means that you can sync up to 3,333 tracks to up to three devices, for you to enjoy wherever you are, with or without internet access, such as on a plane, train or on the beach.

The exclusive cooperation agreement will be valid for at least one year and represents another important step for Deutsche Telekom within the scope of its innovative partnering strategy. "Music streaming is the business model of the future, and we are proud to be the first German telecommunications provider to offer our customers the pleasure of unlimited music as part of our tariffs. Spotify is an outstanding partner for this endeavor," says Niek Jan van Damme, Management Board Member of Deutsche Telekom for Germany. "Music streaming is much more than just an entirely new way to enjoy music. Our customers have access to the complete world of music without any need for digital storage space - and sharing music with others has never been easier."

Spotify: A new way to enjoy, discover and share music
Launched in 2008, Spotify is the largest and most successful music streaming service of its kind, with a library of more than 18 million songs, to which more than 20,000 titles are added every day. The music service is available in 15 countries and has over 15 million active music fans worldwide.

One very special feature of Spotify is music sharing: Subscribers can easily share single tracks or complete playlists to friends on Facebook, Twitter or Tumblr - or even jointly create their own collaborative playlists with friends. And thanks to Spotify's partnership with Facebook, you can share your music discoveries on Facebook, and see what music your friends are listening to and listen along with them, leading to a whole new world of music discovery.

"At Spotify we want to connect people around the world through music - an ambition we share with our partners at Deutsche Telekom," said Gerrit Meier, Global General Manager Distribution & Partnerships at Spotify. "In combining Deutsche Telekom's substantial reach and technological expertise with Spotify, the leading music service of its kind, together we are able to offer music fans in Germany an unparalleled mobile music experience."

Product offers
The first Deutsche Telekom mobile tariff with an integrated Spotify Premium Account will be available in October 2012 for about 30 Euros. At the end of this year, the Spotify Premium service will also be available as an add-on option for approximately ten Euros for Deutsche Telekom's fixed line and mobile customers. All product offers will be included with DT billing for convenient payment. And, as online usage of the Spotify streaming service will not have any impact on the data volume specified in the respective Deutsche Telekom tariff, mobile customers can enjoy unlimited listening. More information is available at www.telekom.de/spotify.

Experience our products and services live at IFA in Berlin from August 31 to September 5 at the Deutsche Telekom stand in hall 6.2. Deutsche Telekom's entire presence at the trade fair is carbon-neutral: All CO2 emissions generated in setting up and operating the stand are offset fully by carbon-reduction projects abroad.

About Deutsche Telekom
Deutsche Telekom is one of the world's leading integrated telecommunications companies with almost 130 million mobile customers, 33 million fixed-network lines and more than 17 million broadband lines (as of June 30, 2012). The Group provides fixed-network, mobile communications, Internet and IPTV products and services for consumers, and ICT solutions for business and corporate customers. Deutsche Telekom is present in around 50 countries and has over 233,000 employees worldwide. The Group generated revenue of EUR 58.7 billion in the 2011 financial year - over half of it outside Germany (as of December 31, 2011).

About Spotify
Spotify is an award-winning digital music service that gives you on-demand access to over 18 million tracks. Our dream is to make all the world's music available instantly to everyone, wherever and whenever they want it. Spotify makes it easier than ever to discover, manage and share music with your friends, while making sure that artists get a fair deal.
Spotify is available in 15 countries: USA, UK, Sweden, Finland, Norway, Denmark, France, Switzerland, Germany, Austria, Belgium, The Netherlands, Spain, Australia and New Zealand with more than 15 million active users, and over 4 million paying subscribers.

Further Information:
For further information please send an email to press-de@spotify.com or directly to:

Spotify GmbH
Marcel Grobe
PR Manager DACH

Images and further information regarding Spotify can be found under:bit.ly/LWOTgo
Become a Facebook fan: http://www.facebook.com/Spotify
Follow us on Twitter: http://www.twitter.com/SpotifyDE
Follow us on YouTube: http://spoti.fi/videos-DE
Blog: http://www.spotify.com/blog

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Financials (€)
Sales 2016 72 031 M
EBIT 2016 8 870 M
Net income 2016 4 513 M
Debt 2016 53 172 M
Yield 2016 4,12%
P/E ratio 2016 16,62
P/E ratio 2017 16,55
EV / Sales 2016 1,68x
EV / Sales 2017 1,60x
Capitalization 67 932 M
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Mean consensus OUTPERFORM
Number of Analysts 32
Average target price 17,1 €
Spread / Average Target 18%
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Timotheus Höttges Chairman-Management Board & CEO
Ulrich Lehner Chairman-Supervisory Board
Thomas Dannenfeldt Chief Financial Officer
Hubertus von Grünberg Member-Supervisory Board
Michael Sommer Member-Supervisory Board
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