<s>
Pandora	B-Application
is	O
a	O
subscription-based	O
music	O
streaming	O
service	O
owned	O
by	O
Sirius	O
XM	O
Holdings	O
based	O
in	O
Oakland	O
,	O
California	O
,	O
United	O
States	O
.	O
</s>
<s>
In	O
2017	O
,	O
the	O
service	O
launched	O
Pandora	B-Application
Premium	O
,	O
an	O
on-demand	O
version	O
of	O
the	O
service	O
more	O
in	O
line	O
with	O
contemporary	O
competitors	O
.	O
</s>
<s>
The	O
company	O
was	O
founded	O
in	O
2000	O
as	O
Savage	O
Beast	O
Technologies	O
,	O
and	O
initially	O
conceived	O
as	O
a	O
business-to-business	O
company	O
licensing	O
the	O
Music	O
Genome	O
Project	O
to	O
retailers	O
as	O
a	O
recommendation	B-Application
platform	O
.	O
</s>
<s>
In	O
2005	O
,	O
the	O
company	O
shifted	O
its	O
focus	O
to	O
the	O
consumer	O
market	O
by	O
launching	O
Pandora	B-Application
as	O
an	O
internet	O
radio	O
product	O
.	O
</s>
<s>
Pandora	B-Application
is	O
a	O
freemium	O
service	O
;	O
basic	O
features	O
are	O
free	O
with	O
advertisements	O
or	O
limitations	O
,	O
while	O
additional	O
features	O
,	O
such	O
as	O
improved	O
streaming	O
quality	O
,	O
music	O
downloads	O
and	O
offline	O
channels	O
are	O
offered	O
via	O
paid	O
subscriptions	O
.	O
</s>
<s>
In	O
February	O
2019	O
,	O
Sirius	O
XM	O
Holdings	O
acquired	O
Pandora	B-Application
for	O
$3.5	O
billion	O
in	O
stock	O
.	O
</s>
<s>
In	O
2021	O
,	O
Pandora	B-Application
had	O
about	O
55.9	O
million	O
active	O
monthly	O
users	O
,	O
and	O
6.4	O
million	O
subscribers	O
.	O
</s>
<s>
As	O
of	O
2022	O
Pandora	B-Application
reportedly	O
now	O
has	O
fewer	O
than	O
50m	O
active	O
users	O
.	O
</s>
<s>
The	O
company	O
was	O
originally	O
pitched	O
as	O
an	O
e-commerce	O
service	O
that	O
would	O
use	O
Glaser	O
's	O
associated	O
algorithm	O
as	O
a	O
recommendation	B-Application
engine	I-Application
,	O
but	O
this	O
idea	O
was	O
scrapped	O
after	O
the	O
Dot-com	O
bubble	O
hit	O
its	O
peak	O
in	O
March	O
2000	O
.	O
</s>
<s>
After	O
agreements	O
with	O
Best	O
Buy	O
and	O
Borders	O
lapsed	O
,	O
the	O
company	O
began	O
to	O
shift	O
its	O
attention	O
to	O
the	O
consumer	O
market	O
,	O
resulting	O
in	O
the	O
development	O
of	O
Pandora	B-Application
as	O
an	O
internet	O
radio	O
service	O
using	O
the	O
Music	O
Genome	O
Project	O
as	O
a	O
personalization	O
system	O
.	O
</s>
<s>
After	O
a	O
beta	O
period	O
,	O
Pandora	B-Application
officially	O
launched	O
in	O
September	O
2005	O
.	O
</s>
<s>
In	O
2011	O
,	O
Pandora	B-Application
went	O
public	O
via	O
an	O
initial	O
public	O
offering	O
on	O
the	O
New	O
York	O
Stock	O
Exchange	O
.	O
</s>
<s>
At	O
the	O
time	O
,	O
Pandora	B-Application
had	O
800,000	O
tracks	O
from	O
80,000	O
artists	O
in	O
its	O
library	O
and	O
80	O
million	O
users	O
.	O
</s>
<s>
As	O
of	O
end	O
of	O
mid-year	O
2018	O
,	O
Pandora	B-Application
had	O
71.4	O
million	O
active	O
users	O
.	O
</s>
<s>
On	O
March	O
7	O
,	O
2013	O
,	O
Pandora	B-Application
chairman	O
and	O
chief	O
executive	O
officer	O
Joseph	O
J	O
.	O
Kennedy	O
announced	O
that	O
he	O
would	O
leave	O
the	O
company	O
after	O
nine	O
years	O
.	O
</s>
<s>
In	O
April	O
2013	O
,	O
Pandora	B-Application
announced	O
that	O
its	O
radio	O
streaming	O
service	O
had	O
200	O
million	O
users	O
,	O
including	O
70	O
million	O
monthly	O
active	O
users	O
.	O
</s>
<s>
By	O
December	O
2013	O
,	O
Pandora	B-Application
accounted	O
for	O
70%	O
of	O
all	O
internet	O
radio	O
listening	O
in	O
the	O
United	O
States	O
.	O
</s>
<s>
On	O
September	O
1	O
,	O
2013	O
,	O
Pandora	B-Application
removed	O
a	O
40-hour-per-month	O
limitation	O
for	O
free	O
mobile	O
listening	O
.	O
</s>
<s>
By	O
November	O
2014	O
,	O
Pandora	B-Application
had	O
approximately	O
doubled	O
its	O
library	O
size	O
,	O
topping	O
1.5	O
million	O
songs	O
.	O
</s>
<s>
By	O
January	O
2015	O
,	O
songs	O
played	O
on	O
Pandora	B-Application
had	O
received	O
more	O
than	O
50	O
billion	O
thumbs	O
up	O
from	O
users	O
.	O
</s>
<s>
On	O
September	O
15	O
,	O
2016	O
,	O
Pandora	B-Application
launched	O
"	O
Pandora	B-Application
Plus	O
"	O
,	O
a	O
new	O
subscription	O
service	O
to	O
compete	O
with	O
other	O
streaming	O
services	O
;	O
the	O
price	O
was	O
set	O
at	O
$4.99	O
and	O
was	O
available	O
in	O
later	O
months	O
.	O
</s>
<s>
In	O
early	O
2017	O
,	O
Pandora	B-Application
revealed	O
that	O
56	O
million	O
of	O
its	O
81	O
million	O
active	O
users	O
subscribe	O
to	O
the	O
Today	O
's	O
Country	O
station	O
and	O
that	O
country	O
music	O
accounted	O
for	O
more	O
than	O
1.7	O
billion	O
listening	O
hours	O
on	O
the	O
platform	O
in	O
2016	O
.	O
</s>
<s>
On	O
July	O
31	O
,	O
2017	O
,	O
Pandora	B-Application
discontinued	O
services	O
in	O
Australia	O
and	O
New	O
Zealand	O
,	O
citing	O
a	O
need	O
to	O
focus	O
solely	O
on	O
the	O
U.S.	O
market	O
.	O
</s>
<s>
In	O
September	O
2017	O
,	O
Roger	O
Lynch	O
became	O
CEO	O
and	O
stated	O
that	O
he	O
wanted	O
to	O
expand	O
the	O
service	O
's	O
focus	O
on	O
podcasts	B-Operating_System
,	O
with	O
similar	O
discovery	O
features	O
to	O
those	O
for	O
music	O
,	O
as	O
well	O
as	O
new	O
monetization	O
options	O
.	O
</s>
<s>
In	O
January	O
2019	O
,	O
Lynch	O
's	O
departure	O
was	O
announced	O
following	O
the	O
approval	O
of	O
Sirius	O
XM	O
's	O
acquisition	O
of	O
Pandora	B-Application
.	O
</s>
<s>
On	O
February	O
26	O
,	O
2019	O
,	O
Pandora	B-Application
announced	O
the	O
launch	O
of	O
Pandora	B-Application
Stories	O
,	O
a	O
new	O
marketing	O
tool	O
for	O
artists	O
.	O
</s>
<s>
In	O
October	O
2019	O
,	O
Pandora	B-Application
's	O
parent	O
company	O
,	O
Sirius	O
XM	O
,	O
signed	O
a	O
multiyear	O
deal	O
with	O
Marvel	O
to	O
launch	O
a	O
series	O
of	O
superhero-based	O
podcasts	B-Operating_System
in	O
2020	O
.	O
</s>
<s>
On	O
June	O
11	O
,	O
2013	O
,	O
Pandora	B-Application
announced	O
it	O
would	O
purchase	O
FM	O
radio	O
station	O
KXMZ	O
in	O
Rapid	O
City	O
,	O
South	O
Dakota	O
.	O
</s>
<s>
On	O
October	O
7	O
,	O
2015	O
,	O
Pandora	B-Application
announced	O
it	O
had	O
acquired	O
independent	O
ticketing	O
agency	O
Ticketfly	O
for	O
$450	O
million	O
,	O
which	O
it	O
subsequently	O
sold	O
to	O
Eventbrite	O
for	O
$200	O
million	O
on	O
June	O
9	O
,	O
2017	O
.	O
</s>
<s>
In	O
November	O
2015	O
,	O
streaming	O
music	O
service	O
Rdio	B-Protocol
,	O
founded	O
by	O
Skype	O
co-founders	O
Janus	O
Friis	O
and	O
Niklas	O
Zennstroem	O
,	O
declared	O
bankruptcy	O
and	O
sold	O
its	O
assets	O
to	O
Pandora	B-Application
for	O
$75	O
million	O
.	O
</s>
<s>
Pandora	B-Application
retained	O
100	O
Rdio	B-Protocol
employees	O
,	O
including	O
Iain	O
Morris	O
and	O
Rich	O
Masio	O
,	O
who	O
joined	O
a	O
growing	O
licensing	O
department	O
in	O
pursuit	O
of	O
direct	O
licenses	O
with	O
labels	O
and	O
publishers	O
.	O
</s>
<s>
In	O
March	O
2018	O
,	O
Pandora	B-Application
announced	O
it	O
would	O
acquire	O
digital	O
audio	O
ad	O
technology	O
firm	O
AdsWizz	O
for	O
$145	O
million	O
.	O
</s>
<s>
In	O
February	O
2019	O
,	O
Sirius	O
XM	O
Holdings	O
acquired	O
Pandora	B-Application
for	O
$3.5	O
billion	O
in	O
stock	O
.	O
</s>
<s>
Examples	O
of	O
these	O
are	O
rhythm	O
syncopation	O
,	O
key	O
tonality	O
,	O
and	O
vocal	O
harmonies	B-Library
.	O
</s>
<s>
Pandora	B-Application
is	O
available	O
in	O
a	O
free	O
advertising-supported	O
service	O
,	O
and	O
a	O
subscription-based	O
tier	O
known	O
as	O
"	O
Pandora	B-Application
Plus	O
"	O
(	O
rebranded	O
from	O
"	O
Pandora	B-Application
One	I-Application
"	O
in	O
September	O
2015	O
)	O
,	O
which	O
also	O
features	O
offline	O
playback	O
support	O
using	O
a	O
prediction	O
mechanism	O
,	O
and	O
more	O
skips	O
and	O
replays	O
.	O
</s>
<s>
In	O
March	O
2017	O
,	O
a	O
third	O
tier	O
known	O
as	O
"	O
Pandora	B-Application
Premium	O
"	O
was	O
launched	O
,	O
which	O
allows	O
users	O
to	O
listen	O
to	O
and	O
create	O
playlists	O
of	O
individual	O
songs	O
on-demand	O
(	O
making	O
it	O
more	O
in	O
line	O
with	O
competing	O
services	O
such	O
as	O
Apple	B-Operating_System
Music	I-Operating_System
and	O
Spotify	B-Application
)	O
.	O
</s>
<s>
The	O
recommendation	B-Application
engine	I-Application
can	O
also	O
be	O
used	O
to	O
generate	O
playlists	O
of	O
similar	O
songs	O
.	O
</s>
<s>
Pandora	B-Application
also	O
emphasized	O
a	O
use	O
of	O
machine	O
learning	O
and	O
manual	O
curation	O
,	O
including	O
filtering	O
out	O
low-quality	O
content	O
such	O
as	O
"	O
knock-off	O
covers	O
"	O
and	O
karaoke	O
tracks	O
.	O
</s>
<s>
In	O
October	O
2019	O
,	O
Pandora	B-Application
added	O
full	O
song	O
credits	O
to	O
their	O
app	O
,	O
displaying	O
the	O
data	O
on	O
who	O
contributed	O
to	O
which	O
song	O
.	O
</s>
<s>
In	O
September	O
2011	O
,	O
Pandora	B-Application
removed	O
the	O
40-hour	O
listening	O
limit	O
.	O
</s>
<s>
Pandora	B-Application
apps	O
are	O
available	O
for	O
Android	B-Application
and	O
iOS	B-Application
.	O
</s>
<s>
Apps	O
are	O
also	O
available	O
for	O
Apple	B-Device
Watch	I-Device
and	O
Wear	B-Application
OS	I-Application
smartwatches	B-Application
.	O
</s>
<s>
An	O
app	O
for	O
the	O
Pebble	B-Device
smartwatch	I-Device
platform	O
was	O
also	O
available	O
before	O
that	O
platform	O
was	O
discontinued	O
.	O
</s>
<s>
Integrations	O
have	O
also	O
been	O
offered	O
with	O
smart	B-Device
speakers	I-Device
.	O
</s>
<s>
Support	O
for	O
voice	B-Application
control	I-Application
was	O
added	O
to	O
the	O
mobile	O
apps	O
in	O
January	O
2019	O
.	O
</s>
<s>
In	O
the	O
three	O
months	O
that	O
ended	O
October	O
31	O
,	O
2011	O
,	O
advertising	O
comprised	O
88%	O
of	O
Pandora	B-Application
's	O
total	O
revenues	O
;	O
that	O
was	O
reported	O
as	O
80%	O
in	O
December	O
2013	O
.	O
</s>
<s>
As	O
such	O
,	O
Pandora	B-Application
's	O
strategy	O
in	O
order	O
to	O
allow	O
for	O
widespread	O
distribution	O
was	O
to	O
offer	O
a	O
service	O
unbundled	O
from	O
devices	O
and	O
transport	O
.	O
</s>
<s>
Pandora	B-Application
also	O
works	O
with	O
system-on-chip	O
manufacturers	O
to	O
embed	O
its	O
technologies	O
on	O
the	O
chips	O
they	O
sell	O
to	O
consumer	O
electronics	O
manufacturers	O
like	O
Panasonic	O
,	O
Samsung	B-Application
,	O
and	O
Sony	O
.	O
</s>
<s>
Pandora	B-Application
's	O
cost	O
structure	O
is	O
highly	O
variable	O
,	O
with	O
content	O
acquisition	O
costs	O
representing	O
roughly	O
50%	O
of	O
total	O
costs	O
.	O
</s>
<s>
Second	O
,	O
Pandora	B-Application
pays	O
licensing	O
fees	O
to	O
agencies	O
such	O
as	O
BMI	O
,	O
ASCAP	O
,	O
or	O
SESAC	O
in	O
order	O
to	O
compensate	O
composers	O
,	O
songwriters	O
and	O
publishers	O
.	O
</s>
<s>
Lastly	O
,	O
Pandora	B-Application
also	O
pays	O
TiVo	O
Corporation	O
for	O
song	O
and	O
artist	O
information	O
;	O
this	O
has	O
recently	O
been	O
structured	O
as	O
a	O
flat	O
monthly	O
fee	O
.	O
</s>
<s>
High	O
variable	O
costs	O
mean	O
that	O
Pandora	B-Application
does	O
not	O
have	O
significant	O
operating	O
leverage	O
,	O
and	O
in	O
the	O
next	O
couple	O
years	O
might	O
actually	O
have	O
negative	O
operating	O
leverage	O
due	O
to	O
an	O
unfavorable	O
shift	O
in	O
product	O
mix	O
towards	O
mobile	O
.	O
</s>
<s>
Pandora	B-Application
is	O
currently	O
estimated	O
to	O
monetize	O
mobile	O
hours	O
at	O
roughly	O
one-ninth	O
the	O
rate	O
of	O
desktop	O
hours	O
.	O
</s>
<s>
Since	O
Pandora	B-Application
pays	O
the	O
same	O
licensing	O
cost	O
per	O
hour	O
irrespective	O
of	O
the	O
user	O
's	O
platform	O
,	O
the	O
net	O
contribution	O
to	O
earnings	O
per	O
mobile	O
hour	O
is	O
even	O
more	O
skewed	O
with	O
respect	O
to	O
contribution	O
to	O
earnings	O
from	O
desktop	O
hours	O
.	O
</s>
<s>
Mobile	O
revenues	O
will	O
improve	O
over	O
time	O
as	O
Pandora	B-Application
shifts	O
from	O
relying	O
on	O
third-party	O
ad	O
networks	O
to	O
selling	O
ad	O
inventory	O
internally	O
at	O
premium	O
rates	O
.	O
</s>
<s>
In	O
January	O
2011	O
,	O
Pandora	B-Application
met	O
with	O
investment	O
banks	O
to	O
consider	O
a	O
possible	O
$100	O
million	O
IPO	O
.	O
</s>
<s>
Pandora	B-Application
announced	O
$80.8	O
million	O
in	O
total	O
revenue	O
for	O
their	O
first	O
quarter	O
of	O
fiscal	O
2012	O
,	O
which	O
was	O
up	O
58%	O
over	O
their	O
previous	O
year	O
Q1	O
results	O
.	O
</s>
<s>
In	O
addition	O
,	O
Pandora	B-Application
has	O
seen	O
a	O
62%	O
advertising	O
revenue	O
increase	O
,	O
and	O
a	O
38%	O
subscription	O
revenue	O
increase	O
year-over-year	O
.	O
</s>
<s>
However	O
,	O
the	O
vast	O
majority	O
of	O
Pandora	B-Application
's	O
users	O
remain	O
on	O
the	O
free	O
,	O
ad-supported	O
model	O
.	O
</s>
<s>
Pandora	B-Application
's	O
business	O
model	O
was	O
threatened	O
by	O
changes	O
to	O
royalty	O
structures	O
affecting	O
internet	O
radio	O
in	O
the	O
United	O
States	O
,	O
with	O
the	O
Copyright	O
Royalty	O
Board	O
having	O
ordered	O
increases	O
to	O
per-song	O
performance	O
royalties	O
(	O
which	O
are	O
not	O
paid	O
by	O
terrestrial	O
radio	O
)	O
in	O
March	O
2007	O
.	O
</s>
<s>
Pandora	B-Application
was	O
a	O
member	O
of	O
an	O
industry	O
group	O
,	O
SaveNetRadio	O
,	O
which	O
opposed	O
the	O
increases	O
.	O
</s>
<s>
Pandora	B-Application
described	O
the	O
new	O
rates	O
as	O
being	O
"	O
a	O
middle	O
ground	O
that	O
,	O
while	O
perhaps	O
not	O
meeting	O
all	O
of	O
our	O
aspirations	O
,	O
still	O
represents	O
a	O
thoughtful	O
and	O
reasoned	O
outcome	O
under	O
the	O
circumstances.	O
"	O
</s>
<s>
Due	O
to	O
the	O
new	O
rates	O
still	O
being	O
relatively	O
high	O
in	O
comparison	O
to	O
terrestrial	O
radio	O
,	O
Pandora	B-Application
announced	O
that	O
ad-supported	O
service	O
would	O
be	O
limited	O
to	O
40	O
hours	O
per-month	O
,	O
and	O
that	O
users	O
would	O
be	O
required	O
to	O
pay	O
a	O
$0.99	O
fee	O
(	O
separate	O
from	O
the	O
Pandora	B-Application
One	I-Application
subscription	O
,	O
which	O
is	O
ad-free	O
)	O
to	O
receive	O
unlimited	O
listening	O
for	O
the	O
remainder	O
of	O
the	O
month	O
With	O
an	O
update	O
to	O
the	O
Pandora	B-Application
player	O
in	O
September	O
2011	O
,	O
the	O
40	O
hour	O
cap	O
was	O
extended	O
to	O
320	O
hours	O
.	O
</s>
<s>
On	O
November	O
22	O
,	O
2011	O
,	O
Pandora	B-Application
reported	O
its	O
Q3	O
earnings	O
.	O
</s>
<s>
Not	O
only	O
has	O
Pandora	B-Application
attracted	O
more	O
users	O
but	O
the	O
average	O
number	O
of	O
hours	O
per	O
user	O
have	O
also	O
increased	O
.	O
</s>
<s>
Pandora	B-Application
now	O
accounts	O
for	O
an	O
estimated	O
4%	O
of	O
total	O
US	O
listening	O
hours	O
.	O
</s>
<s>
As	O
Pandora	B-Application
grows	O
,	O
it	O
hopes	O
to	O
gain	O
leverage	O
on	O
music	O
labels	O
and	O
drive	O
royalty	O
costs	O
down	O
.	O
</s>
<s>
Pandora	B-Application
CEO	O
Tim	O
Westergren	O
has	O
supported	O
The	O
Internet	O
Radio	O
Fairness	O
Act	O
or	O
IRFA	O
(	O
H.R.	O
</s>
<s>
On	O
November	O
5	O
,	O
2012	O
,	O
Pandora	B-Application
filed	O
suit	O
in	O
federal	O
district	O
court	O
against	O
ASCAP	O
over	O
royalty	O
fees	O
.	O
</s>
<s>
On	O
February	O
27	O
,	O
2013	O
,	O
Pandora	B-Application
announced	O
a	O
40-hour-per-month	O
limit	O
on	O
free	O
mobile	O
listening	O
.	O
</s>
<s>
Pandora	B-Application
CEO	O
Tim	O
Westergren	O
cited	O
escalating	O
royalty	O
costs	O
as	O
the	O
reason	O
for	O
the	O
mobile	O
cap	O
.	O
</s>
<s>
In	O
a	O
ruling	O
made	O
public	O
in	O
March	O
2014	O
,	O
US	O
District	O
Judge	O
Denise	O
Cote	O
ruled	O
that	O
Pandora	B-Application
's	O
rate	O
paid	O
to	O
ASCAP	O
should	O
remain	O
the	O
same	O
,	O
1.85	O
%	O
.	O
</s>
<s>
After	O
arguing	O
that	O
both	O
ASCAP	O
and	O
BMI	O
were	O
showing	O
bias	O
towards	O
international	O
broadcasters	O
who	O
own	O
terrestrial	O
radio	O
stations	O
,	O
Pandora	B-Application
announced	O
on	O
June	O
11	O
,	O
2013	O
that	O
it	O
would	O
attempt	O
to	O
acquire	O
KXMZ	O
,	O
a	O
radio	O
station	O
in	O
Rapid	O
City	O
,	O
South	O
Dakota	O
,	O
under	O
the	O
presumption	O
that	O
doing	O
so	O
would	O
allow	O
it	O
to	O
access	O
the	O
same	O
preferential	O
licensing	O
terms	O
offered	O
to	O
services	O
such	O
as	O
iHeartRadio	O
(	O
which	O
is	O
owned	O
by	O
iHeartMedia	O
,	O
Inc.	O
,	O
itself	O
America	O
's	O
largest	O
radio	O
broadcaster	O
)	O
.	O
</s>
<s>
The	O
move	O
was	O
criticized	O
by	O
David	O
Israelite	O
,	O
CEO	O
of	O
the	O
National	O
Music	O
Publishers	O
Association	O
,	O
who	O
declared	O
that	O
Pandora	B-Application
was	O
now	O
"	O
at	O
war	O
with	O
songwriters	O
,	O
"	O
and	O
had	O
lost	O
its	O
credibility	O
because	O
it	O
was	O
resorting	O
to	O
"	O
lawsuits	O
and	O
gimmicks	O
"	O
to	O
make	O
its	O
point	O
.	O
</s>
<s>
The	O
organization	O
argued	O
that	O
the	O
acquisition	O
was	O
not	O
in	O
the	O
public	O
interest	O
because	O
of	O
Pandora	B-Application
's	O
intent	O
to	O
use	O
it	O
as	O
a	O
"	O
bargaining	O
chip	O
"	O
for	O
royalty	O
payments	O
.	O
</s>
<s>
ASCAP	O
also	O
alleged	O
that	O
Pandora	B-Application
did	O
not	O
provide	O
enough	O
information	O
about	O
its	O
ownership	O
structure	O
,	O
failing	O
to	O
prove	O
that	O
less	O
than	O
25%	O
of	O
the	O
company	O
was	O
owned	O
by	O
foreign	O
interests	O
.	O
</s>
<s>
On	O
January	O
14	O
,	O
2014	O
,	O
the	O
FCC	O
denied	O
the	O
acquisition	O
until	O
Pandora	B-Application
"demonstrate[s]	O
adequate	O
support	O
for	O
its	O
foreign	O
ownership	O
compliance	O
certification.	O
"	O
</s>
<s>
The	O
FCC	O
relented	O
in	O
2015	O
and	O
allowed	O
Pandora	B-Application
to	O
acquire	O
the	O
station	O
under	O
the	O
premise	O
that	O
whatever	O
foreign	O
ownership	O
Pandora	B-Application
had	O
was	O
widely	O
dispersed	O
;	O
Pandora	B-Application
ultimately	O
sold	O
the	O
station	O
to	O
Houston	O
Haugo	O
,	O
who	O
owned	O
and	O
operated	O
three	O
other	O
stations	O
in	O
South	O
Dakota	O
.	O
</s>
<s>
In	O
July	O
2013	O
,	O
David	O
Lowery	O
,	O
the	O
frontman	O
of	O
the	O
rock	O
bands	O
Cracker	O
and	O
Camper	O
Van	O
Beethoven	O
,	O
wrote	O
an	O
article	O
criticizing	O
Pandora	B-Application
's	O
royalty	O
rate	O
for	O
Cracker	O
's	O
song	O
"	O
Low	O
"	O
,	O
which	O
was	O
streamed	O
over	O
one	O
million	O
times	O
.	O
</s>
<s>
On	O
September	O
1	O
,	O
2013	O
,	O
Pandora	B-Application
removed	O
the	O
40-hour-per-month	O
limit	O
on	O
free	O
mobile	O
listening	O
(	O
originally	O
announced	O
on	O
February	O
27	O
,	O
2013	O
)	O
.	O
</s>
<s>
Pandora	B-Application
stated	O
that	O
it	O
was	O
able	O
to	O
make	O
this	O
change	O
"	O
thanks	O
to	O
the	O
rapid	O
progress	O
of	O
its	O
mobile	O
advertising.	O
"	O
</s>
<s>
In	O
2014	O
,	O
Pandora	B-Application
signed	O
an	O
agreement	O
with	O
some	O
music	O
copyright	O
owners	O
for	O
lower	O
royalties	O
in	O
exchange	O
for	O
more	O
frequent	O
streaming	O
of	O
songs	O
.	O
</s>
<s>
In	O
2013	O
,	O
Entertainment	O
Weekly	O
compared	O
a	O
number	O
of	O
music	O
services	O
and	O
granted	O
Pandora	B-Application
a	O
"	O
B−	O
"	O
,	O
writing	O
,	O
"	O
Free	O
streaming	O
radio	O
,	O
$36	O
a	O
year	O
for	O
ad-free	O
.	O
</s>
<s>
Launched	O
in	O
2005	O
,	O
Pandora	B-Application
is	O
available	O
on	O
just	O
about	O
every	O
platform	O
.	O
</s>
<s>
As	O
of	O
March	O
2014	O
,	O
the	O
annual	O
option	O
was	O
eliminated	O
,	O
and	O
the	O
$3.99	O
monthly	O
plan	O
was	O
the	O
only	O
way	O
to	O
get	O
Pandora	B-Application
One	I-Application
.	O
</s>
<s>
Pandora	B-Application
initially	O
offered	O
a	O
subscription-only	O
service	O
without	O
commercials	O
.	O
</s>
<s>
Then	O
,	O
in	O
December	O
2005	O
Pandora	B-Application
sold	O
its	O
first	O
advertisement	O
.	O
</s>
<s>
In	O
2015	O
,	O
Pandora	B-Application
began	O
playing	O
more	O
advertisements	O
per	O
hour	O
in	O
certain	O
geographies	O
and	O
demographics	O
.	O
</s>
<s>
Pandora	B-Application
normally	O
plays	O
no	O
more	O
than	O
6	O
advertisements	O
per	O
hour	O
for	O
free	O
users	O
.	O
</s>
<s>
Pandora	B-Application
became	O
fairly	O
popular	O
within	O
just	O
two	O
years	O
.	O
</s>
<s>
Starting	O
from	O
2010	O
to	O
2012	O
Pandora	B-Application
's	O
registered	O
users	O
had	O
increased	O
from	O
45	O
million	O
to	O
125	O
million	O
.	O
</s>
<s>
In	O
order	O
to	O
appeal	O
to	O
a	O
large	O
audience	O
of	O
consumers	O
,	O
Pandora	B-Application
offers	O
ad-free	O
access	O
for	O
$36	O
a	O
year	O
.	O
</s>
<s>
During	O
its	O
2011	O
fiscal	O
year	O
,	O
Pandora	B-Application
reported	O
$138	O
million	O
in	O
revenue	O
with	O
a	O
$1.8	O
million	O
net	O
loss	O
,	O
excluding	O
the	O
cost	O
of	O
a	O
special	O
dividend	O
associated	O
with	O
the	O
IPO	O
.	O
</s>
<s>
Overall	O
,	O
Pandora	B-Application
has	O
a	O
78%	O
of	O
Internet	O
radio	O
,	O
and	O
it	O
has	O
a	O
9.3	O
%	O
share	O
of	O
the	O
U.S.	O
public	O
radio	O
.	O
</s>
<s>
Pandora	B-Application
obtains	O
its	O
advertisers	O
by	O
explaining	O
that	O
the	O
company	O
reaches	O
a	O
narrower	O
audience	O
compared	O
to	O
terrestrial	O
radio	O
.	O
</s>
<s>
"	O
Pandora	B-Application
's	O
pitch	O
to	O
advertisers	O
is	O
that	O
its	O
technology	O
can	O
cater	O
to	O
consumers	O
with	O
far	O
greater	O
precision	O
than	O
radio	O
–	O
it	O
can	O
pinpoint	O
listeners	O
by	O
age	O
and	O
sex	O
,	O
ZIP	O
code	O
or	O
even	O
musical	O
taste.	O
"	O
</s>
<s>
There	O
are	O
a	O
few	O
different	O
methods	O
of	O
advertising	O
on	O
Pandora	B-Application
.	O
</s>
<s>
As	O
noted	O
by	O
the	O
New	O
York	O
Times	O
,	O
banner	O
ads	O
are	O
on	O
Pandora	B-Application
in	O
order	O
"	O
to	O
promote	O
engagement	O
,	O
audio	O
segments	O
can	O
be	O
accompanied	O
by	O
clickable	O
display	O
ads	O
offering	O
coupons	O
or	O
product	O
information	O
.	O
</s>
<s>
Advertising	O
on	O
Pandora	B-Application
works	O
through	O
a	O
method	O
of	O
collecting	O
data	O
from	O
the	O
users	O
online	O
browsing	O
activity	O
.	O
</s>
<s>
Pandora	B-Application
offers	O
its	O
users	O
the	O
option	O
of	O
submitting	O
out	O
of	O
the	O
targeted	O
ads	O
,	O
by	O
an	O
opt-out	O
configuration	O
on	O
its	O
website	O
.	O
</s>
<s>
Eventually	O
,	O
Pandora	B-Application
offers	O
either	O
targeted	O
advertisements	O
or	O
generic	O
advertisements	O
for	O
its	O
non-subscribed	O
users	O
.	O
</s>
<s>
However	O
,	O
Pandora	B-Application
's	O
advertising	O
does	O
not	O
offer	O
local	O
content	O
such	O
as	O
the	O
local	O
news	O
,	O
weather	O
,	O
traffic	O
,	O
and	O
talk	O
.	O
</s>
<s>
Pandora	B-Application
has	O
created	O
two	O
market	O
segments	O
,	O
one	O
for	O
Spanish	O
listeners	O
,	O
and	O
another	O
for	O
English	O
listeners	O
.	O
</s>
<s>
By	O
creating	O
multiple	O
market	O
segments	O
,	O
Pandora	B-Application
's	O
advertising	O
is	O
customized	O
to	O
its	O
users	O
 '	O
needs	O
.	O
</s>
