Samsung planning to shut down Milk Music service: Report

Samsung is reportedly planning to shut down Milk music service. However, the company has denied reports that it is planning to buy Jay Z's Tidal service.

According to the report, which first appeared in Variety, the shut down is part of a bigger revamp of the company's music strategy.

The Variety report, quoting sources, claims that Samsung executives are looking to "clean house" after spending significantly on Milk Music without seeing the expected returns.

The sources, with knowledge of the project, told Variety, "the service’s free component has seen some traction with consumers, but that hardly anyone bothered to pay for Milk’s premium tier, much to the dismay of senior executives."

The report also claims that the Milk Music team has seen significant reduction in employee numbers over the past couple of months. "A lot of people in the organization have left or are shifting positions,” said one source.

Samsung launched Milk Music service with lot of fanfare in March 2014. The service aimed to take on services like Pandora and create a new revenue stream for the company. A year later, the company expanded its free Milk Music streaming radio service to more users via the web. Like the app version, the web-based Milk Music too is powered by Slacker Internet radio service.

Samsung later opened up Milk Music to its smart TVs as well.

In November last year, Samsung shuttered Milk Video after it failed to attract too many