One month after music streaming service Spotify launched in the US, the firm has signed up 1.4 million users with 175 thousand paying subscribers.
Citing a 'source familiar with the company's operations', AllThingsDigital said the Spotify sign-up figures meant an effective conversion rate of 12.5 per cent, behind the 15 per cent conversion rate of European users to the paid version of the service.
The US service differs from the European trial with more music being available on the free version. However only subscribers paying the $10 monthly fee gain access to the mobile phone applications.
175,000 paying punters is still a long way behind the reported 1.6 million Spotify customers in Europe.
Music subscription services such as Spotify and Rhapsody have been forced by Apple to remove links from within their iOS applications or jack up their pricing and offer the subscriptions for sale through the iTunes store. Both opted to remove the links.