Differentiated competition.

The essence of competition in the music platform market is differentiated competition around the copyright of high-quality content. In fact, the concentration of the content industry is not unique to digital platforms. Whether it is records, books, movies, or television, almost all cultural markets have shown a pattern of resource concentration in large companies. The phenomenon of industrial concentration and vertical integration is very significant in the content industry, which is related to the characteristics of content products with high fixed costs and low marginal costs.

In this context, despite the explosive growth in the type and quantity of content on the Internet, consumers still make choices mainly based on high-quality content. Therefore, the bottleneck of high-quality content has always been the focus of competition supervision in the content market. High-quality content resources are a key investment for content platform competitors to enter the market.