Pandora's CFO: Services Are 'Perfect For The Car'

Pandora Media Inc (NYSE: P) lost almost half of its market-cap in 2014 due to the onslaught of companies entering the digital music streaming business. With Google and Apple supposed to make their entry into this space, things will only get hotter from here for Pandora. However, Pandora’s CFO Mike Herring thinks differently and foresees a future where Pandora will be integrated into Apple and Google’s platforms. Herring's recent discussion of Pandora's future outlook at CES 2015 in Las Vegas was broadcast on Bloomberg.

Pandora And 'Cars As Devices'

“It really is driving the ubiquity of Pandora across all devices. And now it’s time to consider cars as devices; it’s an investment we have been making for years and it’s exciting to come back to CES each year and see how far automobiles have come and today they are increasingly becoming connected,” Herring said.“Pandora is a big part of providing the right entertainment option.”

Pandora Can Add To Drivers' 'User Experience'

On protecting Pandora’s market share in the automobile music streaming market, Herring feels, “Pandora’s services is [sic.] perfect for the car. The leanback music experience; it’s radio. You put on a station and it plays the music you want to hear and that’s ideal for the automobile. it’s why we have so much traction; it’s why we are there in the top 10 bestselling cars.”“Automobile makers understand that Pandora fits the user experience in the car and it adds to the user experience.”

Are Apple And Google Competitors Or Peers?

When asked if it would be a handicap for Pandora if Google and Apple get traction in the automobile music streaming space through their respective platforms, Herring replied, “I think they’ll get some traction. The automobile makers really care about that entertainment experience in the car; they like it to be unique to their models.”“We don’t take a generic approach, and if Apple and Google start providing those platforms, we would be integrated into those eventually.”