Thanks to Adele, Pandora Says ‘Hello’ to a Stock Price Bump
Shares in online music streaming service Pandora rose sharply on Wednesday thanks to Adele.
The company’s stock (P) increased as much as 5.8% to $13.98 after it confirmed to Entertainment Weekly that it would stream songs from the British singer’s long-awaited third album, 25, which was released this week.
The news comes after Adele’s camp announced the new album would be unavailable on popular services like Spotify and Apple Music. Unlike other services, Pandora is more like a radio station that streams songs based on genres or artists rather than letting users choose to listen to specific songs.
And that’s exactly why Pandora can decide, unilaterally, to stream songs from 25. Because it’s a “non-interactive” service—meaning, akin to traditional radio broadcast—Pandora can legally stream any copyrighted song as long as it pays a fee pre-determined by the federal government.
There’s nothing Adele can do to stop it. Nor can Taylor Swift, who refused to make her latest album, 1989, available on Spotify and Apple Music.
But as The Verge noted, Adele is unlikely to be too concerned. Pandora users are unable to pick the songs they listen to and must instead choose an Adele-themed station that plays. Eventually, they may hear music from her new album. But it serves more as a marketing tool than a competitor to album sales.
Pandora’s stock closed at $13.82 on Wednesday, up by 4.5% from the previous day’s closing price.
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For more on Adele’s decision to skip streaming services, watch this Fortune video:
a British chanteuse.