Yahoo! and Spotify Join Forces to Spread Music, Entertainment

Yahoo! (NASDAQ: YHOO) and Spotify have formed a partnership that will allow the two entities to share content and reach new audiences.

The deal, which comes after Yahoo! announced that it had teamed up with Fandango and ABC News, is a part of the company's transition from a search and e-mail hub to a leading entertainment destination.

In addition to these and other deals with major content providers, Yahoo! recently began airing its own original Web series called Burning Love, a reality TV parody that pokes fun at The Bachelor and other dating shows.

Citing a May 2012 report from comScore (NASDAQ: SCOR), Yahoo! claims that its media network reaches nearly 700 million unique users every month, accounting for more than 47% of the total worldwide Internet audience. Spotify will first bring its on demand music service to Yahoo! Music. Users can expect to see Spotify on other Yahoo! properties, including Yahoo! Movies and omg!, later in the year.

Meanwhile, Spotify users will soon gain access to a Yahoo! app for the service, which will bring original entertainment content to the more than 10 million people actively using Spotify. Yahoo! has not yet specified what that content will include, however.

"At Spotify we want to light up the Web with music and as Yahoo!'s global music partner we're able to reach their massive audience," Daniel Ek, CEO and Founder of Spotify, said in a company release. "We are really excited about the new Yahoo! leadership team and thrilled to partner with them to build great experiences around high quality content."

“Delivering compelling premium experiences across screens is core to our mission at Yahoo!. Spotify is the leader in the digital music field and together we can provide the 'soundtrack' for users around the world," Ross Levinsohn, Interim CEO at Yahoo!, also said in a company release. "What Daniel and his team are doing is changing an industry, and we're thrilled to be partnering with them."

Yahoo! and Spotify said that they hope to use this partnership to "drive deeper user engagement for both companies."

Follow me @LouisBedigianBZ