So, Spotify is noticing that with streaming music every extra customer costs them extra money (in royalty payments). If you don’t turn a profit with 100.000 users, you won’t with 10.000.000 or 100.000.000 either.
So now they are trying to emulate Apple: stream music at a loss, but use that service to sell devices with healthy profit margins.
Except instead of a class leading technical marvel smartphone they bring out a...thing? For in your car? That already has Bluetooth?