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car thing

A group of consumers have dropped a class action lawsuit against Spotify over its recent decision to kill its short-lived “Car Thing” device, a case that claimed the streamer left users holding “a useless product.”
Filed in May, the case came just days after Spotify announced that the Car Thing — a device launched in 2021 for playing music in a car — would be bricked in December. The customers claimed the move left them “with nothing more than a paperweight that cost between $50 and $100.”

But less than two months later, attorneys for the jilted consumers said Tuesday (July 9) that they would drop the lawsuit. The move came without explanation and does not indicate that any kind of settlement with Spotify was reached.

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In their initial complaint, the aggrieved buyers claimed Spotify had refused to offer refunds and, at the time of the lawsuit’s filing, the company’s FAQ addressing the deactivation did not make any mention of refunds. It simply told users that Spotify was “not offering any trade-in options” and urged them to consider “safely disposing of your device following local electronic waste guidelines.”

But after the news of the lawsuit had spread, Spotify’s website was updated to include a new section covering refunds. In the updated text, Spotify tells users: “Individuals seeking a refund can contact customer support with proof of purchase to discuss their options.”

It’s unclear if the move to more clearly offer refunds resulted in the withdrawal of the lawsuit, and neither side immediately returned requests for more information. But the voluntary dismissal was made “without prejudice,” meaning the accusers could refile the case at some point in the future if they choose to do so.

Spotify announced Car Thing in April 2021, saying it would provide users with a “seamless and personalized in-car listening experience.” The product — a touch screen with a physical dial that still requires access to a smartphone — rolled out in February 2022 at a price point of $89.99. But just months later, Spotify said it would cease production, telling investors that they “frankly haven’t seen the volume at the higher prices that would make the current product financially viable.”

Then in May, Spotify alerted users that it would stop supporting the devices entirely. The company told users that it was “not a decision we made lightly” and offered a link to customer service to “ensure that you have the right place to reach out if you have any questions.” A week later, the company confirmed in a public statement that the move, set to take effect Dec. 9, would render the devices fully inoperable.

On May 28, three Car Thing buyers — Hamza Mazumder, Anthony Bracarello and Luke Martin — filed their lawsuit, accusing Spotify of violating state and federal laws by essentially duping their clients into buying a “useless product.”

“Had plaintiffs and other members of the class known that Spotify manufactured the Car Thing with the ability to brick the product at any point after its introduction to the marketplace and in Spotify’s total discretion, they would not have bought a Car Thing, or would have paid substantially less for them,” the lawsuit read.

Spotify is facing a class action lawsuit over its recent decision to kill its short-lived “Car Thing” device, filed by angry consumers who say the streaming company’s move left them “with nothing more than a paperweight that cost between $50 and $100.”
The case came just days after Spotify announced that the Car Thing – a device launched in 2021 for playing music in a car but discontinued just a year later  – would be rendered fully non-usable in December. Spotify has offered no refunds or trade-in options.

In a complaint filed Tuesday in Manhattan federal court, attorneys for the jilted customers accused Spotify violating state and federal laws by essentially of duping their clients into buying a “useless product.”

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“Had plaintiffs and other members of the class known that Spotify manufactured the Car Thing with the ability to brick the product at any point after its introduction to the marketplace and in Spotify’s total discretion, they would not have bought a Car Thing, or would have paid substantially less for them,” the lawsuit reads.

The lawsuit was filed by three Car Thing buyers — Hamza Mazumder, Anthony Bracarello and Luke Martin – but aims to represent thousands of other consumers who experienced “the forced obsolescence of their purchase.”

Spotify announced the Car Thing in April 2021, saying it would provide users with a “seamless and personalized in-car listening experience.” The product – a touch screen with a physical dial that still requires access to a smartphone — rolled out February 2022 at a price point of $89.99. But just months later, Spotify said it would cease production, telling investors that they “frankly haven’t seen the volume at the higher prices that would make the current product financially viable.”

Last week, Spotify alerted users last week that it would stop supporting the devices. Then this week, the company confirmed that the move, set to take effect Dec. 9, would render the devices fully inoperable. The company told users it was “not offering any trade-in options” and urged them to consider “safely disposing of your device following local electronic waste guidelines.”

“The goal of our Car Thing exploration in the U.S. was to learn more about how people listen in the car,” Spotify said in a statement. “In July 2022, we announced we’d stop further production and now it’s time to say goodbye to the devices entirely. Users will have until December 9, 2024 until all Car Thing devices will be deactivated.”

In the new lawsuit, Spotify’s customers say they couldn’t have expected that the company would shut down the devices just a few years after they were purchased. The decision to do so “unilaterally and without recourse” has left buyers nothing more than a paperweight that cost between $50 and $100.”

“Plaintiffs and class members would not have purchased a Car Thing if they knew that Spotify would stop supporting the product within just a few months or years of purchase,” attorneys for the users write.

In technical terms, the lawsuit includes allegations that Spotify violated state consumer protection and false advertising laws in New York, Florida and Pennsylvania, as well as the federal Computer Fraud and Abuse Act and various other forms of civil wrongdoing.

A spokeswoman for Spotify did not immediately return a request for comment on the lawsuit’s allegations.

Read the entire complaint here:

Car Thing, likened by at least one admirer as the Zune of the 2020s, will cease to exist later this year following an announcement by Spotify late last week that the little device that couldn’t will stop working on Dec. 9. It’s not a suspension of technical support or software updates, but rather the simply designed in-car audio player will be remotely deactivated and that users should be prepared to discard it.

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“The goal of our Car Thing exploration in the U.S. was to learn more about how people listen in the car,” said a Spotify spokesperson when asked about Car Thing’s death sentence. “In July 2022, we announced we’d stop further production and now it’s time to say goodbye to the devices entirely. Users will have until December 9, 2024 until all Car Thing devices will be deactivated.”

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Spotify broke the news to Car Thingheads in an email on May 23, writing that the company was “switching gears” and that “while this chapter is closing, we’re working new, innovative ways to enhance your drives in the future.” A day later, the company sent a followup email explaining that “this was not a decision we made lightly and we want to ensure that you have the right place to reach out if you have any questions.”

Slowcore in a slowcar.

The soon-to-be-obsolete devices have a 4-inch touch screen, a large rubbery spin dial and several buttons. In terms of size, Car Thing is 5-inches wide, 3-inches high and less than an inch thin. It is light (three ounces) and mounts to a dashboard, air vent or a CD player, and stays put in said mounts using magnets. Adding to the confusion surrounding its very existence, the Thing still needs to be connected to your car stereo using bluetooth or wires, and requires a dedicated power source and your smartphone (via WiFi) in order to access Spotify’s millions of tracks and podcasts. Users of the gadget control what’s playing via the touch screen, the dial or Spotify’s increasingly smart “Hey Spotify” voice control mode, which has become particularly popular among buckled-up kids wanting to take over the playlist.

The audio streaming giant began tinkering with a voice-controlled hardware device in 2019 as a way to test in-car listening habits and also to fill a need for Spotify devotees with older cars — or slightly less-smart or attractive interfaces — to enjoy their favorite music and podcasts while driving. Car Things began rolling out to select U.S. premium subscribers in April 2021 before going wide in February 2022 at a price point of $89.99. But a few months later, Spotify slammed the breaks on Car Thing production, saying in an earnings call that they “frankly haven’t seen the volume at the higher prices that would make the current product financially viable.”

Unsurprisingly, the company has not disclosed sales figures.

On its support website, Spotify said its decision to discontinue Car Thing was “part of our ongoing efforts to streamline our product offerings” and that “we understand it may be disappointing, but this decision allows us to focus on developing new features and enhancements that will ultimately provide a better experience to all Spotify users.” The company suggests resetting your Car Thing to factory settings before disposing of it at your nearest electronic waste recycling center. Spotify added that it has no plans to develop a new car device and won’t be offering a trade-in benefit.