Spotify is all-powerful in the streaming business, and it has just announced a new service: a free radio feature to its iPhone and iPad apps!

Before this update, only Spotify Premium subscribers could listen to Spotify’s streaming radio, without ads, but if you are like me and have stuck with the free access with the occasional adds, you can now stream Spotify’s radio on your iPhone, using SpotON Radio, with ads coming from different sponsors, such as Chevrolet, Heineken and McDonald’s.

Experts are saying this puts Spotify in direct competition with Pandora, but may be there is room for everybody.

Rich Tullo, an analyst with Albert Fried & Co, said that ‘Spotify is probably doing this not to generate ad revenue — which is Pandora's business model — but to generate subscribers for their other services. At the end of the day, Internet radio is a fast-growing business, and we don't really look at it as a business that's going to be dominated by just one player.’

I will give it a try, however, I don’t like to rely on some playlist made for me! When I go for a run, I pick the music I want to listen to that particular day. But they are saying that I will be able to listen to genres of music based on similarities to an artist, album, song or playlist already made within Spotify, so it may be interesting. Still, Spotify doesn't have the Beatles, Led Zeppelin, AC/DC, Pink Floyd and the last Black Keys’ album!