Thursday, September 29, 2016

Spotify Is Reportedly Looking Into Buying SoundCloud

It looks like Spotify could be preparing to shore up its streaming music service amid competition in the digital field: according to a new report, Spotify is in advanced talks to buy SoundCloud.

The Financial Times cites one of those mysterious, all-powerful “people brief ed on the discussions,” who said it was unclear how much Spotify would be willing to shell out for the company, and discussions could well result in a dead end.

Insiders at Spotify say SoundCloud has been viewed as a threat as long as it was considering offering a cheaper, mid-tier subscription service that might have rivaled Spotify. But when it decided not to go that route — offering a standard $9.99 monthly option instead — things changed, sources say.

The acquisition would bring SoundCloud’s community of independent creators along with it, folks who have uploaded, recorded, and promoted their original mixes and DJ sets on the platform.

Apple recently announced that its Apple Music Service has 17 million subscribers, with Spotify announcing soon after that it hit 40 million paying subscribers.

Spotify in advanced talks to buy SoundCloud [Financial Times]


by Mary Beth Quirk via Consumerist

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