This could be the start of the age of consolidation in the music streaming wars
|09/29/2016||Posted by BusinessMediaguide.Com under General World News||
Spotify isn’t making any money. It’s not even close to profitability. Its most recent accounts show it made a $194 million (£149 million) loss in 2015.
And if you thought that was bad, German music streaming startup SoundCloud’s finances may make you wince. It lost €39.1 million (£33 million) on revenues of just €17.3 million (£14.9 million) in 2014.
It’s no surprise, then, that The Financial Times reported on Wednesday that Spotify is in advanced acquisition talks with SoundCloud.
Spotify has a business model that’s all about hooking in free users through its ad-supported tier, and then (hopefully) converting them read more >>>