Jul 29, 2016
If you've got a billion dollars to splash, SoundCloud could be yours. The German music sharing platform and its investors are apparently exploring strategic options surrounding the company's future, one of the possible likelihoods being a sale. Bloomsberg's unidentified correspondents who are close to the deal, and prefer to remain anonymous, say that deliberations are still in early stages.
Since the platform's inception in 2007, Soundcloud has continued to struggle in its attempts to monetize their offering. With 175 million active users, that must come with lots of frustration to both the company and its investors. Hence the birth of Soundcloud Go, a premium service offered by the Berlin-based start-up that lets users access full catalogs of music from major labels for just $10 a month. The move comes as a relief to labels, who have struggled with SoundCloud's inability to generate revenue for them. However, Go has yet to take off, plagued with interface problems and poor library depth.
Despite having recently raised $70 million from Twitter SoundCloud is still only valued at around $700 million. Thus, it seems the $1 billion asking price is too high for most and there is still hope the price drops for you to buy it!
Image: [eldeeem]