Music-sharing startup SoundCloud is reportedly raising $150 million in a new funding round, which will make its entry into the billion-dollar club, joining Snapchat and Uber.
While this impending induction into the ‘Billion Dollar Startup Club’ is definitely a big step for the company; it’s just the beginning of a long and expensive game of catch up Soundcloud is going to play in order to compete with other more well established companies in the game.
According to TheKarachiite, In order to cash in on the attention and traction they get, they need to sort out a monetization plan to properly compete with the likes of Spotify. This is necessary if SoundCloud is interested in getting the support of record labels such as Sony Music Entertainment. Even though it may not have the backing of record labels yet, it has attracted the attention of major artists like Beyonce. On her page, the Grammy-winning pop sensation has been known to upload rare and brand-new mixes.
It is one of the biggest milestones for the seven year old business founded by Alexander Ljung and Eric Wahlforss. The service attracts more than 175 million unique monthly listeners, while content creators upload about 12 hours worth of audio every minute.
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