Original post Wednesday, December 10, 2014 by Nina Ulloa
SoundCloud recently entered into a licensing deal with Warner Music Group (WMG), but they haven’t reached an agreement with Sony or UMG. WMG will buy three to five percent of SoundCloud; equity stakes are likely part of the other major label negotiations as well.
These licensing talks are part of a wider SoundCloud strategy to provide payouts to artists and labels — a strategy major labels have been pushing. SoundCloud is slowly moving toward a paid subscription model that would allow users to listen to ad-free music.
+T-Mobile Excludes SoundCloud, Google Play, Xbox Music from Monthly Data Limits
SoundCloud is now trying to raise more money to carry out this strategy, reports the Wall Street Journal.
They are reportedly in talks to raise $150 million, bringing their valuation to over $1.2 billion.SoundCloud has hired investment bank Allen & Company to oversee the round.
The purpose of the CREATE.Digital Blog is to provide an interactive knowledgebase platform focused on quality not quantity.
Contributors to the CREATE.Digital Music Blog will include Founder and CEO Amilcar "PRO" Welton, and a variety of professional, qualified, opinionated, diverse, and experienced guests.
All the contents of the CREATE.Digital Blog, except for comments, constitute personal opinions. Blog content may contain inaccuracies or errors, and discretion should be exercised in the use information obtained from the blog. Blog content is provided for informational purposes only and is not a substitute for advice from qualified professionals. All blog content comes without warranties, representations, or guarantees of any kind. You agree that any use you make of blog content is at your own risk. You also agree that CREATE.Digital Music is not responsible for any losses resulting from your reliance on any blog content. We also reserve the right to revise any and all content on the blog at any time.
If you report offensive or inappropriate comments to CREATE.Digital Music, We will generally investigate and remove comments if required.
All blog content, including all information, text, graphics, photos, images, logos, and site design, is our intellectual property, and is protected by copyright and applicable intellectual property law.