SPOTIFY MIGHT BE TAKING OVER SOUNDCLOUD AND STREETZ KNOWS WHY!
A lot of different companies in the music industry have been merging lately. Spotify and SoundCloud are up next. The negotiations about the deal are still in the beginning stages and no decision has been made yet. SoundCloud has been struggling to expand their audience. The company probably won’t be able to compete with the more dominant companies in the industry because its growth has stopped.
SoundCloud needs to do something and merging with Spotify will help the company become larger. The larger companies make the most amount of money in the music industry. Spotify will benefit from the consolidation as well. Merging will allow Spotify to reach a wider audience. Spotify’s library consists of mostly mainstream music, while SoundCloud focuses more on original music. A lot of people who are just starting out put their music on SoundCloud.
The two companies coming together will bring them both more traffic. A lot of other companies have been performing poorly in the market as well. According to Fortune, companies like Pandora and Rdio are not making much money either. Spotify and SoundCloud combining will make both companies a more dominant force in the music industry.
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