Apple is set to acquire music recognition app Shazam, one of the oldest apps in the App Store, reports unnamed sources speaking to TechCrunch:
We have heard that the deal is being signed this week, and will be announced on Monday, although that could always change.
One source describes the deal as in the nine figures; another puts it at around £300 million ($401 million). We are still asking around. Notably, though, both of the numbers we’ve heard are lower than the $1.02 billion (according to PitchBook) post-money valuation the company had in its last funding round, in 2015.
Sources say a deal could be announced as early as Monday, in what is rumoured to be a nine-figure deal, while another source informs the publication it could be around $401 million USD.
UK-based Shazam hit over 1 billion downloads last fall, while it reported $54 million in revenue for its 2016 fiscal year, with a pre-tax loss of $5.3 million. The company’s post-money valuation after its 2015 funding round was $1.02 billion.
Streaming music competition has intensified, with a plethora of choices for listeners, with the likes of Spotify, Google Play Music, Tidal, Deezer, Amazon Prime Music and Apple Music, as examples.
What would Apple do with the acquisition of Shazam? One would assume the technology and talent would be integrated into Apple Music and Siri, for identifying songs and allowing users to listen and or purchase music immediately. We’ll find out soon if there are any announcements, or if Apple confirms the rumour.