Swedish streaming platform Spotify acquires Soundtrap online music and audio recording studio, no financial details of the deal has been revealed.
After buying British startup Sonalytic back in March (Possible Shazam-style service in project), then the blockchain startup Mediachain Labs (avoiding future legals litigations problems?!) to finally acquired MightyTV and machine learning startup, Niland (Surely to improve content recommendations), now, the Swedish streaming platform has acquired yet another company, the Stockholm-based company Soundtrap that allows its subscribers “to have an online music studio and create music together with other people in real time“.
‘Soundtrap’s rapidly growing business is highly aligned with Spotify’s vision of democratising the music ecosystem.”
– Spotify
Founded just three years ago, the Swedish startup – that provides a browser-based music production and recording studio – received $6 million in funding from top-name backers, including former Spotify CFO Peter Sterky, Swedish producer and songwriter Andreas Carlson (who has written hits for Katy Perry, Britney Spears, and the Backstreet Boys, among others) has stated about the acquisition :
” Just three years after launching our online collaborative music and podcast recording studio, we are proud to announce that Soundtrap has been acquired by Spotify. Our two teams are culturally, creatively and strategically a great fit, so Soundtrap — including all our staff — will continue to revolutionize the music-making process for consumers, educators, and students from within the Spotify family. “
– Soundtrap
Spotify acquires Soundtrap and it’s clear that this acquisition strategy owes nothing to chance and Spotify could soon provide tools to allow artists to create their own music on their platform. Spotify’s main competition is Apple Music so this acquisition would make sense to compete with Apple’s popular GarageBand software and apps. Spotify and Soundtrap didn’t provide the financial terms of the acquisition. According to Reuters, Spotify aims to launch their IPO on Wall Street in the first or second quarter of 2018.