Spotify Acquires Music Licensing Platform Loudr
Spotify has acquired music licensing platform Loudr. The company was founded in 2013 to build services that make it easy for content creators, aggregators and digital music services to identify, track and pay royalties to music publishers.
Details of today's Spotify Loude aquisition were not announced, but the startup had only raised a total of $600,000 in seed finding back in 2013 and 2014.
Digital aggregators CDBaby, Distrokid and Zebrulation are among those currently using Loudr. Spotify said int the announcement that it will continue offer "select services" to outside companies, but previous acquisitions like The Echo Nest by Spotify or Pandora's of Next Big Sound led to an exodus of clients from those previously independent tech providers.
For Spotify, the acquisition will likely make it easier for unaffiliated songwriters and artists license to the streamer and could help the company solve one of its most vexing – and if multiple lawsuits prevail – expensive problems – the proper identification and licensing of songs, songwriters and music publishers.
“What Loudr has built is more than just a smart and easy way for artists to obtain mechanical licenses; it’s true music industry innovation,” said Adam Parness, Global Head of Publishing, Spotify. “The Loudr team perfectly complements Spotify’s music publishing operation and, together, we believe we can continue to foster a more open, streamlined, and modern music publishing landscape.”
Loudr's small team, currently headquartered in San Francisco, will join Spotify’s New York offices.