UPDATE: A music tech startup going out of business is often just another sad story. But Music Dealers raised big money and cut big deals. Now it's founder has moved on to a glitzy new startup co-founded with a former exec of the defunct synch licensing site's top former clients. The result: many artists are left without payment. Now. Music Dealers has responded.
SoundCloud is finally starting to seriously monetize their content, but profitability is still just a distant hope. That sent the startup in search of funds; and in June, SoundCloud raised $70 million from Twitter in a $100 million funding round at reported valuation of $700 million. Now Soundcloud is for sale.
SFX would appear to be running out of options in its efforts to exit bankruptcy. After selling digital marketer Fame House and ticketer Flavorus to Universal Music Group, SFX withdrew its bankruptcy reorganization plan in favor of dealing directly with creditors. Now it's withdrawn a proposed Beatport sale.
Could bitcoin and tokens be way for artists to better control the sales of their work? In this piece, Adam Levine, Founder & CEO at Tokenly, explains that embracing new technology can help artists forge deeper connections with fans and make money based on what they think their work is worth.
[UPDATED] Jason Herskowitz has joined Spotify. Herscowitz, who developed open-source cross-platform music player Tomahawk, has been an outspoken critic of the music industry. He'll be based in NYC and according to his tweet "part of the team dedicated to delivering more insight, fan engagement and $ to artists."
[UPDATED] With current royalty deals already leading to unprofitable businesses, Spotify, Pandora and other music streamers have been turning to add-ons to try to keep artist and labels happy. For Spotify, that's meant free robust analytics thanks to its acquisition of The Echo Nest, and concert listings with buy links via Songkick.
Troubled EDM conglomerate SFX Entertainment [SFXE] has issued a statement clarifying the announcement on Friday that has terminated its pre-Chapter 11 Restructuring Agreement and entered into direct talks with bondholders and creditors.