Google Offers $15 Million For Songza, But Will Investor Amazon Let It Go?
UPDATED: As we reported over the weekend, Google is in talks to buy Songza, according to the New York Post. One source puts the purchase price at $15 million; and another pegs it "much higher" with Google having to beat several other suitors. Amazon was an early investor, and is likely among those also interested. Songza has built a strong following for its curated music streams based on mood, activity, location and time of day.
More & Analysis
To date, Songza has raised $6.7 million in funding from Deep Fork Capital, Gary Vaynerchuk, Scooter Braun, Troy Carter, William Morris Endeavor, Amazon and others. The final purchase price will likely land north of $15 million, which seems a low number compared to Apple's stratospheric Beats purchase or Spotify's recent valuation.
Why Google & Others Want Songza
Songza: "Our free streaming music service has expert-made playlists for every occasion and makes it outrageously easy to find the right one, at the right time."
The acquisition of Songza could compliment Google Play or bolster a yet-to-launch YouTube or Amazon subscription music services. Songza would also help its buyer stay competitive with Beats Apple, who have staked their future on heavy curation.
Of all the current major music streamers, Google has invested the least in curation, making Songza a good fit. And though it currently operates as a standalone service, Songza has always felt more like an addictive feature than a destination